SafeMoon (SFM) has experienced a remarkable price increase of nearly 60% over the past two days and an astounding 490% over the last week, attributed to its recent migration from the Binance Smart Chain (BNB) to the Solana network. This rapid appreciation has propelled key market indicators into bullish territory, with the Average Directional Index (ADX) confirming a strong trend momentum, while Exponential Moving Average (EMA) lines are forming a golden cross. Despite this upward trajectory, the Bollinger Band Trend (BBTrend) remains in negative territory, indicating that selling pressure persists in the market.
### SafeMoon’s ADX Indicates Strong Uptrend
The Average Directional Index (ADX) for SafeMoon has surged to 31.5, a notable increase from 17.7 just one day prior. This significant rise indicates a marked improvement in trend strength, suggesting that SafeMoon may be poised for a more pronounced directional movement, especially during a period when many meme coins are struggling. With the ADX surpassing the crucial threshold of 25, it indicates a shift from a weak trend to a stronger one. As SFM seeks to establish an upward trend, the rising ADX reflects increasing momentum, which could support further price gains if buying pressure continues to rise.
### SFM BBTrend Briefly Turned Positive, But Has Returned to Negative
At present, the SFM Bollinger Band Trend (BBTrend) stands at -6.54, having briefly reached a positive value of 4.88 yesterday. However, this positive movement was short-lived, as the BBTrend has remained negative since February 26. The lowest point recorded was -58.3 on March 2, indicating strong bearish momentum at that time. Although the current level shows improvement from this low, the inability to maintain a positive BBTrend suggests that selling pressure continues to dominate the market, despite the recent price surge.
### SafeMoon Faces Possible 55% Correction
SafeMoon’s EMA lines are currently forming a golden cross, a bullish signal often seen before upward momentum. This pattern occurs when a shorter-term EMA crosses above a longer-term EMA, indicating a potential shift toward positive market conditions. Following its recent migration from BNB to Solana, SFM is trending upward, potentially aiming to test resistance at $0.000128. A successful breakout above this resistance could propel the price towards $0.000134, indicating enhanced bullish momentum and setting the stage for a stronger recovery if buyer interest remains high.
However, the BBTrend suggests that the uptrend is precarious and could quickly reverse. Should bullish momentum wane and selling pressure rise, SFM might test support at $0.0000659. A decline below this level could intensify downward pressure, potentially driving the price down to as low as $0.000038.
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