- SAFE has surged 76% in 24 hours, breaking out of a multi-month downtrend with sturdy quantity.
- Social dominance has risen sharply, however overbought indicators and worth divergence counsel warning.
Protected [SAFE] has soared, breaking free from its multi-month downtrend and skyrocketing over 76% in simply 24 hours. At press time, SAFE was buying and selling at $1.66, displaying a major improve in investor confidence.
Moreover, the market cap has surged by 76.69%, pushing its valuation to $770.48 million. The buying and selling quantity has jumped by an astounding 9981.24%, indicating heightened curiosity within the token’s current efficiency.
These figures spotlight the energy behind the present breakout. Nevertheless, merchants are actually asking whether or not Protected can keep this fast development or if a pullback is looming.
Breaking the downtrend: What occurs subsequent?
Protected has been in an extended, drawn-out downtrend, caught in a descending channel since early this yr. Nevertheless, the worth has now damaged out of this construction, signaling a bullish reversal.
At present, SAFE holds above $1.63, a key degree that beforehand acted as resistance. Due to this fact, this degree is now the primary assist that merchants will monitor intently.
The subsequent main hurdle lies at $2.37, a powerful resistance degree that SAFE wants to beat to proceed its rally. A break above this level would sign much more upward potential. Moreover, holding the $1.63 degree would affirm that the bulls are nonetheless in management.
Supply: TradingView
Technical indicators: RSI and MACD flash warning
Whereas the breakout is promising, a number of technical indicators counsel warning transferring ahead. The Relative Energy Index (RSI) presently sits at 78.63, inserting it in overbought territory.
Due to this fact, SAFE could also be due for a interval of consolidation or perhaps a short-term pullback.
Furthermore, the MACD has crossed into bullish territory, with its sign line confirming continued momentum. Nevertheless, the energy of the surge might imply a possible cooling off earlier than the following upward leg.
Supply: TradingView
Worth DAA Divergence
The Worth DAA Divergence reveals a 15.32% hole between SAFE’s worth surge and its community exercise. Whereas the worth has elevated considerably, day by day lively addresses haven’t risen proportionally.
The divergence signifies that the worth motion may very well be speculative, pushed by short-term merchants slightly than constant community development. This requires warning, as an absence of natural community exercise can generally end in a worth correction.
Supply: Santiment
SAFE social dominance spikes
The social dominance has surged to 2.204%, a considerable improve from its earlier ranges. Moreover, this spike highlights that SAFE is gaining vital consideration on social media platforms, usually an indication of elevated volatility and worth motion.
Nevertheless, sharp rises in social dominance don’t all the time translate into sustainable development and may sign short-lived speculative curiosity.
Supply: Santiment
Is SAFE poised to hit $2.37?
Contemplating the sturdy quantity surge and the clear breakout from a multi-month downtrend, SAFE will doubtless hit the $2.37 resistance degree quickly.
The bullish momentum stays intact, supported by heightened social curiosity and technical indicators, regardless of overbought circumstances. Due to this fact, until a serious pullback happens, SAFE is well-positioned to check the $2.37 mark within the close to time period.