The Safemoon price continued crashing as cryptocurrencies recoiled. The SFM token retreated to a low of $0.00046, which was the lowest level since June 7th this year. It has dropped by about 10% below the highest point this month. As a result, the total market cap has dropped to about $268 million, making it the 128th biggest cryptocurrency in the world.
Safemoon price has been in a strong bearish trend in the past few days as investors react to the latest strong jobs numbers in the United States. The data showed that the country added over 372k jobs in June, signalling that the economy is doing well. As a result, there is a high possibility that the Federal Reserve will continue hiking interest rates in the coming months.
Other cryptocurrency prices have also retreated. For example, Bitcoin has dropped by over 4% in the past 24 hours, while Ethereum and XRP have crashed to the lowest point in weeks. Historically, cryptocurrency prices tend to move in sync.
Meanwhile, the SFM price is falling as the CBOE volatility index (VIX) declines ahead of the upcoming earnings season in the United States. Companies like Morgan Stanley, Citigroup, and JP Morgan are expected to publish their results this week. In addition, on-chain data shows that Safemoon’s transactions have dropped recently.
Safemoon price forecast
The four-hour chart shows that the SFM price has made a bearish breakout in the past few days. The coin has managed to move below the 25-day and 50-day moving averages, while the Stochastic Oscillator has moved to the oversold level. The price is also slightly above the important support level at $0.00045, where it has struggled moving below recently.
Therefore, there is a likelihood that the Safemoon price will continue falling as sellers target this support. A move below this support will mean that sellers have prevailed. As such, it will push the coin to about $0.00040. On the flip side, a move above the resistance at $0.00050 will invalidate the bearish view.