BeInNews Academy reported that the price of NotCoin NOT experienced a sharp increase of nearly 36% in the past 24 hours, driven by unexpected bullish speculation around the currency based on the Telegram application.
However, this wave of rise did not turn into a sustainable momentum, but instead triggered the strongest wave of selling the currency has witnessed in six months. This move comes at a time when the correlation of the NotCoin currency's price #NOT has significantly decreased with the movement of Bitcoin #BTC , exposing the currency to independent volatility risks.
Notcoin #NOT and its separation from Bitcoin #BTC :
According to the site, the correlation between Notcoin NOT and Bitcoin BTC has weakened significantly, with the correlation coefficient dropping to 0.43. This rapid decline indicates that Notcoin NOT no longer closely follows the price movements of Bitcoin BTC. This separation could be beneficial if Bitcoin BTC continues to fluctuate or records further declines, as Notcoin NOT may avoid direct downward pressure.
However, it also presents new risks, as any strong recovery of Bitcoin $BTC can pull liquidity away from smaller speculative assets, while the Chaikin Money Flow (CMF) indicator shows a sharp decline over the past 24 hours, confirming significant outflows of funds.
Notcoin #NOT is caught between support and resistance in volatile conditions.
The site clarified that the price of Notcoin NOT peaked at $0.000750 during the intraday rally before retreating to $0.000615. This rapid correction reflects a waning positive sentiment and aligns with the exit signals shown by market indicators.
If Bitcoin BTC starts to recover, Notcoin NOT may face challenges, as the recovery of Bitcoin BTC redirects liquidity toward larger and less volatile assets, which may push the price of Notcoin NOT below the support level of $0.000609. Losing this level would expose the coin to the risk of dropping to $0.000552. Conversely, if Bitcoin BTC drops again and Notcoin NOT investors regain their confidence, the coin may find support at $0.000609.
