Many people once had full confidence in EIGEN, and the halo of being a leading staking project attracted many investors. But reality is often much harsher than imagination.

**How bad is the current situation?**

Current price is $0.412, which is no longer just a break below the issue price. Compared to its all-time high, it has fallen over 90%, and the coin price has slid into an abyss. On the candlestick chart, the sideways movement in the $0.40-$0.50 range seems stable, but details reveal the truth — the focus is still sinking, with no clear signs of a bottoming out. As a leading project in the Restaking track, EIGEN’s performance is undoubtedly disappointing. The $0.40 level is only a temporary respite, far from the true bottom. Without easing unlocking selling pressure, rushing to buy the dip carries huge risks.

**Where are the key levels?**

Looking upward, short-term resistance is at $0.70-$0.80, which is the recent small consolidation platform. A rebound to this level will face selling pressure from those trying to break even. Stronger resistance is at $1.50-$1.60, which is the critical breakdown point from earlier declines. Only by stabilizing above this can the bear market truly be declared over. Looking downward, the psychological bottom is at $0.40 itself. If it falls below this, the market enters a technical vacuum zone, and the next psychological level could be $0.20.

**What does volume tell us?**

Volume continues to shrink. Compared to the period above $4.00, current trading volume has significantly decreased, indicating a liquidity trap — lack of buying interest, and the market falling silent.

**How to operate?**

If you are still holding: If you are trapped above $3, cutting losses now won’t be too painful. Instead of obsessing, consider reducing your position during rebounds. This coin faces large unlock pressures in the long term, and holding costs are too high.

If you haven't entered yet: Don’t rush in just because of its past fame. Wait until it forms a clear bottom pattern and stabilizes above $0.80 before considering. Currently, it’s best to stay on the sidelines. EIGEN now looks more like a value-destruction machine; it’s better to stay away for now.