Notcoin [NOT], which made its debut on the TON blockchain, is injecting a dose of optimism into the ecosystem following a period of uncertainty associated with Pavel Durov.
Despite the hurdles faced by TON, Notcoin is now displaying signs of a comeback. At the current moment, Notcoin sits in third place behind SEI and SUI in terms of 24-hour gains, boasting a growth of over 9% among the top 100 digital currencies on CoinMarketCap.
With a 67% spike in trading volume, hopes are on the rise that this positive momentum could be sustained, possibly catalyzing a resurgence of the TON blockchain, spearheaded by Notcoin’s ascension.
Notcoin Emerges from Declining Pattern
Examining the price movement of the NOT/USDT pair reveals distinct indications of bullish momentum. Recently, Notcoin broke out of a falling wedge formation on the 4-hour chart, where it had been consolidating throughout the entire month of August.
This breakout propelled Notcoin into the league of top performers. The current price action has breached the triangle pattern and is grappling to maintain position above the 200 exponential moving average (EMA).
Should the price persist above this critical level, it signifies a heightened potential for further gains. As per analysts, Notcoin might witness a return on investment exceeding 25% by the week’s end, given the urgent need for the price to remain above the breaker level as indicated by the chart.
Moreover, a breakout from a consolidation phase earlier in the month led to a 30% surge for short traders, thereby hinting at a probable upward breakout.
The MACD (Moving Average Convergence Divergence) indicator lends support to this bullish view, with the histogram depicting robust momentum and the MACD line crossing above the signal line, signalling a sustained upward trajectory.
In the event that the NOT/USDT pair falters to maintain position above the breaker level or the 200 EMA, traders are advised to exercise caution in taking long positions.
Deciphering NOT’s Divergence
A deeper analysis of the longs percentage in high-volume trader accounts, coupled with the bid-ask ratio, unveils a divergence trend, wherein these metrics are moving in opposite directions—an indicator typically hinting at divergence.
In most scenarios, these indicators should move harmoniously, so this divergence poses queries. Divergence holds significance as it can either signify a reversal in trend or signal the continuation of the ongoing trend.
Notcoin’s Social Sentiment Surges
Notcoin has witnessed a gradual uptick in positive social sentiment. Metrics reflect a surge in mentions, posts, and likes across social media platforms, a crucial development for smaller coins like NOT reliant on robust community support to fuel price acceleration.
As social engagement escalates, the prospects of Notcoin’s uptrend enduring grow more robust. This upsurge in positive sentiment, alongside sturdy technical indicators, indicates a greater likelihood of Notcoin sustaining its upward trajectory in the days ahead.