A drop like this usually means one of three things — rug, panic sell, or liquidity wipe. If it’s a rug or project issue, recovery is almost zero. If it’s panic + low liquidity, a dead cat bounce is possible.
Don’t confuse a bounce with a real comeback. Many coins pump 50–200% after crashes… and still stay -90% overall.
Volume is the key to watch right now. No volume = no real recovery.
Also check if the team is still active. Silence from devs = danger signal.
Whales sometimes re-enter after crashes to trap retail again. So any sudden pump could be a setup, not a recovery.
Smart move? Don’t chase green candles blindly. Wait for structure, not hype.