- At press time, NOT had a market cap of just over $681 million
- Meanwhile, buying pressure on TON hiked on the charts
The wait is now over as the much-talked-about Telegram-based crypto Notcoin [NOT] finally arrived on 16 May. The launch wasn’t perfect, as the newcomer soon recorded a major drop in its price. However, it still managed to cling close to the top-100 list of cryptos. Meanwhile, Toncoin [TON] remained bearish on its charts
All about Notcoin’s launch
AMBCrypto previously reported that NOT was getting airdropped on 16 May, with several crypto-exchanges like Binance announcing that they would list the token. During the launch, the newly listed token had an initial price of $0.01, which translated into a $1 billion market capitalization.
However, things didn’t go as planned as the altcoin soon noted a major correction hours after its launch. According to CoinMarketCap, NOT’s price has dropped by over 53% since its launch. At the time of writing, NOT was trading at $0.006631 with a market cap of over $681 million, making it the 108th largest crypto in the market.
Now, such price declines after airdrops aren’t something new as similar incidents have happened before. The primary reason why this happens is because of sell-offs by investors immediately after launch since they choose to earn profits, rather than hold.
The good news, however, is that Notcoin’s trading volume has remained high since launch. To be precise, NOT’s volume stood at $1.4 billion, earning it the 8th spot on the list of cryptos with the highest 24-hour trading volumes.
While all this happened, Binance shared a major update for its audience. According to the same, the exchange has decided to remove the NOT/BTC trading pair, which was originally set to be listed on 16 May. This move was made in order to “provide a better trading experience,” Binance said.
TON bears aren’t letting go
AMBCrypto had previously reported how Toncoin, the blockchain on which Notcoin is minted, has been benefiting from the hype around NOT. However, the trend changed soon after as the token’s price dropped by over 3% in the last seven days. At press time, it was trading at $6.63 with a market cap of over $23 billion.
Our analysis of Santiment’s data revealed that investors used this opportunity to accumulate TON while its price was low. This was the case as TON’s supply on exchanges dropped sharply while its supply outside of exchanges rose. Its exchange outflows also increased, reflecting high buying pressure.
Source: Santiment
Read Toncoin’s [TON] Price Prediction 2024-25
To see whether the hike in buying pressure would translate into a price uptick, AMBCrypto then analyzed TON’s daily chart.
The token’s Chaikin Money Flow (CMF) registered a decline, hinting at a sustained price drop. Additionally, the Bollinger Bands revealed that TON’s price was still above its 20-day simple moving average (SMA). Hence, TON’s price might first drop to its 20-day SMA support, before gaining bullish momentum.
Source: TradingView