SafeMoon price approaches critical support area, 37% gains await
- SafeMoon price has been on a steady downtrend since June 29 and is hovering above a key barrier at $0.00000272
- A bounce from this level will likely propel SAFEMOON to $0.00000374.
- A breakdown of the range low at $0.00000257 will invalidate the bullish thesis.
SafeMoon price is experiencing a premature shift in trend after an attempt to move higher. The rejection on June 29 has led to an extended pullback which could be finding a foothold to kick-start an uptrend.
SafeMoon price awaits a trigger
SafeMoon price rose 33% between June 26 and June 29 and pierced the resistance level at $0.00000338. However, this move reversed and crashed 20% to test the support level at $0.00000272. After a recent bounce, SAFEMOON is trying to retest this floor, hoping to kick-start a new uptrend.
If this were to happen, SafeMoon price would likely rally 23% to take another jab at flipping the resistance level at $0.00000338 into support. Following a successful flip, SAFEMOON could continue to climb until it creates an equal high at $0.00000374. This move would represent a 37% gain from $0.00000272.
In a highly bullish case, SafeMoon price could advance 10% to tag $0.00000412, the only barrier separating the altcoin from the range high.
SAFEMOON/USDT 4-hour chart
While a bounce from the $0.00000272 support floor seems plausible and obvious, a potential spike in selling pressure could shatter it. In such a case, SafeMoon price could retest the range low at $0.00000257 without negatively impacting the uptrend narrative.
However, if SAFEMOON breaks down this foothold, the bullish thesis detailed above will be invalidated. In such a case, investors can expect a 23% sell-off to $0.00000198.
Author
Akash Girimath
FXStreet
Akash Girimath is a Mechanical Engineer interested in the chaos of the financial markets. Trying to make sense of this convoluted yet fascinating space, he switched his engineering job to become a crypto reporter and analyst.
