Notcoin (NOT) has witnessed an impressive price rally over the last three days. Data from TradingView shows that the NOT price rose from a low of $0.0091 on July 5, climbing 79% to today’s intraday high of $0.0162.
The asset’s market cap currently sits at $1.5 billion, making it the 49th-largest cryptocurrency.
Moreover, Notcoin’s daily trading volume has skyrocketed by 307% over the last 72 hours, reaching a whopping $1.1 billion.
According to data from Coinglass, the Notcoin total open interest increased by 90% over the last three days— rising from $101.56 million on July 6 to $192 million on June 8. When an asset’s open interest suddenly increases, high price volatility is usually expected due to heightened liquidations.
Notcoin open interest. Source: Coinglass
Additional data from Coinglass shows that the total funding rate aggregated by NOT spiked from -0.0283% to 0.060% in the past 24 hours. This movement shows that the asset’s open interest has majorly increased with long trading positions.
Simply put, the amount of trades betting on Notcoin’s price growth has significantly increased.
From a technical perspective, NOT’s relative strength index (RSI) surged from 33 to 53 over three days. The indicator shows that NOT is slightly under the control of buyers at this point, and there’s a high chance of whales buying more to send the price higher.
As such, the price may grow from the current level to complete the V-shaped recovery chart pattern at $0.01660, representing the pattern’s neckline. A daily candlestick close above this level would see the price rise to collect the sell-side liquidity above that toward $0.0220. Such a move would represent a 45% uptick from the current price.
NOT/USD daily chart. Source: TradingView
On the downside, the bears may decide to book profits at current levels and the ensuing overhead pressure could see the price drop to seek solace from the 50-day EMA at $0.0137.
Additional lines of defense could emerge from the $0.012o psychological level and the July 5 swing low at $0.009. Losing this support would undo all the gains made over the last three days and invalidate the bullish thesis.
