Notcoin, the popular tap-to-earn token, has been left in the dust as most cryptocurrencies continued to gain on Friday, Nov. 8.
Notcoin (NOT) was trading at $0.0063 on Nov. 8, down by 78% from its highest point this year. This decline has brought its market cap to over $648 million, down from an all-time high of $2.5 billion.
Notcoin’s price action has diverged from other cryptocurrencies that have risen to their multi-month highs. Bitcoin (BTC) soared to a record high of $76,000, while the total market cap of all coins has increased to $2.7 trillion.
Notcoin’s performance has also mirrored that of other tap-to-earn tokens like Catizen, Hamster Kombat, and DOGS, which have plunged by double digits.
A likely reason for this decline is that the hype surrounding Notcoin has waned since its airdrop and subsequent exchange listings. While specific numbers are not publicly available, there are indications that the number of Notcoin users has continued to fall.
Similar trends have been observed in other listed games. For instance, it is estimated that Hamster Kombat has lost over 260 million users as its coin dropped.
Notcoin’s plunge also reflects the broader pattern seen among other play-to-earn games. Axie Infinity’s (AXS) token surged to a record high of $165.93 as its ecosystem user base grew in 2021. However, it has since dropped by over 80%. Other once-popular play-to-earn tokens like Decentraland and The Sandbox have experienced similar declines.
Notcoin price could surge
There are signs that the price of the NOT token could stage a strong comeback in the near term. One of these indicators is that Notcoin’s futures open interest has been trending downward after peaking at over $293 million a few months ago. Falling open interest, combined with weak social media activity, often precedes a strong recovery.
Notcoin’s price has also formed a falling wedge pattern, one of the most recognized reversal signals. This pattern is created by connecting the higher highs and lower lows on a chart. With the two lines nearing a convergence point, there is a strong likelihood that the price will bounce back in the coming days.
A rebound could trigger fear of missing out, potentially pushing the price to the next psychological level of $0.02, which would represent an approximate 220% increase from the current level. This bullish scenario would be invalidated if the coin drops below the support at $0.0040.
