SafeMoon has experienced a massive sell-off since June 15 as it deviated below its previous range low established on May 23. However, this price deviation is likely to revert to the mean, providing an excellent opportunity for an uptrend.
SafeMoon price created a range as it dropped 60% from $0.00000682 to $0.00000257 level. Since this vast crash, SAFEMOON price briefly reverted to the 50% Fibonacci retracement level of this range at $0.00000478.
The inability of the buyers kept SafeMoon price below this support level for most of the time. Similar reversion to the mean takes place when a significant price move occurs, regardless of the direction.
The recent sell-off pushed the range low to the $0.00000257 level. AlthoughSafeMoon price has risen 24% over the past 12 hours, more of this ascent is likely to occur shortly.
Therefore, investors can expect SAFEMOON's price to retest the 50% Fibonacci retracement level at a price of $0.00000470, roughly a 60% rally from the support level at $0.00000295.
Moreover, crashing 30% between June 20 and June 22 pushed SafeMoon to create a new range low and dragged the Relative Strength Indicator below 30, the oversold level.
The last time RSI dipped below 30 was on May 23, which was followed by an 88% price rally, which swaggered through the mean.
Although RSI has climbed to 46, if something similar were to happen, a 60% upswing to the 50% Fibonacci retracement level at a price of $0.00000469 seems likely.
Over the past month, the dominance price chart has set up two higher highs, indicating a steady growth and further adding credence to the bullish thesis for SAFEMOON.
After the recent sell-off pressure, the flagship cryptocurrency has positioned itself for a move higher; therefore, investors can expect SafeMoon's price to do the same as well.
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