Safemoon price has been in a strong bearish trend in the past few weeks as demand for the coin evaporated. SFM crashed to a low of $0.00032, which is close to its lowest level since May this year. It has fallen by more than 87% from its all-time high. In the same period, Safemoon Inu price crashed to its all-time low.
Safemoon, which was once one of the most popular cryptocurrencies in the world, has been under intense pressure in the past few months. The coin has fallen so much such that its market cap has fallen to about $182 million.
There are several reasons why the Safemoon price has been in a strong downward trend. First, there are the lingering fear of global monetary policy as central banks continue hiking. The Federal Reserve has continued hiking rates as inflation has remained at an elevated level. As a result, the prices of most coins, including BTC and ETH have been falling.
Second, Safemoon’s demand has plummeted as investors worry about its future. The coin is often seen as one of the riskiest cryptocurrencies in the world. Instead, investors have focused on better-performing coins like Bitgert and Ethereum Classic.
Third, investors are watching the ongoing lawsuit against Safemoon and its executives. The most recent update was that the plaintifs decided to exclude Dave Portnoy from the suit. They had accused the Barstool Sports founder of participating in a pump and dump scheme.
The four-hour chart shows that the SFM price has been in a strong bearish trend in the past few weeks. As it dropped, the coin moved below the important support level at $0.00036, which was the lowest level in July this year. It has also moved below the 25-day and 50-day moving averages while the Awesome Oscillator has moved below a neutral point.
Therefore, the outlook of the Safemoon price is bearish, with the next key support level being at $0.00030. A move above the resistance at $0.00033 will invalidate the bearish view.
This post was last modified on Sep 15, 2022, 09:30 BST 09:30