SAFEMOON retraces in preparation for 16% jump

• SafeMoon price rallied after a retest of $0.00000344 and surged 27% to $0.00000450.
• A correction to the 50% Fibonacci retracement level at $0.00000397 is likely before the next upswing.
• If SAFEMOON breaks down the support barrier at $0.00000344, it will invalidate the bullish thesis.

SafeMoon price broke out of its range-bound movement as it bounced off a critical demand barrier. Moreover, SAFEMOON has also risen above the midway point of its consolidation, indicating a willingness to ascend. 

However, the recent upswing will result in a minor retracement before the rally continues.

SafeMoon price eyes higher high

SafeMoon price surged nearly 27% after tagging the support level at $0.00000344 for the fifth time over the past ten days. This sudden surge in bullish momentum catapulted SAFEMOON to slice through the 50% Fibonacci retracement level at $0.00000397 and tag the immediate resistance level at $0.00000450. All in all, this was a 27% rise when the majority of the cryptocurrency markets are consolidating.

After such an explosive run, SafeMoon price will likely experience a minor pullback to the immediate support, which is the midway point of the range at $0.00000397.

Here, SAFEMOON might consolidate or continue its climb. In the latter case, the altcoin could rally 16% if it breaches the resistance level at $0.00000450.

SAFEMOON/USDT 4-hour chart

If the retracement pierces the 50% Fibonacci retracement level at $0.00000397 and heads lower, the upswing will likely be delayed. However, if the investors continue to book profit, there is a high chance that SafeMoon price might tag the demand barrier at $0.00000344 and undo the recent 27% advance.

If this were to happen, it would denote weak buying pressure, but a breakdown of $0.00000344 will invalidate the bullish thesis entirely. In such a case, SafeMoon price might drop by 13% to tag the support level at $0.00000319.

If the ask orders continue to pile up, SafeMoon price could experience a sell-off to $0.00000273.