SafeMoon Price Prediction: SAFEMOON must crack critical resistance to recover
|- SafeMoon price seems to have formed a descending parallel channel pattern on the 4-hour chart.
- A spike in buying pressure could lead SAFEMOON to retest the resistance at its last all-time high of $0.000015.
- The resistance barrier in the parallel channel has continued to prevent SAFEMOON from moving further.
After testing the channel's upper resistance on May 6 at $0.000012, SAFEMOON has regressed 50% and is currently trading at $0.0000065. This behavior of Safemoon price has formed a descending parallel channel that keeps the digital asset bouncing between the trends lines in an accumulation phase.
SafeMoon price targets higher highs
SafeMoon price has endured a consolidation period for three weeks that began on May 6. Safemoon price has recorded a series of lower lows and lower highs since then. The upper trendline resistance level at $0.000010 continued to prevent SAFEMOON advance.
Such market behavior formed a descending parallel channel on the 4-hour chart. A recent increase in buying pressure behind the SafeMoon price would allow the break out of the channel's upper trendline.
SafeMoon price should convert the 200 four-hour moving average that acts as resistance into support, which could lead to an upswing towards the channel's upper boundary at $0.000010.
If SAFEMOON manages to break this barrier, the digital asset will start a bullish rally of nearly 60%, reaching $0.000014. This target is determined by measuring the width of the parallel channel and adding it to the breakout point.
SAFEMOON/USDt 4-hour chart
An increase in profit-taking by investors would lead SAFEMOON to collapse below the channel's lower trend line, which may push SafeMoon price to the recent May 16 low at $0.0000026.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.