The post SafeMoon’s 190% Rally Cools as Momentum Fades appeared on BitcoinEthereumNews.com.

SafeMoon (SFM) has experienced extreme volatility in recent weeks, fueled by a major shift toward a community-driven model and a gradual airdrop. This transition helped SFM surge nearly 350% in a month, but technical indicators now suggest that momentum may be fading. ADX readings show that trend strength has weakened, while RSI has dropped from near-overbought levels, indicating cooling demand. Whether SafeMoon can maintain its uptrend or faces a deeper retracement will depend on whether buying pressure returns or if market enthusiasm starts to wane. SafeMoon ADX Shows the Uptrend Could be Easing SafeMoon’s ADX is currently at 20.5, after previously reaching 40 on February 11 and 32 on February 14. This decline in ADX suggests that while SafeMoon was experiencing strong trend momentum in the last few days, after its gradual airdrop, that strength has since weakened. The ADX (Average Directional Index) does not indicate trend direction but instead measures the strength of an ongoing trend. A falling ADX in an uptrend can signal that SafeMoon buying momentum is slowing down, making it important to watch whether this trend can sustain itself or if it risks losing steam. SFM ADX. Source: TradingView. ADX values help determine whether a trend is strong or weak, typically using 25 as the threshold—readings above this level indicate a strong trend, while readings below suggest weaker momentum or consolidation. With SafeMoon’s ADX now at 20.5, it has dipped below this key threshold, meaning that while SFM is still in an uptrend, the strength of that trend has faded. If ADX continues to drop, it could suggest that SafeMoon’s rally is running out of momentum, increasing the chances of sideways movement or a potential retracement. However, if ADX rebounds above 25, it would confirm that buyers are regaining strength, reinforcing the continuation of SafeMoon’s uptrend.…

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Filed under: News - @ February 19, 2025 7:24 pm