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SafeMoon price consolidates before another massive breakout like 2021

  • SafeMoon price is in a tight congestion zone.
  • Consolidation precedes new trends.
  • A critical support level ahead will trigger bearish or bullish activity in the near term.

SafeMoon price is stuck in a tight range, giving traders a warning that a more extensive move may be coming soon. Limited historical data on the newest SafeMoon charts adds additional risks as forecasting becomes more tightly bound to current traded price ranges. 

SafeMoon price could rally to $0.0022

SafeMoon price has been trading in a tight consolidation range between $0.0015 and the 61.8% Fibonacci retracement at $0.0018. Bulls have been whipsawed near the $0.0080 value area, with a significant spike on February 8, nearly reaching $0.0020 before the collapse to $0.0017. That swing saw price move above the Tenkan-Sen and Kijun-Sen, then below both of those Ichimoku levels, and finally, above.

The critical level to watch for SafeMoon price is the $0.0018 value area – it contains the 61.8% Fibonacci retracement, 4-hour Kijun-Sen, and 4-hour Tenkan-Sen. A close below $0.0018 does not necessarily mean bearish price action is inevitable, but it does put future bullish price action at risk of failing. The real danger is a 4-hour close below $0.0017 as that could trigger significant selling pressure towards the $0.0014 value area.

Currently, the 4-hour chart is overwhelmingly bullish. All conditions necessary for an Ideal Bullish Ichimoku Breakout are currently present:

  1. Future Senkou Span A above Future Senkou Span B
  2. Tenkan-Sen above the Kijun-Sen
  3. The close is above the Tenkan-Sen, Kijun-Sen, and the Ichimoku Cloud (Senkou Span A and Senkou Span B).
  4. The Chikou Span is above the bodies of the candlesticks and in open space.

SafeMoon/USDT 4-hour Ichimoku Kinko Hyo Chart

With all of the above conditions true, SafeMoon price has a statistically easier time moving higher than it does lower due to a lack of any Ichimoku resistance zones ahead. Upside potential is likely limited to the 161.8% Fibonacci extension at $0.0022.

Author

Jonathan Morgan

Jonathan Morgan

Independent Analyst

Jonathan has been working as an Independent future, forex, and cryptocurrency trader and analyst for 8 years. He also has been writing for the past 5 years.

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