Notcoin surges 50 confronts waning popularity and capital flight

CoinWorld reported:
Waking up from a nap, NOT has not made a profit and it’s time to withdraw.


Let’s take a look at NOT’s performance from July to the present: On July 4th, the price of NOT was still around $0.011 at the opening of the morning. However, within just 24 hours, the price of NOT plummeted by 18.38%, falling to $0.0098. This is the lowest price since its launch, even lower than the selling low point in its first week.
What caused this sudden drop?
The price drop was not accidental, and one of the important factors is the trend of Bitcoin (BTC). In the past few days, the bankrupt Bitcoin exchange Mt. Gox planned to distribute BTC to its creditors. On July 4th, Mt. Gox began to transfer billions of dollars’ worth of Bitcoin from its cold wallets for creditor payments.


This move has caused market panic, and many investors chose to sell off some of their cryptocurrency assets, including NOT. The drop in NOT’s price is in stark contrast to the hype it had previously accumulated through the Telegram community.
Price fluctuations are not only reflected in the spot market, but the derivatives market also plays an important role. One of the key indicators to maintain a high price is the total value of open positions. As of the time of writing, the fluctuation in price is not only reflected in the spot market, but the derivatives market also plays an important role.
The total value of open positions represents the value of open contracts in the market. An increase in this value means that traders are injecting more liquidity into the market, while a decrease means that traders are closing positions and funds are flowing out. If this trend continues, it will be difficult to maintain market balance.
Declining social media attention adds insult to injury
Another factor that caused the drop in NOT’s price is the decline in social media attention. The volume of social media discussions can reflect the level of interest in cryptocurrencies, and an increase in discussion volume usually drives up prices. However, as of the time of writing, the social media discussion volume of NOT has dropped to an extremely low level.
The weakening demand cannot offset the selling pressure, ultimately leading to a continuous drop in price.
Technical indicators provide supporting evidence
The NOT token is trading within a descending wedge pattern, struggling to find a way out as if it is in a narrow gorge. Recently, it has faced profit-taking pressure, as if a gust of wind mercilessly blew off ripe fruit. This week, NOT retested its key support level of $0.01000, which is a crucial checkpoint that determines its future. Fortunately, since then, the market has seen a rebound, and investors have cleverly utilized the NOT token, trying to maintain hard-earned profits.
However, at the same time, the NOT token has encountered some setbacks. It has fallen below the 20-day EMA, an important technical indicator, which undoubtedly casts a shadow over investors’ confidence. In the past few trading days, sellers have gained the upper hand, and the market seems to be tilting in a direction unfavorable to NOT.
Looking back to June 2024, the NOT token had a glorious time, with a strong momentum and a bullish trend. However, after reaching its peak of $0.0291 on June 2nd, like an athlete crossing the finish line, it started a tired retreat. As of the time of writing, the trading price of NOT is $0.0102, with an intraday drop of over 5.30%. Its market capitalization is $1.05 billion, ranking 69th. Although the current situation is not optimistic, for those investors with a long-term perspective, perhaps this is a great opportunity to buy at a low price and wait for a future rebound.