SafeMoon price to provide a buy opportunity before 65% breakout
- SafeMoon price is retracing after a 180% ascent between December 4 and December 9.
- The correction will likely extend another 20%, providing a ‘buy’ opportunity before SAFEMOON rallies 65% to $0.00000196.
- A breakdown of the range low at $0.000007 will invalidate the bullish thesis.
SafeMoon price more than doubled after the December 4 crash. The altcoin’s bullish move is currently undergoing a pullback, though bulls are expected to trigger a second leg-up in SAFEMOON.
SafeMoon price eyes a higher high
SafeMoon price set up a swing low at $0.00000070 after the December 4 crash. This downtrend underwent a u-turn and rallied 180% to set up a trading range and a swing high at $0.00000133. Since then, SAFEMOON has declined 25% to where it currently trades - $0.00000149.
Going forward, investors can expect the altcoin to see a further drop to the 62% retracement level at $0.00000118. A retest of this barrier is likely to see a surge in bullish momentum, triggering a new leg-up.
The same can be said for the 70.5% and 79% retracement levels at $0.00000107 and $0.000000966, respectively. A bounce off of these levels is likely to kick-start a new uptrend.
The resulting rally is likely to retest the range high at $0.00000196, indicating a 65% ascent. In some cases, SafeMoon price could briefly rise above this level to collect liquidity.
SAFEMOON/USDT 4-hour chart
If SafeMoon price fails to hold above $0.000000966, however, it will indicate a lack of buying pressure and increased selling activity. In such a case, SAFEMOON could revisit the range low at $0.0000007, where the bulls may try to mount a comeback.
The posting of a swing low below this barrier, however, will invalidate the bullish thesis outlined above and suggest a further descent is likely.
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.
