Understanding Notcoin: Why Savvy Investors are buying the Dip Now

2024-09-04, 03:02

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![](https://gimg2.gateimg.com/image/article/17254186361692587449analysis.jpeg)
## [TL; DR]
Many crypto investors are acquiring NotCoin after its price dropped in the past weeks.

Buying the dip investment strategy may result in high returns if the asset rebounds.

Notcoin is a Telegram based gaming platform that enables players to earn in-game rewards.

## Introduction  
People who invest in cryptocurrencies should change their investment strategies based on market indications. The strategies they use should depend on whether they are focused on long-term or short-term investment. Buy the dip and buy and hodl are examples of investment strategies that crypto investors use. This analysis covers how the buy the dip strategy works and how best to use it.

## Market Analysis: Investing in Notcoin Using the Buy the Dip Strategy
During the last few days of August some crypto investors [adopted the buy the dip strategy](https://www.gate.io/learn/articles/mastering-aigorithmic-trading-strategies-for-cryptocurrencies/945 "adopted the buy the dip strategy") to acquire the Telegram coin Notcoin. This follows the continued decline in the Notcoin price since June. At times, during the last few weeks the price of Notcoin used to drop by two digits, something that disheartened its maximalists. However, there is hope that the Telegram coin may have relief from such price free fall. This is because during the fourth week of August there were several technical indicators to suggest a possible bullish reversal.

First, the Notcoin Chaikin Money <a href="/zh-tw/price/flow-flow" target="_blank" class="blog_inner_link">Flow</a> (CMF) flipped from the negative zone to the positive one. The CMF is a technical indicator which shows the level of buying or selling pressure of an asset. If the CMF is rising it shows that the investors are accumulating the asset. On the other hand, if it is falling it indicates that the investors are selling the asset. In the case of Notcoin, the rising CFM during the last few days indicated that smart investing was taking place. Therefore, if money continues to flow into the asset its value may rise in the near future.

There has been another positive development related to NOT. According to Coinglass, an online crypto analytic platform, recently the Notcoin’s Long/Short Ratio reading reached 1. This ratio indicates investors’ expectations about the performance of an asset. If the reading is below 1 that shows a bearish outlook. On the other hand, if the reading is above 1 that means the asset is bullish at that time. The following graph shows NOT’s Long/Short Ratio.
![](https://gimg2.gateimg.com/image/article/1725418748img_v3_02ed_50435232-429a-4abe-97b7-25d30a15a4ix.jpg)
NOT Long/Short Ratio – Coinglass

As you note, in the case of Notcoin the reading has been rising from negative to positive, showing that there are more longs (buyers) than shorts (sellers). The possibility of a strong price rally is the reason why some investors are buying the dip.

## Understanding Buying the Dip Concept
Buying the dip is an investment strategy where investors purchase an asset after its price has fallen to a certain level. There is no fixed value that is attached to the price drop. For example, for short term investors a 1% price drop may constitute a dip. On the other hand, long term investors may expect the value of the asset to fall by a higher margin such as 20% to call it a dip. Therefore, buying the dip depends on personal rules and expectations. However, generally, a dip is a noticeable fall in the price of a cryptocurrency. It is different from a mere correction or a small blip in the value of an asset.

There are various reasons that can lure investors to buy the dip. First, investors buy the dip in order to make a large gain when its price rebounds. For example, <a href="/zh-tw/price/bitcoin-btc" target="_blank" class="blog_inner_link">bitcoin</a> investors may buy the dip if the <a href="/zh-tw/price/bitcoin-btc" target="_blank" class="blog_inner_link">BTC price</a> has fallen by 20%. What this means is that bitcoin holders who want to acquire more of the asset can buy it after its price has fallen to $48,000. If, then, bitcoin rebounds to $60,000 that person makes a profit of $12,000.

Usually, crypto investors with a long term horizon capitalize on crypto dips. They can buy large quantities of an asset at a low price and hold it for a long time to generate much profit. One of the essential crypto investing tips for such investors is the need for patience. They should focus on long term market trends rather than short term ones. For example, an investor can buy NOT at the current price of $0.0084 and wait until its value reaches $1.

## Evaluating Crypto Investment Opportunities: Is NOT a Good Asset to Buy the Dip?
In terms of cryptocurrencies, it is important for investors to buy the dip coins or tokens with strong fundamentals. Notcoin is an example of a crypto asset with strong fundamentals. Basically, Notcoin is a Telegram based game which incorporated the tap-to-earn mining mechanism when it was initially launched. The players used to tap a gold coin that appeared on their screens to earn in-game rewards. For example, to earn the rewards they would complete tasks and quests. However, since the Notcoin tokens are already in circulation the game has turned on the explore-to-earn mode. The Notcoin game has several features which originally differentiated it from others. This also makes the demand for its native coin, NOT, high.

Tap-to-earn Model: Players used to tap a coin that appeared to earn rewards. That was a simple and fun way of playing the game.

Boosts and Power-ups: The players had the chance to increase their earning capacity through using in-game boosts and power-ups that enabled them to earn more whenever they tapped the coin than otherwise.

Leaderboard and Quests: The game has a global leaderboard which shows players’ rankings based on their performances. That also allows those who perform well the chance to earn more than the rest.

Community and Social Features: The game offers the players a chance to invite friends and form squads. Therefore, they can participate in community activities.

Integration with TON: Notcoin is integrated with the TON blockchain which ensures that it has secure and fast transactions. It can also integrate with different TON-based decentralized applications.

Notcoin (NOT) is the native cryptocurrency that drives the game, meaning that it is a utility token. Also, the integration of Notcoin with various applications on the TON network increases the functionalities of Notcoin and the native cryptocurrency, NOT. Since many users, based on Telegram, support Notcoin the demand for NOT will likely be high. As the adoption of the cryptocurrency increases the Notcoin value may also rise. Therefore, those who buy the dip may generate much profit in the future.

Read also: [Notcoin Price Prediction & Forecast for 2025, 2030](https://www.gate.io/price-prediction/notcoin-not "Notcoin Price Prediction & Forecast for 2025, 2030")

## How to buy LINK on Gate.io
To buy NOT on Gate.io you need to follow several simple steps. First, create and verify your account on the exchange. If you already have an account, login and [select the payment method](https://www.gate.io/crypto/buy "select the payment method") you want to use.

You can use a credit/debit card or wire transfer to buy leading cryptocurrencies like bitcoin, ETH and USDT which you can convert into NOT. Now, to start the buying process you hover your cursor on [Buy Crypto](https://www.gate.io/crypto/buy "Buy Crypto") and select your preferred payment method. Once you click on your preferred payment method, you then follow the given instructions.

## Conclusion 
The fall in the [price of Notcoin](https://www.gate.io/price/notcoin-not "price of Notcoin") has given investors the chance to buy the dip. Buying the dip is one of the best crypto investment strategies since the investors may earn higher returns than otherwise. Investors [can buy NOTcoin](https://www.gate.io/how-to-buy/notcoin-not "can buy NOTcoin") from different established cryptocurrency exchanges such as Gate.io.

<div class="blog-details-info">
<div>Author: Mashell C., Gate.io Researcher
<div class="info-tips">\*This article represents only the views of the researcher and does not constitute any investment suggestions.
<div>\*Gate.io reserves all rights to this article. Reposting of the article will be permitted provided Gate.io is referenced. In all cases, legal action will be taken due to copyright infringement.
</div>

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