The price of Notcoin surged nearly 36 percent in the past 24 hours as sudden speculation caused the coin used in the Telegram system to rise rapidly.
However, this price increase does not translate into sustainable momentum but rather leads to the heaviest selling in six months.
Notcoin has decoupled from Bitcoin.
The correlation between Notcoin and Bitcoin has weakened significantly to 0.43. This rapid decline shows that the price of NOT is no longer closely following Bitcoin's movements. Such a divergence can be beneficial if BTC continues to be volatile or declines further, as NOT may avoid direct stacked pressure.
Nevertheless, it creates new risks. Bitcoin's strong recovery may draw liquidity away from smaller speculative assets, which could cause NOT to decline even though its internal sentiment remains neutral.
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The Chaikin Money Flow indicator shows a rapid decline over the past 24 hours, confirming heavy outflows. This indicator has moved down into more negative territory, which is a sign that investors have exited their positions quickly after this price increase. Some may have sold to take profits or reduce exposure, supporting a significant price drop.
This selling pressure has shattered the original bullish momentum that had pushed NOT up. Continued outflows at this rate could limit short-term recovery efforts. Notcoin will need new accumulation and stability in the broader market to manage this impact.
The price of NOT touched a high of USD0.000750 during the peak before dropping to USD0.000615 as of this writing. This rapid adjustment reflects cooled sentiment and aligns with the outflow signals seen in market indicators.
If Bitcoin begins to recover, NOT may face difficulties. BTC's recovery often draws liquidity to larger, less volatile assets, which could cause NOT to drop below the support level at USD0.000609. Losing this level would push the price down to USD0.000552.
Conversely, if Bitcoin drops again and investors regain confidence, the coin may find support at USD0.000609. A successful recovery from this level could lift the price up to USD0.000723, which would be an opportunity to negate the negative outlook.
