Gaming token Notcoin down by almost 50% after airdrop launch

NOT experienced a rapid decline hours after its anticipated launch on Thursday, shedding almost 50% of its value. This continues the cycle of huge selling pressure faced by cryptocurrency airdrops after their launch, especially the launch of gaming tokens in recent times.

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NOT tumbles after launch

NOT gaming token, designed to onboard users to Web3, continued to decline hours after its airdrop launch and is currently down by almost 50%, according to data from CoinMarketCap.

NOT garnered so much attention over the last few weeks, following announcements by crypto exchanges, including Binance, OKX, and Bybit, to add the token to their launchpads. A few hours after the airdrop launch on Thursday, Notcoin began to trade at a fully diluted valuation (FDV) of $1 billion after the distribution across various exchanges.

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The token generated $294 million in volume in the first hour of trading. However, the gaming token, which is said to have onboarded 35 million users into its ecosystem, began to decline strongly. As many airdrop farmers continued to sell off their tokens, NOT plunged, seeing a 50% crash.

NOT's decline follows a similar pattern to that of many cryptocurrency airdrops, which experienced massive sell-offs after their launch.

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Many expected NOT to cause a resurgence in the gaming token category after its launch, but it's currently underperforming expectations.

Gaming tokens have underperformed in 2024, especially compared to other tokens in trending categories like AI and memes.