SafeMoon price can rally 20% if it can hold above this crucial barrier
- SafeMoon price shows the breakout from a falling wedge is still in play.
- If the $0.00000159 support level holds, SAFEMOON could rally another 20%.
- A breakdown of the $0.00000140 swing low will invalidate the bullish thesis.
SafeMoon price is currently experiencing a slowdown as it hovers above a stable support floor. However, investors need to note that a successful bounce off this barrier could extend the altcoin’s rally.
SafeMoon price contemplates gains
SafeMoon price set up three lower highs and two lower lows since September 6. Connecting these swing points using trend lines reveals the formation of a falling wedge. This technical setup forecasts a 38% upswing to $0.00000182, obtained by adding the distance between the first swing high and swing low to the breakout.
On September 29, SafeMoon price rose roughly 30%, shattering the upper trend line of the falling wedge. Since then, SAFEMOON has rallied 19% and is currently hovering above the $0.00000159 support floor.
This barrier is crucial in determining where SafeMoon price will go next. A bounce off this foothold is crucial for an extension of the uptrend. In this case, SAFEMOON is likely to continue climbing another 20% to retest the $0.00000189 resistance level.
SAFEMOON/USDT 1-day chart
While things are looking on the fence for SafeMoon price, a breakdown of the immediate support floor at $0.00000159 will indicate that the selling pressure has increased, allowing bears to take control.
In a situation where SafeMoon price shatters the $0.00000140 swing low to create a new lower low, the bullish thesis will face invalidation. This move might potentially trigger a further descent to $0.00000130 or lower.
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.
