In the 9-Volt stage, one of the microgames is based on Balloon Fight. In the microgame, the player has to defeat every Balloon Bird on screen by tapping their Balloons. There are also Giant Bubbles which float up, which although they can also be popped, are only a distraction. When the player taps a Balloon Bird's Balloon, they do not deploy their parachute, but fall directly into the water. In the first and second difficulty, the Balloon Fighter also appears once the screen is cleared, but cannot be damaged by tapping. In the third difficulty, the Balloon Fighter appears from the start with only one Balloon, and popping his Balloon will cause the player to fail the microgame, as well as preventing them from defeating any more Balloon Birds.
At the top of the screen, there is also counters for the score and high score, which although they increase when popping Balloons or Giant Bubbles, have no affect on gameplay and do not save between attempts. The stage which the characters fly around in randomizes both the layout and color of the platforms. One of these layouts is similar to Phase 1 from the original game, another has two platforms going off the edges of the screen, and another has an extra island in the water. Each of these layouts can also either be green, red, or blue, using palettes from the original game. When the Balloon Fighter comes on-screen at difficulty levels one and two, he can sometimes come up from out of the water. The Balloon Fish does not appear in-game.
When looking at the game in the album, there is a description of the game which will scroll past:
[Balloon Fight] Score 20 points to pass. Tap enemy balloon riders to make 'em crash and burn, but don't hit the dude with the red balloon! 1986: Balloon Fight / NES