MOMOFUN (MM) Price Prediction

Deep Dive

1. Post-Listing Volatility (Bearish Impact)

Overview: MM spiked 248% to $0.0104 on August 3 during its Binance Alpha listing and gamified airdrop (Coincu). However, prices have since retreated 59% to $0.00419 (as of September 25), reflecting classic "buy the rumor, sell the news" behavior.

What this means: The absence of follow-up catalysts since August leaves MM vulnerable to further profit-taking, especially with RSI (41.58) signaling oversold conditions that could trigger panic selling.

2. Token Unlock Overhang (Bearish Impact)

Overview: Only 7.8B MM (26% of max supply) currently circulate. Historical data shows similar low-float tokens like BABY faced 40-60% drawdowns when unlocks began (Binance Square).

What this means: Without clear vesting schedules or burns, the 22.2B remaining tokens represent a 285% supply inflation risk. This uncertainty suppresses long-term accumulation.

3. Meme/DeFi Sector Rotation (Mixed Impact)

Overview: MM combines AI trading tools with meme aesthetics – a narrative that drove 4503% volume spikes in August. However, the Altcoin Season Index has dipped 13% since early September, signaling capital rotation toward Bitcoin.

What this means: MM could rebound if speculative flows return to hybrid tokens, but current neutral market sentiment (Fear & Greed Index: 41) and -6.5% weekly crypto cap decline limit upside.

Conclusion

MM’s price trajectory hinges on managing supply inflation and reigniting its AI-DeFi narrative before the post-airdrop glow fades completely. While technicals suggest oversold conditions (MACD histogram turning positive), the 200-day EMA absence shows no established support. Can MM developers deliver utility fast enough to offset the 22.2B token overhang?