The crypto asset ZKJ, the native token of Polyhedra Network, experienced a drastic price drop of 86%, reaching an all-time low of $0.2530. This article examines the reasons for the decline, the current market situation, and technical forecasts.
Price Crash of ZKJ: Reasons
The price drop occurred due to a series of abnormal transactions and liquidity withdrawals, particularly in the ZKJ/KOGE trading pair. During this time, KOGE also lost 55% of its value. The Polyhedra Network team reassured in a statement on June 15 that the fundamentals of the project remain stable, and the sudden price plunge was due to abnormal on-chain activity, not protocol flaws.
Market and Liquidations
According to CoinGlass, the sell-off caused a wave of liquidations: over $102.81 million was lost in just 4 hours. More than 67,976 traders faced liquidation, with total liquidation amounts reaching $239.23 million. Some whales started swapping KOGE for ZKJ, exerting further downward pressure on the prices.
ZKJ Prospects: Technical Analysis
From a technical standpoint, the token is deeply oversold. It fell below the key support of $1.90 and is currently trading around $0.3276, marking an over 85% decline. Indicators hint at a possible short-term bounce as the RSI reached an extremely low level of 1.75, signaling oversold conditions. However, the MACD remains bearish but may indicate signs of a bottoming pattern.
The future of ZKJ depends on whether it can stabilize above the $0.40 mark. If the price is able to rise, a bounce towards the $0.70–$0.90 range is possible. However, if bearish sentiment continues, a dip towards $0.20 remains a viable scenario.
