Safemoon Bounce Back, Surging Over 267% in 24 Hours, Here is Why
SafeMoon's price surged 267% in 24 hours, defying market downturn, driven by wallet launch and perceived undervaluation, though low trading volume raises sustainability concerns.
The cryptocurrency market has witnessed a surprising upswing in the price of SafeMoon (SFM) despite a general market downturn, SafeMoon has experienced a dramatic 267% increase in the past 24 hours, a development that has captured the attention of both investors and analysts.
Furthermore, the trading volume for SFM reflects this surge in activity. In the last 24 hours, transactions totaled $60,652.51, a 2,822.10% surge from the previous day. This substantial increase in trading volume strongly suggests a renewed interest in SafeMoon and could indicate a potential shift in market sentiment, according to Coingecko data.
Notably, SafeMoon (SFM), launched in 2021 by SafeMoon LLC, is a decentralized finance (DeFi) token operating on the BNB Chain blockchain.
Why Is Safemoon (SFM) Surging?
SafeMoon (SFM) experienced a dramatic price surge, climbing over 277% today, reaching a high of $0.00002890 its best performance since November 1st. This significant rebound, following a period of delisting from major exchanges, saw its market capitalization exceed $36 million.
However, this impressive rally had unusually low trading volume, raising concerns about its sustainability. The 24-hour volume hovered around a mere $90,000, a stark contrast to its market cap. This low volume is likely attributable to the limited number of exchanges currently listing SFM, including MEXC, Gate, and BitMart.
However, Several factors may partially explain the price increase. The launch of the Safemoon Wallet in open beta, featuring functionalities such as an NFT collection page and a dApp browser (acquired via the VGX Foundation following bankruptcy proceedings), generated renewed investor interest.
Furthermore, investors may have been capitalizing on a perceived undervaluation during the broader crypto market’s bullish trend, especially considering Bitcoin’s price nearing $100,000 and the extreme greed sentiment reflected in the crypto fear and greed index.
Moreover, the previous significant price jump, exceeding 82%, followed a court request by former CEO John Karony to postpone his trial due to anticipated policy shifts under the Trump administration. Karony’s request cited a statement suggesting potential retroactive relief from the SEC.
It’s important to note that Karony and other executives face charges of misappropriating investor funds, wire fraud, and money laundering, a context that significantly impacts SFM’s market dynamics.
Historically, tokens associated with troubled crypto projects, like Terra Luna Classic, Celsius, and Voyager Digital, demonstrate volatility, often rallying during periods of increased market risk appetite. While the current SFM price action is positive, the low trading volume serves as a cautionary signal.
Safemoon Market Analysis
On February 6th, 2025, the price of SFM plummeted to $0.00001436. The current price, however, is a significant 494.11% higher, highlighting the magnitude of the recent price appreciation, according to the Coingecko data.
This remarkable recovery contrasts sharply with the broader cryptocurrency market, which has experienced a 5.20% decline over the same period. Furthermore, SafeMoon’s performance outstrips that of similar cryptocurrencies within the BNB Chain Ecosystem, which have shown minimal growth (0.00%).
Currently, SafeMoon boasts a market capitalization of $47,447,042, securing its position at #745 on CoinGecko’s ranking. This market cap is derived from the circulating supply of 560 billion SFM tokens, multiplied by the current token price.
The accessibility of SFM tokens further contributes to its market activity. Traders can access SFM through both centralized exchanges (CEXs) and decentralized exchanges (DEXs), enhancing liquidity and facilitating transactions.
However, MEXC Global stands out as the most prominent exchange for SFM trading, with the SFM/USDT trading pair accounting for the bulk of the $60,652.51 volume recorded in the last 24 hours. PancakeSwap (v2) and Gate.io also provide notable trading options for SafeMoon.
Moreover, the substantial price increase, coupled with the dramatic rise in trading volume, undeniably signals a noteworthy shift in the market’s perception of cryptocurrency.
We’ll need careful observation and further analysis to determine if this is a sustainable upward trend or a temporary fluctuation. The volatility inherent in the cryptocurrency market necessitates caution, and investors should conduct thorough research before making any investment decisions related to SafeMoon or any other digital asset.
