Recently, ALLO's performance has indeed been a bit awkward. It has fallen 5.94% within 15 hours, with funds rapidly flowing out, and all technical signals are bearish. However, the story behind this is not as simple as it seems.
**Let's clarify the current situation**
From a technical indicator perspective, ALLO is in a tense position. The EMA system has completely broken down — the 7-period EMA is stuck at 0.1098 USDT, suppressed by the 25-period (0.11111 USDT) and 99-period (0.1133 USDT) EMAs, indicating downward pressure across short-term, medium-term, and long-term. The MACD also shows no good signs; the histogram has turned negative, and the signal line has been crossed, confirming a bearish trend.
On the fund flow side, it's even more direct. Net outflows over the past two hours were 94,004.35 USDT and 13,184.94 USDT respectively, indicating large investors are systematically exiting. Such continuous negative inflow often signals that selling pressure will persist.
Community sentiment is also overwhelmingly bearish — many are calling for short positions, arguing that momentum has been exhausted and there are no reasons for a rebound. At first glance, it seems ALLO might continue to decline.
**But there's an interesting reversal signal here**
The price is currently testing the lower Bollinger Band, with support around 0.1087 USDT. The key point is — the 6-hour RSI has already dropped to 31.69, entering the typical oversold zone. Historical experience suggests that such extreme readings often trigger short-term rebounds. Not that a rebound is guaranteed, but the probability mechanism for a bounce has been activated.
**The long-term perspective is different**
This is an aspect often overlooked. Last November, Allora published an in-depth research report listing ALLO as a potential player in the 2026 AI track. The reason is its unique advantage in integrating self-improving AI models. This is not just talk — the ability of AI models to self-iterate remains a scarce asset in the Web3 space.
Therefore, the current situation is: in the short term, downward pressure is real, but oversold technical signals and the long-term AI potential create a certain tension.
**Risks have not been eliminated**
To be honest, the bearish technical pattern still persists. Unless the EMA lines realign, the structure remains biased downward. Continuous fund outflows are also not a good sign, indicating that market participants lack confidence in the near-term outlook. This is not the time for aggressive long positions.
**How to interpret this situation**
If you're a short-term trader, the oversold RSI might present a rebound opportunity, but you should set strict stop-losses because the downtrend has not yet reversed. If you're looking at the medium or long term, ALLO's potential in AI remains, and this decline might just be a phase of accumulation. The key is to wait until the technical breakdown is confirmed or the price stabilizes before making big moves.
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WalletDoomsDay
· 6h ago
Hmm... another story of RSI being oversold, I've heard too many of these.
View OriginalReply0
BearMarketMonk
· 6h ago
It's the same old trick again, the oversold rebound mechanism is activated... It's just the illusion of history repeating itself.
View OriginalReply0
RektHunter
· 6h ago
In this one-sided bearish atmosphere, the biggest opportunity is to hold steady and not act.
View OriginalReply0
AlphaBrain
· 6h ago
The overbought rebound trick is back again, who can be scared by RSI31?
ALLO Spot Price Analysis | December 30, 2025
Recently, ALLO's performance has indeed been a bit awkward. It has fallen 5.94% within 15 hours, with funds rapidly flowing out, and all technical signals are bearish. However, the story behind this is not as simple as it seems.
**Let's clarify the current situation**
From a technical indicator perspective, ALLO is in a tense position. The EMA system has completely broken down — the 7-period EMA is stuck at 0.1098 USDT, suppressed by the 25-period (0.11111 USDT) and 99-period (0.1133 USDT) EMAs, indicating downward pressure across short-term, medium-term, and long-term. The MACD also shows no good signs; the histogram has turned negative, and the signal line has been crossed, confirming a bearish trend.
On the fund flow side, it's even more direct. Net outflows over the past two hours were 94,004.35 USDT and 13,184.94 USDT respectively, indicating large investors are systematically exiting. Such continuous negative inflow often signals that selling pressure will persist.
Community sentiment is also overwhelmingly bearish — many are calling for short positions, arguing that momentum has been exhausted and there are no reasons for a rebound. At first glance, it seems ALLO might continue to decline.
**But there's an interesting reversal signal here**
The price is currently testing the lower Bollinger Band, with support around 0.1087 USDT. The key point is — the 6-hour RSI has already dropped to 31.69, entering the typical oversold zone. Historical experience suggests that such extreme readings often trigger short-term rebounds. Not that a rebound is guaranteed, but the probability mechanism for a bounce has been activated.
**The long-term perspective is different**
This is an aspect often overlooked. Last November, Allora published an in-depth research report listing ALLO as a potential player in the 2026 AI track. The reason is its unique advantage in integrating self-improving AI models. This is not just talk — the ability of AI models to self-iterate remains a scarce asset in the Web3 space.
Therefore, the current situation is: in the short term, downward pressure is real, but oversold technical signals and the long-term AI potential create a certain tension.
**Risks have not been eliminated**
To be honest, the bearish technical pattern still persists. Unless the EMA lines realign, the structure remains biased downward. Continuous fund outflows are also not a good sign, indicating that market participants lack confidence in the near-term outlook. This is not the time for aggressive long positions.
**How to interpret this situation**
If you're a short-term trader, the oversold RSI might present a rebound opportunity, but you should set strict stop-losses because the downtrend has not yet reversed. If you're looking at the medium or long term, ALLO's potential in AI remains, and this decline might just be a phase of accumulation. The key is to wait until the technical breakdown is confirmed or the price stabilizes before making big moves.