Sarah Tran
Independent Analyst
- SafeMoon price trend has been consolidating in the past few weeks, creating lower highs and lower lows.
- SAFEMOON rallied after its CEO revealed the project’s involvement in the Dogecoin and SpaceX partnership.
- Now, the asset is ready for a strong rebound following a period of underperformance.
SafeMoon price has broken out of a parallel channel that has sealed the asset in consolidation since May 25. The rise in SAFEMOON has been propelled by CEO John Karony after he revealed a significant involvement in the cryptocurrency space.
SafeMoon price rallies on accelerated interest
SafeMoon price has been freed from the declining resistance trend line that has kept SAFEMOON locked in consolidation in the past weeks.
SafeMoon CEO John Karony recently revealed on social media that the project’s chief blockchain officer was involved in the Dogecoin and SpaceX partnership. He stated:
We have no issues with Dogecoin. Fun fact, the SafeMoon chief blockchain officer was involved with the Dogecoin x SpaceX partnership.
SafeMoon price reached a breakout high of $0.00000490 following the announcement. SAFEMOON appears to have broken out of the descending parallel channel that has trapped the cryptocurrency since late May.
On the 4-hour chart, SafeMoon has shifted the 50 four-hour moving average from resistance to support, surging further above the critical descending resistance trend line and even above the 100 four-hour moving average.
Now, SAFEMOON has risen above the 23.6% Fibonacci extension level, which acts as the first line of defense for the asset. SafeMoon must hold this level as support before the reversal of fortune could be validated.
SAFEMOON/USDt 4-hour chart
Based on the governing technical pattern, an upside target could be measured for SafeMoon. By drawing a parallel channel above, a target of a 17% upswing for SAFEMOON could be expected, reaching $0.00000552. This measured target coincides with the 200 four-hour moving average, adding credence to the bullish thesis.
However, if SafeMoon loses the 23.6% Fibonacci extension level as support, SAFEMOON price could fall to retest 100 four-hour moving average at $0.00000426 before dropping to the upper trend line of the existing parallel channel at $0.00000403. This support level further coincides with the 50 four-hour moving average, acting as a critical line of defense.
Should SafeMoon fail to galvanize investors’ enthusiasm and witness a decline in buying pressure, SAFEMOON could retest the middle boundary of the parallel channel at $0.00000348.
Note: All information on this page is subject to change. The use of this website constitutes acceptance of our user agreement. Please read our privacy policy and legal disclaimer. Opinions expressed at FXstreet.com are those of the individual authors and do not necessarily represent the opinion of FXstreet.com or its management. Risk Disclosure: Trading foreign exchange on margin carries a high level of risk, and may not be suitable for all investors. The high degree of leverage can work against you as well as for you. Before deciding to invest in foreign exchange you should carefully consider your investment objectives, level of experience, and risk appetite. The possibility exists that you could sustain a loss of some or all of your initial investment and therefore you should not invest money that you cannot afford to lose. You should be aware of all the risks associated with foreign exchange trading, and seek advice from an independent financial advisor if you have any doubts.
Recommended Content
Editors’ Picks
Shiba Inu inspired meme coin BONE notes first rise following the 55% crash in two months
Bone ShibaSwap, also known as BONE, is one of the few meme coins that had a positive run on Monday. The meme coin is best known for being a token of the Shiba Inu ecosystem but is slowly emerging into an entity of its own, provided it can attract enough users to fuel its long overdue recovery.
Binance reopens Belgium operations after three months of suspension by FSMA
Binance has resumed operations in Belgium, around three months after suspension. An earlier report indicated that the Belgian regulatory body, Financial Services and Markets Authority (FSMA), instructed Binance to halt operations in the country beginning June 23 for violating laws.
Optimism, YGG, AGIX prices ready for impact with almost $40 million worth in cliff token unlocks this week
Optimism, Yield Guild Games, and SingularityNET ecosystems have massive token unlocks slated for later this week. Up to 12.42 million YGG tokens will be unlocked on September 27, a day before 9.68 million AGIX tokens are unleashed to the market.
Bitcoin and other crypto asset funds could grow by 1,200% by 2028: Bernstein Research
Investments in crypto assets have been a dicey move, especially considering the recent market conditions. However, the optimism surrounding their future has been considerably supported by many individuals. Losing this opportunity could also scale your efforts back by over five years.
Bitcoin: BTC downside likely after 20-week EMA culls bulls
Bitcoin (BTC) bearish price fractal, as discussed in a previous article, is underway, but the lack of volatility is causing ambiguity and doubt. Regardless, BTC might see a bit of an upside before the long-term bearish scenario plays out.