Audiera's token BEAT has plummeted from its peak in less than a week, dropping nearly 88%. Foreign media reports indicate that this sharp decline occurred after BEAT experienced a rapid surge over several weeks, briefly pushing its market capitalization to billions of dollars, sparking debate about the sustainability of its upward momentum.

Rapid price increases lead to large pullbacks

The article argues that this pullback may not directly indicate a problem with the project itself, but the price path reveals several typical risks. First, BEAT's valuation expansion rate significantly outpaced changes in fundamentals. A rapid increase in market capitalization in a short period can easily cause the price to deviate from its actual affordability.

Secondly, the current circulating supply of BEAT is relatively low compared to the total supply. When buying pressure is concentrated, a low circulating supply can amplify price increases; however, once sentiment reverses, prices are also more likely to experience a rapid decline.

FDV is still higher than circulating market capitalization

Foreign media also noted that even after the sharp drop, BEAT's fully diluted valuation is still significantly higher than its circulating market capitalization. This means that if more tokens enter the market, the current price will still face dilution pressure.

Looking at the price action, BEAT's previous rise was more like a vertical surge, rather than a process of turnover and accumulation across multiple ranges. Such a structure typically lacks clear support, and once momentum weakens, the market quickly seeks lower buying opportunities.

$0.78 becomes the next level to watch.

The article states that after peaking near $11, Beats quickly fell back, erasing approximately $9.50 of its gains in a short period, with the price dropping to around $1.50 at one point. The upward trendline that had supported the price for nearly five months was also broken, indicating that the original upward structure has been disrupted.

The next key area the market is currently focused on is around $0.78. This level previously acted as resistance, and if selling pressure persists, it could become a new support test zone. If this level is breached, the article suggests that prices could continue to decline towards the area where the price broke out in February.

In addition, BEAT's Relative Strength Index (RSI) has fallen from above 80 during the upward phase to around 42, indicating that the previously extremely strong momentum has cooled down significantly.

Foreign media believe that BEAT needs to prove that its current valuation can be supported by sustained buying, rather than just relying on short-term speculative sentiment. Although this pullback has released some of the bubble accumulated in the previous period, the low float, future unlocking pressure, and weak support structure remain key concerns for the market.