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SafeMoon: -65% from the highs of a few days ago
SafeMoon: -65% from the highs of a few days ago
Crypto

SafeMoon: -65% from the highs of a few days ago

By Marco Cavicchioli - 7 Apr 2021

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The price of the SafeMoon token, after an incredible growth, has lost 65% of its value from the highs of a few days ago. 

It only debuted on the crypto markets in mid-March, less than a month ago, at a very low price of 0.08 millionths of a dollar. 

Three days later it had already more than doubled in price, and by the following week, it had more than quintupled to nearly $0.50 million. 

After falling back to 0.27 millionths at the end of the month, it began a rapid and vigorous 700% increase that took it in just five days to reach 2.18 millionths of a dollar or 2,600% more than the placing price less than a month ago. 

However, after peaking at 2.18 millionths, it fell to the current 0.76 millionths of a dollar, a loss of 65% in two days. 

The pattern seems to be one of a pump-and-dump, not least because that 700% increase in five days, less than a month after its market launch, clearly seems excessive. 

SafeMoon is the BEP20 token on the Binance Smart Chain of the SafeMoon Protocol, which is an auto-generating liquidity and static farming protocol.

In reality, the protocol is still under development, with the aim of integrating with an initial African market, creating a SafeMoon office in Africa, and hiring staff to create jobs in the African market. For this, they also accept donations with the aim of establishing a SafeMoon scholarship.

The SafeMoon protocol is presented as a community-driven and fairly launched DeFi token, with three functions occurring during each exchange, namely Reflection, LP Acquisition and Burn.

The fact is that the token holders collect passive income in SafeMoon tokens thanks to static reflection so that their balance in SafeMoon tokens increases indefinitely. 

This last feature casts some doubts on the nature of the project, and many are calling for extreme caution when purchasing these tokens. 

In addition, the pump of a few days ago could suggest that the market for the SafeMoon tokens could be manipulated, as it is still very limited in scope with only three exchanges where it is traded (PancakeSwap, BakerySwap and BitMart) and less than 30 million dollars of daily volumes traded.

For these reasons, it may not only be a token with an extremely volatile price, but also a very high-risk investment. 

Marco Cavicchioli
Marco Cavicchioli

Class 1975, Marco teaches web-technologies and is an online writer specializing in cryptocurrencies. He founded ilBitcoin.news, and his YouTube channel has more than 25 thousand subscribers.

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