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Notcoin struggles with bearish trend as price risks

Notcoin struggles with bearish trend as price risks

GrafaGrafa2024/09/12 03:55
By:Liezl Gambe

Notcoin (CRYPTO:NOT) is facing significant bearish pressure as it struggles to break above a descending resistance line that has held since July. 

The altcoin's price is under threat of revisiting its all-time low of $0.005, driven by declining network activity and reduced participation from major investors, or "whales."

An analysis of Notcoin's one-day chart reveals the token has been trading below a descending trend line for nearly two months, indicating a bearish market sentiment. 

Despite a modest 4% price increase in the past week, attempts to break above this trend line have so far been unsuccessful. 

If this resistance holds, it is likely that NOT will continue its downward trajectory.

Supporting this bearish outlook is a decline in Notcoin's network activity. 

Data shows a 17% drop in daily active addresses and a 16% reduction in new addresses created to trade NOT over the past week. 

Additionally, major holders have shown less interest, with transactions between $100,000 and $1 million decreasing by 92% over the last 30 days. 

Transactions valued between $1 million and $10 million have also fallen by 66%, suggesting waning confidence among large investors.

The bearish sentiment is further confirmed by the negative Elder-Ray Index, which measures the market's bull-bear power. 

Currently, the indicator stands at -0.00024, indicating strong bearish momentum. 

If the price fails to break above the descending resistance line, it could fall back to its all-time low of $0.0048, a level last seen in May.

However, a shift in market sentiment could offer some relief. 

If positive sentiment returns, NOT's price may climb toward $0.011, potentially reversing the bearish trend. 

For now, the token's future hinges on breaking free from the prevailing downtrend and attracting renewed investor interest.

At the time of reporting, the Notcoin (NOT) price was $0.007837.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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