- After falling under $10 just a week or two ago, Band Protocol (BAND) has bounced back.
- The coin traded as high as $17 just on Tuesday after a notable partnership was announcement.
- BAND was also benefiting from an influx of capital into the digital asset markets, which pushed BTC in itself up around 4%.
- The leading cryptocurrency may be poised to reverse after an extremely strong rally.
- According to a Telegram channel for traders, the coin printed a notable sell signal.
- This signal could lead to a downside correction for Band, which is up exponentially in the past two months.
Band Protocol (BAND), a Chainlink Competitor, Just Formed a Sell Signal
Band is preparing for a strong correction after rallying dozens of percent since the lows around two weeks ago.
According to a Telegram channel tracking signals pertaining to the Tom Demark Sequential, BAND is in a bad spot. The cryptocurrency has formed a “sell 9” candle on its daily chart against BTC and the U.S. dollar per the channel.
Such signals are most often seen before an asset sees a reversal in its ongoing trend; in the case of BAND, that would likely mean a pause/consolidation or a move to the downside.
Chart of BAND's price action against the U.S. dollar over the past few weeks with the Tom Demark Sequential from a Telegram channel tracking the indicator. Chart from TradingView.com
Fundamentals Remain Bullish for the Coin
The fundamentals of Band remain bullish despite the recent price weakness and the sell signals. The team behind the cryptocurrency project recently announced that it has partnered with the Tron Foundation to bring its technology to the TRON ecosystem:
“TRONFoundation has strategically partnered and successfully integrated Band Protocol into TRON, one of the largest blockchain platforms, to provide scalable and secure $BAND oracles for an ecosystem with almost 1000 decentralized applications.”
Announced in the Medium post accompanying the tweet, the two groups will be collaborating on allowing TRON dApps to access Band oracle data.
Some in the space see this as a validation of the cryptocurrency, with this seemingly being its most notable partnership to date:
“We are ecstatic to enhance TRON with the most valuable oracle product on the market. This integration marks a new era of high-quality partners, protocols, and services migrating to TRON’s blockchain. The future of blockchain technology is bright as we kick off a series of TRON DeFi partnerships to come,” said TRON founder Justin Sun on the matter of the partnership.
Band has also announced a series of other partnerships that are likely to bolster usage of the coin and its technologies moving forward. Yet the TRON announcement seems to be the most notable to date.
Featured Image from Shutterstock Price tags: bandusd, bandbtc Charts from TradingView.com Band Protocol (BAND) Forms Notable Sell Signal... Twice