SafeMoon action continues to be underwhelming as SAFEMOON price carries on with making lower lows. The diminishing volume also suggests that interest in the altcoin has declined, leading to a development of a bearish chart pattern.
SafeMoon price has collapsed a descending triangle on the 4-hour chart, suggesting that SAFEMOON price could be heading lower. Despite efforts to recover from the underperformance, the cryptocurrency lacked strength and is at risk of further decline.
The governing technical pattern suggests that SafeMoon is prepared for a 24% drop, heading to the $0.00000153 level. Failing to hold above the base of the triangle at $0.00000203 could spell trouble for the bulls.
Currently, SafeMoon's price is indecisive, consolidating around the horizontal trend line of the prevailing chart pattern. The price action could quickly be shifted if SAFEMOON price sees a spike in selling pressure, putting the bearish target on the radar.
SafeMoon's price could also find a support level at the 127.2% Fibonacci retracement at $0.00000172 before reaching the target given by the descending triangle. However, this line of defense remains weak as the diminishing trading volume may suggest that buyers are nowhere to be found and may struggle to lift Safemoon prices higher against the overpowering distribution of the sellers.
Should SafeMoon price witness a reversal of fortune, the altcoin would need to slice above the hypotenuse of the descending triangle pattern and the 20 four-hour Simple Moving Average at $0.00000210 to avoid the bearish outlook.
Further hope may arise for the bulls if SafeMoon price surges above the 78.6% Fibonacci retracement level at a price of $0.00000218, as SAFEMOON could then target the next resistance at $0.00000277, where the 50 and 100 four-hour SMAs converge.
However, SafeMoon's price is not expected to make further advances above the aforementioned resistance given the lack of buying pressure and trading volume.
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