SafeMoon price rethinks directional bias as it fails to establish a higher high
- SafeMoon price is stuck consolidating in a tight range, extending from $0.0196 to $0.0017.
- The recent uptrend failed to set up a higher high above $0.0192, suggesting a lack of momentum.
- A retracement to the $0.0180 support level seems likely for SAFEMOON bulls.
SafeMoon price has failed to react to the recent bullishness of the market and is stuck in consolidation as a result. The return witnessed by SAFEMOON over the past week is underwhelming when compared to other altcoins.
SafeMoon price at a tipping point
SafeMoon price has rallied roughly 9% over the last four days, indicating a lack of bullish momentum amid the broader market's upward move. Despite the efforts, SAFEMOON failed to set up a higher high above the February 1 swing high at $0.0192.
This swing high paints a bearish picture and suggests that SafeMoon price could be due for a retracement. The pullback that originates here is likely to retest the immediate support level at $0.00184 and $0.00180.
If the selling pressure continues to build up, there is a good chance SafeMoon price will retest the February 3 swing low at $0.00176. Here, buyers can band together and form a base, setting up a double bottom and potentially kick-starting a new leg-up.
SAFEMOON/USDT 4-hour chart
While things are looking non-volatile for SafeMoon price, a potential surge in buying pressure that pushes SAFEMOON to produce a four-hour candlestick close above $0.0196 will create a higher high and invalidate the bearish thesis.
This development could see SafeMoon price retest the four-hour supply zone, extending from $0.0200 to $0.0203.
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.
