Telegram’s recent tap-to-earn project, Notcoin (NOT), has witnessed a significant decrease in whale activity, correlating with a drop in the altcoin’s price. Since early August, major investors in NOT have been largely responsible for the double-digit declines in the altcoin during this period, as they have been selling more than buying.
Notcoin Whales Fleeing the Market
On-chain data indicates a marked reduction in daily transaction volume involving substantial NOT investors. According to data from IntoTheBlock, buy/sell transactions involving whales with deals between $100,000 and $1 million have plummeted by 74%. Additionally, transactions ranging from $1 million to $10 million have seen a 21% reduction.
This downturn in large transactions may signal a negative trend due to its detrimental impact on the asset. Individual investors might perceive a lack of confidence in NOT when they observe a decline in whale trading activities, often leading to increased selling pressure and ongoing price drops.
Supporting this, the net flow of major NOT holders has decreased by 98% over the last 30 days.
What Will NOT’s Price Be?
NOT has been trading within a horizontal channel indicative of consolidation since August 6. This suggests that neither bears nor bulls have shown the requisite strength, resulting in a lack of a clear price direction. During this timeframe, the RSI value has also remained stable, indicating no significant overbought or oversold conditions in the market.
As of the time of writing, NOT is trading at $0.01057, having experienced a 3.46% decline in the last 24 hours and a 30% drop over the past 30 days. Nonetheless, if NOT breaks its narrow range within the channel upwards, the price could rise to $0.13. Conversely, if the trend is downward, the price might fall below the lower boundary of the horizontal channel, potentially dropping to $0.008.
Critical Insights
– A 74% reduction in whale transactions between $100,000 and $1 million.
– A 21% decline in transactions between $1 million and $10 million.
– A 98% drop in the net flow of major NOT holders over the past month.
– Current price trading at $0.01057 with a potential drop to $0.008 if downward trend continues.
– Potential upward movement to $0.13 if the narrow range breaks upwards.
In conclusion, the decline in whale activity in the Notcoin market could have significant repercussions for its future pricing and investor confidence. The reduction in large transactions points towards a possible bearish trend, though there remains a potential for price recovery depending on market movements.