Banana Gun ($BANANA) Dives Nearly 10% After Hitting Resistance — Will $19.94 Hold the Line?

A sharp decline of 9.76% in BANANA occurred after it failed to break above the key $24.65 resistance.

Trading volume dropped by 32.38%, pointing to fewer buyers involved in the market even with liquid caps.

Traders are still watching $19.94 as support; they might seek a retest of the upper resistance area.

Banana Gun (BANANA) experienced a steep price drop in the past 24 hours, consistent with overall market fluctuations and short-term holder profit-taking. BANANA is currently valued at approximately $21.09, having dropped by 9.76% on the day, following an instant rejection from the high of $24.65 during the day.

The Binance daily chart reveals that $23.36 to $24.65 is a tough area for the token, having previously prevented upward movement on several incidents. After testing above this zone, the price could not continue rising and it acted as a barrier for the second time. This suggests that sellers are in control, probably because people are being careful during the recent rally and as conditions tighten in the market. According to analyst Crypto Bull, BANANA is expected to bounce to $35 - $65.

Volume and Market Sentiment

Volume numbers show a 32.38% drop in 24-hour trading volume, to $23.42 million, which shows that the buyers are moving back after the price surge in recent times. Although the volume is decreasing, the volume-to-market-cap ratio remains a healthy-looking 27.9% and shows that liquidity in the market is still present, although lower than where it began for the week.

Source: CoinMarketCap

The market cap currently sits at $84.01 million, with 8.45 million tokens in circulation out of a maximum supply of 10 million. The holder count stands at 12,130, reflecting a modest but stable community engagement.

Support Zone and Outlook

From a technical perspective, support is observed near the $19.94 level, aligning with previous consolidation zones and the ascending trendline visible on the Binance chart. If the price moves back below this point, the security might fall to the $18 level.

Still, traders are focused on a rebound near the current support which could allow prices to challenge the latest resistance. Short-term, the outlook is neutral but slightly bearish, since the momentum is weakening.