Safemoon price suddenly wakes up; can the gains hold?

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As a seasoned researcher with years of experience in the cryptosphere, I’ve seen my fair share of market surges and dips. The recent 76% surge in Safemoon (SFM) price on Monday, Nov. 25, caught my attention, especially given its modest trading volume.

On November 25th, the price of Safemoon experienced a significant increase of approximately 76%, placing it among the top performing cryptocurrencies within the sector.

For two days straight, the price of the Safemoon (SFM) token climbed, peaking at $0.00002890, a level not seen since November 1st, and around 77% higher than its lowest point this month.

Despite the rebound, the minimal trading activity suggests a potential concern, as a large trading volume is typically expected. Safemoon’s 24-hour trading volume stands at only $90,000, a relatively small amount for a coin with a market capitalization over $31 million. This low volume could be attributed to the restricted number of exchanges like MEXC, Gate, and BitMart that have included the token in their listings.

The rally may have been spurred by the recent announcement regarding the Safemoon Wallet, now in open beta. The wallet, acquired by The VGX Foundation through a bankruptcy process, features an NFT collections page, a multi-function calculator, a wallet tracker, and a dApp browser.

The cost of Safemoon increased due to investors purchasing at a lower price point, acknowledging its relatively poor performance during the overall cryptocurrency market surge. Meanwhile, Bitcoin‘s value is slightly under $100,000, and the Crypto Fear and Greed Index has escalated to 88, indicating an extreme level of investor enthusiasm.

In the past, digital currencies that were once associated with fallen angels, such as Terra Luna Classic, Celsius, and Voyager Digital, have a tendency to increase in value during times when there is a higher demand for riskier investments within the cryptocurrency market.

Safemoon price analysis: how high can SFM reach

As the SFM token drew near to the apex of a symmetrical triangle shape on the chart, which has been forming for several months, it began to recover. Historically, financial assets often see either a bullish or bearish breakout as they reach the convergence point of such triangles.

Currently, Safemoon is making an effort to surpass its 50-day and 100-day Exponential Moving Averages, hinting at a potential rise. The increasing trend in the Relative Strength Index implies that the token is picking up speed.

It’s expected that Safemoon’s price will continue within its current band while investors wait for more triggers. The ongoing recovery might stir FOMO (Fear of Missing Out), possibly pushing the price up to $0.0050. However, if it falls below the support at $0.00001618, this would contradict the positive forecast.

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2024-11-25 17:27