After a challenging period for the TON blockchain, optimism is returning, thanks to the recent breakout performance of Notcoin (NOT). Launched on the TON network, Notcoin is showing signs of resurgence, boosting hopes that it could drive a broader revival in the ecosystem.
As of press time, Notcoin ranks third in 24-hour gains among the top 100 cryptocurrencies on CoinMarketCap, trailing behind SEI and SUI. Its price surged over 9% within a day, positioning it as one of the top performers. Notably, Notcoin’s trading volume increased by 67%, further fueling expectations of continued growth.
Notcoin Breaks Out Of A Falling Wedge
A technical analysis of the NOT/USDT pair reveals bullish momentum. On the 4-hour timeframe, Notcoin recently broke out of a falling wedge pattern, where it had been consolidating throughout August. This breakout has placed Notcoin among the top market gainers, with the price now attempting to stay above the critical 200 exponential moving average (EMA).
Remaining above the 200 EMA is crucial for Notcoin to maintain its upward trajectory. Analysts suggest that if the price holds this key level, the coin could see a return on investment (ROI) of over 25% by the end of the week. The current chart indicates a high likelihood of further gains if the breakout holds, building on earlier gains where a similar consolidation phase resulted in a 30% increase for short-term traders.
Additionally, the Moving Average Convergence Divergence (MACD) indicator supports this bullish outlook. The histogram is showing strong momentum, while the MACD line has crossed above the signal line, suggesting the upward trend will likely continue. However, if Notcoin fails to stay above the breaker level or the 200 EMA, traders are advised to proceed with caution when considering long positions.
Divergence in Notcoin’s Market Data
One potential red flag is the divergence seen in Notcoin’s top trader accounts. The longs percentage and the bid-ask ratio, typically expected to move in the same direction, are currently showing opposite trends. Such divergence can either signal a reversal or indicate that the current trend will persist, leaving traders wary of possible volatility in the near term.
Social Sentiment Boosts Notcoin’s Rally
Positive social sentiment is also playing a critical role in Notcoin’s recent surge. Social media mentions, posts, and interactions surrounding the token have steadily increased, a vital factor for smaller coins like NOT that rely on strong community support to drive price momentum. This rise in social activity coincides with Notcoin’s breakout performance, helping fuel its rally.
Also Read: Notcoin Faces 70% Price Hurdle – Liquidity Drops To $67M As Resistance Builds
With these factors in mind, Notcoin’s resurgence on the TON blockchain signals potential for broader optimism within the ecosystem. Should its technical indicators hold and social backing continue to grow, Notcoin could maintain its position as a key player in the crypto market’s ongoing rebound.
As the week unfolds, market watchers are keeping a close eye on whether Notcoin can solidify its breakout and continue its upward trend, potentially catalyzing a new phase of growth for the TON blockchain.
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 Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
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