SIREN drops 48% as panic selling intensifies – Can the memecoin fall even lower?

The crypto market reacted sharply after Kevin Warsh took over leadership of the U.S. Federal Reserve. Historically, crypto markets have reacted negatively during the early stages of new Fed leadership, largely due to investor uncertainty. As the broader market retraced, Siren [SIREN] recorded one of the steepest declines among memecoins. The token dropped from $1.1, lost the $0.7 level, and fell to a low of $0.61. At press time, SIREN traded at $0.62 after falling 48.2% in 24 hours. The decline nearly erased its April-to-May rally. Why did SIREN drop so sharply? SIREN plunged as sellers flooded both spot and derivatives markets. On the futures side, Open Interest [OI] fell 35% to $35 million. Meanwhile, Derivatives Volume surged 515% to $288 million. That combination suggested traders rushed to close positions during the selloff. That move aligned with growing panic across the market as sentiment shifted toward risk-off positioning. For that reason, Futures Outflows climbed to $93 million, compared to $88.7 million in Inflows. As Outflows dominated, Futures Netflow dropped 473% to negative $4.7 million. Spot traders showed similar behavior. On Binance, Sell Volume climbed to 50 million while Buy Volume stood near 45 million. The exchange also recorded a negative net buying of 23 million, highlighting aggressive selling activity. With sellers dominating across both markets, downside momentum strengthened further. Could SIREN fall even lower? SIREN’s decline accelerated as traders exited positions and demand weakened sharply. In fact, the Relative Strength Index (RSI) made a bearish crossover and dropped to 41. That reading suggested sellers had taken firm control of short-term momentum. Historically, similar RSI structures have preceded additional downside pressure during heavy selloffs. If risk-off sentiment persists, SIREN could lose the $0.6 support level and slide toward $0.54. To slow the decline, the memecoin would need a daily close above $0.7. A recovery above $0.8 could strengthen the case for a broader trend reversal. Final Summary SIREN erased nearly all gains from its April-to-May rally after crashing more than 48% in one day. Open Interest dropped sharply while Derivatives Volume surged, showing traders rushed to exit positions during the selloff.