Notcoin (NOT) has been under significant downward pressure over the past week, witnessing a sharp decline from a local high of $0.0032 to a low of $0.0022. Despite minor attempts to recover, the token continues to struggle, with its price at $0.0023 at the time of writing. This marks a 7.97% drop over the last 24 hours, alongside weekly and monthly declines of 19.86% and 15.31%, respectively.
A Bleak Outlook for Notcoin Holders
Data from IntoTheBlock reveals a grim scenario for NOT holders—all of them are currently at a loss. This means that the asset’s current price is lower than the acquisition price for all investors, raising concerns about panic selling. Historically, such extreme bearish conditions indicate a potential bottom formation, but the risk of another leg down remains high.
The persistent decline has also impacted Notcoin’s market structure. AMBCrypto’s analysis suggests that NOT is flashing strong bearish signals, as demand has dried up and sellers continue to dominate. The token’s fully diluted market capitalization recently hit an all-time low, further confirming the weakening sentiment in the market.
Whales Join the Selling Spree
Adding to the downward momentum, large Notcoin holders, or whales, are offloading their holdings. Data shows that large holders’ netflow plummeted from 4.81 billion NOT to just 15.8 million, indicating growing bearishness among whales. This significant reduction in whale accumulation suggests that major investors are cutting losses rather than accumulating more tokens.
Risk-Return Metrics Worsen
Another key indicator fueling negative sentiment is Notcoin’s Sharpe ratio, which has turned negative. A negative Sharpe ratio signals that NOT is underperforming compared to risk-free assets, making it an unattractive investment. This lack of incentive for new investors has contributed to low capital inflows and extended selling pressure.
Also Read: Ethereum Whales Dump 440K ETH – Will Prices Rebound or Drop Further?
If the current trend continues, Notcoin could breach its $0.0022 support level and hit a nine-month low of $0.0020. However, if sellers exhaust themselves and buyers see an opportunity, a potential recovery toward $0.0031 could be in play. The next few days will be crucial in determining NOT’s fate in the market.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of CoinBrief.io. Before making any investment decisions, you should always conduct your own research. Coin Brief is not responsible for any financial losses.
