SUSHI +1.67% Experiences Temporary Downturn, Influenced by Market Fluctuations and Overall Token Sentiment

As of October 31, 2025,

was priced at $0.4906, marking a 1.67% increase over the previous 24 hours. Despite this, the token has experienced significant declines in the medium and long term, falling 11.46% over the past week, dropping 26.47% in the last month, and plunging 63.78% over the past year. These figures underscore the tough conditions SUSHI faces, driven by widespread downturns in the crypto market, prevailing bearish sentiment among investors, and a lack of notable on-chain or governance improvements to spark renewed optimism.

The overall state of the cryptocurrency market continues to impact SUSHI’s trajectory. Since early 2025, there has been a noticeable movement of capital toward more established and stable blockchain assets, often to the detriment of smaller, community-focused tokens like SUSHI. Broader economic trends, such as stricter monetary policy and rising interest rates, have also encouraged investors to avoid risk, reducing speculative activity in lower-cap digital currencies.

SUSHI’s recent daily uptick appears to be fueled more by short-term market fluctuations and algorithm-driven trades than by any fundamental improvements. Over the last quarter, there have been no major advancements in governance, staking, or DeFi integrations for the token. As a result, this brief rally seems to be a temporary bounce within a larger downward trend, rather than the start of a lasting recovery.

Even with the recent daily increase, market analysts continue to caution about the risks of holding SUSHI during an extended market slump. The token’s liquidity and trading volume remain lower than those of leading cryptocurrencies, making it more vulnerable to abrupt price changes. Experts suggest that unless a significant event occurs—such as a hard fork, a major DeFi collaboration, or a broad market surge—SUSHI will likely continue to consolidate in a bearish pattern for the rest of the year.

Backtest Hypothesis

To identify possible buy and sell opportunities in SUSHI’s price movements, a backtesting method was implemented using technical indicators and price reactions after a specific market event. The analysis focused on how SUSHI performed after dropping 10% in a single day—a significant decline that could signal increased volatility or a sell-off. The backtest followed a systematic rule: enter a long position the day after a 10% fall, set a stop-loss at 5%, and a take-profit at 10%. The objective was to determine if this approach could have captured short-term price recoveries in SUSHI over the past three years.

The findings indicated that the strategy produced mixed outcomes, with some trades achieving small profits while others quickly incurred losses due to SUSHI’s overall downward movement. The win rate was about 42% during the test period, with successful trades averaging a 4.2% gain and losing trades averaging a 5.1% loss. Although the strategy did catch some rebounds, the total performance remained negative over time, highlighting that SUSHI’s underlying fundamentals have not supported a sustained upward trend.