SafeMoon has quietly drifted into the 50 four-hour SMA following the explosive 50% price gain into the June 15 high. The fundamental break with the suffocating descending channel trend has elevated the outlook for SAFEMOON price and established a foundation for higher as long as the broader cryptocurrency market cooperates.
The recent news of infrastructure vulnerabilities for the SafeMoon project has not translated into a notably weaker SafeMoon price. Instead, SAFEMOON seized on the announcement that the project is involved in the Dogecoin and SpaceX partnership to accelerate a price rally higher.
SafeMoon price rally has resulted in an upward trending 50 four-hour chart SMA, now at $0.00000426, thereby providing some magnitude of downside stability as SAFEMOON price retraces some of the recent rally.
SAFEMOON investors should use pullbacks to the 50 four-hour SMA to initiate positions for a price rally to the declining 200 four-hour SMA at the $0.00000514 level, generating a 20% profit.
If the cryptocurrency complex environment shakes off the negative bias, FOMO may drive SafeMoon to the 38.2% Fibonacci retracement level of the May correction at $0.00000620, offering a 40% profit from the current price. The four-hour RSI supports such an upside level before it would trigger an overbought reading.
A strong bid and a bullish cryptocurrency market could propel SafeMoon to the 50% retracement at a price of $0.00000731. However, it is a level that will be a challenge due to the price congestion associated with the May 13-20 time period.
In the context of a weak cryptocurrency market, SAFEMOON investors should apply trailing stops if the advance develops, but not too tight as the altcoin does experience wide percentage price swings on the intra-day charts. Trailing stops would be best used with a specific time close, such as one hour, four-hour.
On the other side, if SafeMoon price cannot maintain support level at the 50 four-hour SMA at $0.00000426 on a pullback, SAFEMOON's price will be vulnerable to test the previous declining trend line, now at $0.00000374.
Investing in the cryptocurrency market does carry significant risks, and the recent revealing of security vulnerabilities in the SafeMoon project digital infrastructure amplifies those risks. Nevertheless, SafeMoon is trying to turn price upside, gearing investors for a sustainable advance into the various targets outlined above. Most importantly, SAFEMOON investors need to make sure to let the rookie cryptocurrency prove itself before making grandiose projections and investments.
XRP price may be waiting for a collective improvement in altcoins
Shiba Inu price clarifies structure after a period of indecision
0 Comments