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BANANA's 24-hour increase of over 30% definitely grabs attention, and the scene of trading volume soaring by 661% looks crazy. But a closer look at the market reveals several issues.
The 4-hour RSI has already approached 74, firmly in overbought territory, yet the price has started to stagnate (down 2.34% over 4 hours)—this is a classic case of volume-price divergence. The bullish MACD bars on the hourly chart are narrowing, and the 1-hour chart has already turned negative. Such signs are rarely good.
A small-cap asset suddenly surging with huge volume often indicates short-term distribution, and FOMO driven by positive news pushing to the top is even more so. Is this the start of a new trend or the last blow before the trend exhausts? It's hard to tell. The risk of chasing long positions aggressively is indeed high.
From a contrarian perspective, high sentiment levels should keep us alert. If the price pulls back to around 7.00 USDT, whether it can hold this support is crucial. If it breaks down to 6.80 USDT, consider trying short positions, mainly with small size.
Currently, the best choice is to stay on the sidelines and patiently wait for opportunities.