Telegram-linked Notcoin (NOT) has seen a decline in buying momentum recently. The altcoin is now trading at $0.0076, marking a 3% decrease over the past week.

On-chain and technical indicators suggest that the downward pressure on the token may continue. Here is why.

Notcoin Poised To Extend Downtrend

In the past seven days, large holders, often referred to as whales, have been reducing their NOT holdings. This is reflected in the 101% decline in Notcoin’s large holders’ netflow recorded over the past week. 

Large holders are addresses holding more than 0.1% of an asset’s circulating supply. The large holders’ netflow metric tracks the net accumulation or distribution of an asset by these holders. A decline in an asset’s large holder netflow indicates that whale addresses are offloading their holdings. 

This is a bearish signal that suggests rising selling pressure and an increased risk of a price drop. Moreover, when retail investors notice large holders offloading large quantities of an asset, it often erodes their confidence, prompting them to sell, accelerating the price decline.’

Read more: What is Notcoin (NOT)? A Guide to the Telegram-Based GameFi Token

Additionally, over the past month, Notcoin’s short-term holders (STHs) — those who have held their tokens for less than 30 day — have decreased their holding time. Typically, a decline in holding time indicates that investors are selling the asset more quickly than before.

The situation is particularly precarious with STHs, as they hold a significant portion of the asset’s circulating supply. Consequently, when they shorten their holding periods and sell their coins, they put substantial downward pressure on the asset’s price.

NOT Price Prediction: All-Time Low In View

Notcoin is currently trading at $0.0076, just above the support level of $0.0069. With selloffs gaining momentum, NOT bulls may struggle to defend this support. If they cannot do so, the next price target for NOT could be its all-time low of $0.0010, a level last seen on May 16.

Read more: 5 Top Notcoin Wallets in 2024

However, if the Notcoin experiences a resurgence in demand, it could bounce off this support line and initiate an uptrend toward $0.012, negating the bearish outlook mentioned above.

Kraken is gearing up to introduce its own blockchain, Ink, in early 2025. The new platform will support dApps for trading, borrowing, and lending without the need for intermediaries. 

Ink will be a Layer-2 blockchain powered by Optimism’s OP Stack. This is the same technology that powers Coinbase’s Base, which has grown into one of the leading DeFi platforms since its launch. 

In an interview with Bloomberg, Andrew Koller, the founder of Ink, mentioned that a test version of the network will go live later this year. It will provide exclusive early access to the developers. 

Initially, Kraken will handle the role of the chain’s sequencer, managing transactions and generating revenue through this process. Over time, this responsibility will be decentralized and distributed among multiple participants.

Read More: Kraken Fees vs. Binance Fees vs. Coinbase Fees: A Detailed Comparison

“I’m sure they’re going to decentralize their sequencer, giving up sub-second block times and MEV revenue, and get to L2 Stage 2 as soon as possible. The unfragmented, harmonized rollup-centric roadmap is coming together exactly as planned!” crypto entrepreneur Matt Henderson wrote in an X post (formerly Twitter). 

Several major crypto exchanges have developed their own blockchains, following the success of Binance, the largest digital-asset exchange. Binance’s BNB Chain and its associated token have gained significant traction globally. 

Coinbase’s entry into the space with Base has also proven effective, with the platform achieving 300% growth in transactions during the second quarter. Unlike its competitors, Kraken has no plans to release a native token, as Koller noted.

Currently, a team of around 40 employees is working on Ink. The exchange is also organizing developer-focused events, including a presence at Devcon in Thailand.

In addition to INK, Kraken has also made several major announcements throughout the week. The platform is also launching a Bitcoin-backed asset called ‘KBTC,’ which can be traded natively on the Ethereum network. 

Regulatory Battle with the SEC continues

On a regulatory front, the exchange is pushing back against the SEC over claims that certain digital assets offered by the exchange qualify as unregistered securities. The SEC accused Kraken of violating federal securities laws, citing assets such as ADA, ALGO, and SOL. 

Read More: Crypto Regulation: What Are the Benefits and Drawbacks?

Kraken disputes this, stating that these assets do not meet the legal criteria for securities under U.S. law and accusing the SEC of overreaching with unclear guidelines.

The exchange has requested a jury trial, alleging that the SEC has consistently blocked its attempts to register or cooperate by issuing contradictory rulings and guidance. Kraken also recently delisted Monero (XMR) from its European market over regulatory changes. 

Ethereum (ETH) price appears to be moving within a neutral range, as indicated by several market metrics. The current Net Unrealized Profit/Loss (NUPL) value signals that most investors are neither highly profitable nor experiencing heavy losses.

This balanced sentiment suggests a mix of cautious optimism and anxiety but lacks the strong emotions that typically drive dramatic price shifts. Combined with the behavior of larger holders and key technical indicators, ETH might continue its sideways movement in the short term.

ETH NUPL Is Currently Neutral

ETH’s NUPL is currently at 0.34, signaling a neutral market state. This value suggests that most investors are neither deeply in profit nor in significant loss. It reflects a balanced sentiment among holders, with a mix of optimism and anxiety but no extreme emotions that usually drive large market movements.

Read more: Ethereum (ETH) Price Prediction 2024/2025/2030

NUPL, or Net Unrealized Profit/Loss, measures investor sentiment by comparing unrealized gains and losses. When NUPL is positive, it indicates holders are in profit, and when negative, it signals losses. A value of 0.34 places ETH in the ‘Optimism — Anxiety’ phase, suggesting investors feel cautiously optimistic but are also wary.

ETH is far from the more extreme stages of ‘Hope — Fear’ or ‘Belief — Denial’, indicating a stable, neutral market condition. This neutrality points to a likely sideways price movement in the short term, as neither strong buying nor selling pressure is currently dominant.

Ethereum Whales Are Not Accumulating

The number of addresses holding at least 1,000 ETH is declining, indicating that whales are not accumulating ETH. On September 25, there were around 5,628 such addresses, and now this number has dropped to 5,547. This steady decrease suggests a lack of confidence among large holders.

Tracking these whale addresses is crucial because they can significantly influence market trends. When whales accumulate, it often signals optimism and can drive prices higher. Conversely, a decline shows hesitation or risk aversion.

The consistent drop in whale addresses over the past month implies that big investors are not confident enough to accumulate ETH at this time. Instead, they may be reallocated to other assets or waiting for clearer signals before buying more ETH.

ETH Price Prediction: More Sideways Movements Ahead?

This Ethereum (ETH) chart displays several key moving averages (EMAs) and potential support and resistance levels. Currently, ETH is trading around $2,526, slightly below multiple EMA lines, indicating downward pressure.

That’s also reinforced by the fact that its short-term lines are going down. If they cross below the long-term ones, this would create a bearish signal.

Read more: How to Invest in Ethereum ETFs?

The chart also highlights clear resistance levels at $2,728 and $2,820, with previous attempts to break these points being unsuccessful. These levels will need to be breached convincingly to trigger any strong bullish momentum. On the downside, the support levels are marked at $2,308 and $2,150, indicating areas where buyers could step in.

The presence of these support and resistance levels, along with the lack of decisive movement around EMAs, suggests that ETH may continue consolidating, with price fluctuations within the range before a clear trend develops.