The memecoin SIREN experienced an 83% price crash in the last 24 hours, falling from around $1.77 to $0.28 and shedding over $800 million in market capitalization. Technical indicators turned bearish as the price broke a multi-week support level. The crash was driven by profit-taking, significant selling pressure, and leveraged shorts in the futures market. However, a major controlling address resumed buying after the drop, and the number of onchain holders spiked significantly, suggesting increased buying activity.
The cryptocurrency SIREN saw its market cap double twice in the past month, with each surge followed by a full retracement. Its third bounce managed a rally of about 50%, but momentum proved unstable. Over the last 24 hours, the token’s price crashed by more than 83%, breaking below a multi-week rising support level it had previously bounced off three times.
This drop resulted in the memecoin’s market cap falling from over $1 billion to slightly above $200 million. Technical analysis showed the RSI Divergence indicator flipped bearish while the MACD turned red, signaling seller control. The pattern is a signal of continuation or reversal.
Three major factors drove the dramatic price decline. Traders engaged in profit-taking after the price hit $2 from the $0.70 area, evidenced by candles with multiple wicks. A 983% spike in daily volume confirmed intense selling pressure.
Additionally, over $20 million in shorts were placed on the Binance Futures market, accelerating the drop. Across all exchanges, total cumulative short liquidation leverage reached $22 million compared to only $3 million in longs.
A wallet controlling a significant amount of SIREN appears to influence its price movements. This address sold about 500,000 SIREN at an average price of $0.95 for approximately $473,000. Arkham data showed it returned to buying after the crash, scooping 1 million SIREN worth $273,000.
Its total holdings now stand at 645.5 million SIREN, worth $212 million. While the concentration in one account raises concerns, the number of onchain holders spiked from 39,850 to 44,580 overnight. This increase of more than 5,000 buyers indicates intense buying activity during the price decline.
