Technical analysis by Crypto-Adda_Official about Symbol BANANA: Buy recommendation (8/26/2025)

$BANANA 🍌 Soars past $50 How Trendline Support Trading Works Identify the Trend: Look at the price chart of a cryptocurrency (e.g., Bitcoin or Ethereum) on platforms like Trading View. In an uptrend, draw a trendline by connecting at least two higher lows (points where the price dipped but didn’t break lower). Use charting tools to ensure accuracy, as eyeballing can lead to errors. Confirm the Support: A valid trendline should be touched by the price at least three times to confirm it’s a reliable support level. The more times the price respects the trendline (bounces off it), the stronger the support. Trading the Trendline Support: Entry Point: When the price approaches or touches the trendline in an uptrend, it’s a potential buy signal, as the price is likely to bounce upward. Stop-Loss: Place a stop-loss just below the trendline to protect against a breakout (when the price breaks below the trendline, indicating a potential trend reversal). Take-Profit: Set a target at a previous high (resistance) or use indicators like Fibonacci extensions to estimate where the price might go. Validate with Other Indicators: Use additional tools like volume (high buying volume near the trendline confirms support), RSI (to check if the asset is oversold), or candlestick patterns (like bullish engulfing) to increase confidence in the trade. For example, if Bitcoin’s price touches a rising trendline at $60,000 with high volume and an RSI below 30, it’s a stronger buy signal. Monitor for Breakouts: If the price breaks below the trendline with strong volume, it may signal a trend reversal or a new downtrend. This could be a signal to exit or consider a short position (betting on price decline).