Notcoin’s price has plummeted in the past few weeks, erasing over $1 billion in market value. The NOT token hit a low of $0.0091 on Friday, its lowest level since May 29. This price represents a drop of over 64% from its highest point on record. Notcoin has lost significant momentum recently.
Understanding Notcoin and Pi Network
Notcoin and Pi Network operate differently in the blockchain industry. Notcoin is a Telegram mini-application that allows users to earn tokens by tapping a button. Anyone with Telegram can use the app and earn tokens. On the other hand, Pi Network is a Bitcoin rival that resembles other proof-of-work tokens. However, anyone with a smartphone can install the app and start mining Pi Coins.
Notcoin launched its airdrop in June, only a few months after its launch. Meanwhile, Pi Network has remained in an enclosed mainnet since December 2021. Despite their differences, both networks share two similarities. First, users press a button on the app to mine Notcoin and Pi Coins. Second, miners aim to convert these tokens into fiat currencies. Many Notcoin miners have either sold their tokens or held them as assets.
Pi Network’s Path to Mainnet Launch
Pi Network plans to launch its mainnet either in 2024 or 2025. To achieve this, the developers are ensuring that most pioneers complete the KYC process. Last week, Pi Network announced that it had conducted KYC on 12 million people. They need to verify just 3 million more users to reach their 15 million target, a process that will take a few months.
Additionally, developers aim to have at least 100 Pi applications to provide utility. They will launch the mainnet if market conditions are favorable.
Lessons for Pi Network
The first lesson for Pi Network is the likelihood of a price drop after the mainnet launch as many pioneers sell their holdings. This price action has occurred with other tokens. For instance, move-to-earn tokens like Sweatcoin (SWEAT) and StepN (GMT) initially jumped and then retreated. Both have dropped by over 90% from their all-time highs.
Second, Pi Coin may closely correlate with Bitcoin and other altcoins. Notcoin rose to a record high of $0.030 on June 2 as Bitcoin rallied to a monthly high of $72,000. Notcoin then dropped as Bitcoin lost momentum and fell below $55,000 on Friday. Therefore, Pi Coin may also correlate with Bitcoin and other altcoins in the long run.
In conclusion, Pi Network should prepare for potential price volatility post-launch and expect that Pi Coin’s value might follow broader cryptocurrency market trends. Understanding these dynamics can help set realistic expectations and strategies for long-term success.
Read Also: Notcoin 24-hour Price Analysis: $NOT Sees 8% Drop – Time to Buy the Dip or Wait for a Rebound?
