fxs_header_sponsor_anchor

SafeMoon price to find support while buyers eye return to $0.000007

  • SafeMoon price gained as much as 400% in October and closed with a gain of 309%.
  • SafeMoon is now 30% below the most recent all-time high.
  • Strong support suggests downside risks are limited.

SafeMoon price, along with Shiba Inu, was one of the biggest surprises of October. However, threats of a deeper pullback could be dismissed given the deep retracement that occurred over the weekend, followed by solid dip-buying.

SafeMoon finds buyers at critical Ichimoku support levels, but a deeper retracement could occur

SafeMoon price has found buyers step at three key Ichimoku levels – the Tenkan-Sen, the Kijun-Sen and the weekly Tenkan-Sen (represented by a dark blue line/ray). Those three Ichimoku levels fall into a price range that from $0.0000040 to $0.0000047. Sellers tested those levels heavily during the Saturday and Sunday trading sessions.

Elliot Wave Theory can provide some ideas of how far SafeMoon price could pull back. Assuming that the massive bull run in October was Wave 1 of an Impulse Wave, that provides several price zones to consider. Wave 2 is often a 50%, 61.8%, 78.6% or 88.2% Fibonacci retracement of Wave 1. Using the bottom of the weekly strong bar as the retracement low, that gives traders the following price levels to consider:

50% - $0.0000039

61.8% - $0.0000033

78.6% - $0.0000029

88.2% - $0.0000023

SafeMoon price has already tested and found support against the 50% level at $0.0000039, but it remains to be seen whether SafeMoon will move lower. If it does not and the 50% level is where Wave 2 ends, then the next level to watch is the 161.8% Fibonacci expansion of Wave 1 at $0.000012, which would fulfill Wave 3 in the current, implied Impulse Wave. However, to move to that new all-time high, buyers will first need to return to the all-time high at $0.000007.

SAFEMOON/USDT Daily Ichimoku Chart

A return to $0.000007 would be invalidated if SafeMoon price moved below the 88.2% Fibonacci retracement at $0.0000023.

 

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.


RELATED CONTENT

Loading ...



Copyright © 2024 FOREXSTREET S.L., All rights reserved.