SafeMoon’s price is still forming a falling triangle pattern with a $0.00000133 measured move target.
Over the last ten days, daily volume has dropped, indicating that SAFEMOON speculators are undecided.
Over the last three days, the 10-day simple moving average (SMA) has been pulling on price, resulting in an extremely narrow trading range.
SafeMoon’s price behavior matches the cryptocurrency complex’s general lack of direction, demonstrating no dedication or energy. The descending triangle pattern, on the other hand, provides a clear roadmap for SAFEMOON, positioning the risk to the downside and indicating the possibility of a substantial loss if the bearish pattern resolves to the downward.
A negative formation known as a descending triangle appears as a continuation pattern during a downtrend and indicates distribution. As selling pressure develops, the lower reaction highs form the descending trend line, indicating demand that prevents the security from falling.
SafeMoon’s price has been forming a falling triangle pattern since May 21, with the horizontal trend line around $0.00000285 acting as the trigger. SAFEMOON has slid below the horizontal trend line on multiple occasions but has failed to close below it on a daily basis, posing a challenge to hungry bears.
If the price of SafeMoon closes below $0.00000285 on a daily basis, the descending triangle pattern will be triggered, officially shifting the spotlight to SAFEMOON’s negative potential. The May 19 bottom of $0.00000261 and the June 22 low of $0.00000230, representing a 20% loss from the horizontal trend line, are two support levels that will intervene if selling pressure rises.
SafeMoon price is expected to drop to the April 21 crash low of $0.00000150 before hitting the measured move target price of $0.00000133, which is a 50% drop from the horizontal trend line.
A 50% drop would wipe out most of the 2,140 percent gain made during the spectacular surge from April 15 to April 20 and put the SAFEMOON daily Relative Strength Index into oversold territory (RSI).
Daily chart of SAFEMOON/USD
If SafeMoon price can close above $0.00000338 on a daily basis, it will relieve pressure from the sliding 10-day SMA at $0.00000306 and allow SAFEMOON to target the descending triangle’s top trend line at $0.00000371, yielding a 30% gain from current levels.
SAFEMOON is presently trading at $0.00000287, putting it on the verge of a massive drop that will further scupper the newbie cryptocurrency’s chances of being a viable investment option in the market. For the time being, investors must be patient and wait for the pattern to resolve./n
