Is HODLing Notcoin (NOT) Profitable for Investors in 2024?

Is HODLing Notcoin (NOT) Profitable?

NAIROBI (CoinChapter.com) — Notcoin (NOT), a blockchain-based game operating on The Open Network (TON), has taken the Telegram messaging platform by storm, amassing an impressive 35 million users in just two months. This meteoric rise is attributed to the game’s simple yet addictive premise: users earn NOT tokens by tapping their screens. This unique model has successfully introduced 3% of Telegram’s vast user base to the world of Web3, marking a significant milestone in blockchain gaming adoption.

Sad Creator’s post on X

Moreover, the game’s engaging nature has led to high daily active user rates. ChrisBTCbull noted over 7.1 million daily active users. This surge was expected to drive up the value of Notcoin, but the price chart shows a decline from $0.0067 to $0.0050. This divergence between user growth and coin value raises questions about the underlying factors affecting Notcoin’s performance.

Since its launch, NotCoin’s price has been volatile. Initially trading at around $0.0053, it has dropped to approximately $0.0049, reflecting a 5.60% decrease in the last 24 hours alone. Despite this downturn, the broader cryptocurrency market has seen a 7.8% increase over the same period, indicating that NotCoin is underperforming compared to its peers.

Notcoin 1-day price chart. Source: CoinMarketCap

According to CoinGecko, Notcoin currently boasts a market capitalization of over $515 million and a 24-hour trading volume exceeding $98 million. These figures indicate a significant level of interest and liquidity, which could potentially translate into sustained growth and value appreciation for NOT token holders.

Notcoin Potential for Recovery

While Notcoin has a market cap over $500 million putting it in the top 150 cryptocurrencies by that metric, it is still a relatively new and unproven asset. There is little solid fundamental information available about its technology, real-world use cases, adoption rates, or the expertise of its development team.

However, the current market conditions suggest that NotCoin needs to overcome substantial hurdles to achieve stability and growth, leaving investors to wonder if it’s worth HODLing Notcoin for the long term. The lack of strong investor confidence and the competitive landscape add to the challenges faced by the token.

Examining historical data of similar cryptocurrencies can provide insights into NotCoin’s potential. For instance, early investors in Bitcoin and Ethereum who HODLed through initial price drops eventually saw substantial returns. Yet, these cases are exceptions rather than norms, and not all cryptocurrencies follow the same trajectory.