- SafeMoon price is stuck between two moving averages, limiting both upside and downside potential.
- SafeMoon price is seeing interest die down as well with thin trading volume.
- Expect demand to drop with price action collapsing back to the downside to $0.00000102.
SafeMoon (SAFEMOON) price is caught between a rock and a hard place as both bears and bulls fight it out between the 5-day and the 10-day Simple Moving Averages (SMAs). As price is stuck trading between them, both parties have limited potential to dictate price action. With overall volume drying up too, expect a bearish drop and return to $0.00000102.
SafeMoon set to drop as volume dries up
SafeMoon price looks to be topping out already after the bullish reaction on Wednesday, which met a ceiling at the 10-day SMA, at $0.00000185. Bears are using the SMA as an entry point to short the altcoin, with their stops placed safely above it, out of reach of bulls. To the downside, the 5-day SMA at $0.00000173 is seeing a similar phenomenon with bulls trying to keep hold of the level to push SafeMoon price back up towards the 30-day SMA at $0.00000248.
The dried-up volume could be indicative of investors pulling out of Safemoon and reverting their cash into Bitcoin and other major cryptocurrencies. This could lead to a break of the 5-day SMA, followed by a magnetic pull towards the $0.00000102 support level. Expect support to hold at that level as the thin volume will make it harder for sellers to book profits without the sufficient liquidity to take the other side of the trade.
SAFEMOON/USD daily chart
If favorable tailwinds keep building in cryptocurrencies, expect the 10-day SMA to break to the upside and for Safemoon price action to rally up towards $0.00000250 for a test of the 30-day SMA and the red descending trend line. Although a break above is highly unlikely, a test of $0.00000350 could be on the cards if all the stars align, and given the thin volume, whilst a significant squeeze could take effect against SafeMoons’ bears.
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. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Is Altcoin Season here as Bitcoin reaches a new all-time high?
Bitcoin reaches a new all-time high of $98,384 on Thursday, with altcoins following the suit. Reports highlight that the recent surge in altcoins was fueled by the victory of crypto-friendly candidate Donal Trump in the US presidential election.
Shanghai court confirms legal recognition of crypto ownership
A Shanghai court has confirmed that owning digital assets, including Bitcoin, is legal under Chinese law. Judge Sun Jie of the Shanghai Songjiang People’s Court shared this opinion through the WeChat account of the Shanghai High People’s Court.
BTC hits an all-time high above $97,850, inches away from the $100K mark
Bitcoin hit a new all-time high of $97,852 on Thursday, and the technical outlook suggests a possible continuation of the rally to $100,000. BTC futures have surged past the $100,000 price mark on Deribit, and Lookonchain data shows whales are accumulating.
Shiba Inu holders withdraw 1.67 trillion SHIB tokens from exchange
Shiba Inu trades slightly higher, around $0.000024, on Thursday after declining more than 5% the previous week. SHIB’s on-chain metrics project a bullish outlook as holders accumulate recent dips, and dormant wallets are on the move, all pointing to a recovery in the cards.
Bitcoin: New high of $100K or correction to $78K?
Bitcoin surged to a new all-time high of $93,265 in the first half of the week, followed by a slight decline in the latter half. Reports highlight that Bitcoin’s current level is still not overvalued and could target levels above $100,000 in the coming weeks.
Best Forex Brokers with Low Spreads
VERIFIED Low spreads are crucial for reducing trading costs. Explore top Forex brokers offering competitive spreads and high leverage. Compare options for EUR/USD, GBP/USD, USD/JPY, and Gold.