One of the recent projects emerging from Telegram, Banana Gun (BANANA), marked a significant increase of over 35% in the past 7 days. Although Binance’s announcements had a significant impact on BANANA’s price, the lack of substantial inflows into the cryptocurrency continues to raise questions.
BANANA Commentary
Following the launch announcement on Binance’s Airdrop Portal, BANANA’s price surged after being listed on Binance. Initially, this created a significant demand increase, but the situation may not be progressing the same way now.
Although this situation triggered a noticeable rise in Banana Gun’s price, the charts reflected that the price was no longer increasing.
Following developments on Binance, as seen in the Relative Strength Index (RSI), BANANA was observed to be overbought. The upward momentum peaked within a day, with the RSI indicating overbuying.
On the other hand, a different view was noted in BANANA’s Chaikin Money Flow (CMF) indicator. The CMF indicator showed that there were no significant inflows into BANANA. On the contrary, outflows were more prominent on the BANANA side.
BANANA’s Future
After yesterday’s historic rise, BANANA’s price reached an all-time high of $87.03. However, the subsequent decline reflected a drop to $70.06, limiting the increase to 30%. The current price is $72.24, with a critical resistance level forming just above $76 for BANANA.
With the peak of the rise and the decrease in fund inflows, it is speculated that the price could potentially fall to $65.00 or lower. If BANANA does not see high demand following its listing on Binance on July 20, the price could drop further.
On the other hand, if investors accumulate more BANANA and do not quickly sell to realize profits, the $70.61 level could be surpassed, and the altcoin could move back to $75.
