The trending Telegram memecoin, Notcoin’s price rises by up to 40% and is now valued at $0.012, as analysts warn the coin might be overbought.
A bearish mood is still plaguing the cryptocurrency market, as Bitcoin cannot sustain support over $68,000. Notcoin (NOT), on the other hand, has become a beacon of hope amidst the sea of red, defying the broader market trend with a startling 40% gain in the last day.
Notcoin is presently the 72nd most prominent cryptocurrency, trading at $0.01224 and with a $1.26 billion market value. Notcoin made an astounding 132% rise in the previous week. The 9.40% increase in daily trading volume, which settled at $1.18 billion, coincides with the NOT price jump.
Experts Alert Us to Overbought Situations
For owners of Notcoins, the recent price increase is welcome, but experts advise caution. The coin’s Relative Strength Index (RSI), according to TradingView data, is an alarming 68, suggesting that it is heavily overbought. This raises concerns over price manipulation by whales or big investors with significant market power.
NOT’s RSI needs to calm down and settle below the 50 level for a continuous and healthy price gain. A relative strength index (RSI) of less than 50 would indicate more stable market conditions and lessen the likelihood of an abrupt and significant price drop.
The latest surge comes after NOT had a difficult launch. The initiative made its premiere on May 16 by airdropping 80 billion tokens. Although it seems promising to list on well-known exchanges like Binance, Bybit, and MEXC, these easily accessible platforms enabled airdrop recipients to sell off rapidly, which led to a 55% price drop immediately after introduction.
Following this event, unfavorable sentiments dominated the market for more than a week, which put downward pressure on the price. As a result, on May 24, the cost of Notcoin dropped to a low of $0.004583. But in the end, this ostensibly lowest price point catalyzed an incredible comeback.
Popular Vote Drives NOT’s Ascent
On May 28, Notcoin saw a remarkable 58% increase that nearly brought it back to the $0.01 level. This surge followed a community survey in which supporters overwhelmingly opted not to use Bitcoin. The recent price hike is primarily due to this vote of confidence from its customer base.
It remains to be seen if it can continue on its rising track. The overbought RSI and the recent volatility around the launch raise concerns regarding short-term stability. Positive aspects, though, include the community’s support and the defiance of the broader market collapse.
