SafeMoon price prediction: Token hit by fraud claims
Controversy and questions surround SafeMoon. So what will this mean for a SafeMoon price prediction in 2022?
Accusations of “pump-and-dump” fraud and other alleged shenanigans involving the crypto token SafeMoon (SFM) saw the coin’s price plunge 50% in a fortnight in the middle of April 2022. So what does this mean for a SafeMoon price prediction today?
SafeMoon’s most interesting feature is that anyone who sells a SafeMoon coin will be subject to a 10% sales tax, with 5% redistributed to people who are still holding their coins, and the other 5% burned. This encouraged people to hold on to their coins.
On 18 April 2022, allegations of a SafeMoon fraud were made in a YouTube video by “internet detective” Coffeezilla, real name Stephen Findeisen, with the claim that SafeMoon CEO John Karony has not been adding SafeMoon from sellers to the liquidity pool. Findeisen, claims SafeMoon had a deal with Bitmart, where the exchange sent the 5% of SafeMoon tokens mean for burning to Karony while distributing the rest among holders – and Karony allegedly just pocketed the tokens.
The SafeMoon price was already down from $0.001151 to $0008185, after an earlier accusation by Fineisen that Ben Phillips, a former SafeMoon influencer and the company’s former chief marketing officer, orchestrated an alleged $12m “pump and dump” fraud, promoting SafeMoon while at the same time selling millions of the tokens. Following the latest claim, the price crashed by anbother 28% and the coin was trading at $0.0005898 at the start of 19 April. Neither John Karony nor the SafeMoon Twitter accounts have responded yet to the video.
SafeMoon has been in existence for just over a year and has recently generated a lot of excitement thanks to its recent V2 upgrade. But after the accusations of fraud, what is the outlook for the token? And is it safe?
SafeMoon’s very name pays homage to a saying that has become popular call-to-arms among online crypto communities – “to the moon”. While it is unclear who originated the phrase, it has probably become most associated with dogecoin, the currency that started as a meme and is now trading at around the $0.11 mark following endorsements from the likes of Kiss bassist Gene Simmons, rapper Snoop Dogg and Elon Musk, PayPal co-founder and Tesla and SpaceX CEO.
The “safe” part of its name, meanwhile, has perhaps less to do with the slang term of approval, and is instead simply a reference to the crypto’s purported security.
Legitimacy of SafeMoon
Concerns have been raised over the legitimacy of SafeMoon. Its unique structure, which encourages people to hold on to the coin, coupled with its relative newness, have drawn questions from some experts – with some analysts dubbing it a Ponzi scheme.
There was also the fear that since SafeMoon CEO John Karony holds around half of the liquidity, he could easily get rid of it, thus rendering the coin worthless. However, Karony had claimed that the liquidity pool will only be used for emergencies, and that the funds could end up seeding exchanges that trade SafeMoon or fund future products.
SafeMoon recently replaced its chief blockchain officer, Thomas Smith, with a new team, stating that the handover process started last September. Meanwhile, on 8 March 2022, it was revealed that SafeMoon’s vice-president Charles Karony had stepped down from his position, in order to return to university and complete his degree.
In terms of its recent upgrade, the idea was to consolidate the old SafeMoon – SAFEMOON – by a ratio of 1000:1, thus meaning that the value of the new SFM coin will be higher than the old one, but also that existing holders will not lose out. IThe migration is not automatic, so SAFEMOON holders will have to convert their old crypto to SFM.
Let’s take a look at SafeMoon’s price history. While past performance is never an indicator of future results, knowing what has happened can help to contextualise a future SafeMoon price prediction.
The story so far
SafeMoon launched on 8 March 2021 with an initial price of $0.000000001. As with all new things, people started to get interested, and the price soon reached $0.00000157 on 3 April. It stayed around this price for about two weeks, but then things started to move significantly.
On Friday 16 April, it stood at $0.000001, but over the course of a couple of days, it more than doubled, hitting just under $0.0000029 by the early hours of Sunday 18 April. While this price growth seemed pretty impressive at the time, it was nothing compared to what happened next.
The value of SafeMoon
The value of SafeMoon rocketed, hitting a high of $0.00001375 on the evening of Tuesday 20 April. That is an increase of 375% in the space of a little over two days.
To put things even more starkly, if you had bought into SafeMoon when it was launched, then you would have seen the value of your investment shoot up by a stratospheric 1,374,900%. Basically, if you had bought a dollar’s worth when it launched and sold at its peak on 20 April, just over a month after it became available, you would have ended up a millionaire, even after your SafeMoon sales tax had been taken.
The mega-boom was short-lived, however, and the price gradually declined from the end of May. On 28 August, the beta launch of SafeMoon Wallet suffered technical difficulties and the price went from $0.000003508 to $0.000002519 over a day, according to data from CoinMarketCap.
Next came October, which saw the SafeMoon price jump a massive 355%, from $0.000001386 at the start of the month to $0.000006302 on 29 October. There was further volatility in November, but then the V2 upgrade was launched on 12 December 2021.
At the time of the switch to SafeMoon V2, it was standing at about $0.0000016. While the new SFM token has garnered most of the attention, the old SAFEMOON is still traded and, as of 7 February, it was worth a little under $0.0000013. This particular token’s maximum supply, one trillion, was in circulation, and it had a market cap of around $754m, making it the 254th-largest crypto by that metric.
Meanwhile, the new SFM coin stood at $0.001639 at the start of trading on 16 December, and it was immediately hit by problems, falling to an all-time low of $0.0000002453 on 18 December. That glitch was soon sorted out, and the coin started to grow, reaching a price of $0.002558 at the end of the year.
SFM looked like it was going to be a coin which defied the bears that were dominant in the crypto market at the time, and it reached an all-time high of $0.007232 on 4 January. The coin looked like it was still going to maintain a level of between $0.002 and $0.003, but support ebbed away in late January and it has plunged since. As of 19 April 2022, the SFM price stood at roughly $0.0006261.
Let’s take a look at the SafeMoon price prediction for 2022. We will be looking at the new SFM coin here. We need to point out that forecasts are often wrong and, with the SFM version of SafeMoon being a newer coin, the likelihood of error increases. Also, crypto forecasts are often made using an algorithm, which can change at any moment.
These SafeMoon predictions are algorithmically derived and not carved in stone.
DigitalCoinPrice says that SafeMoon should get to around a maximum of $0.000877 by the end of the year. The same site sees it reaching an average price of $0.00253 in December 2029.
PricePrediction.net gives a SafeMoon coin price prediction that sees it getting to around $0.001 in 2022. The site thinks SafeMoon V2 will break through the cent barrier in 2027. Its average price for 2028 should be about $0.014. The same site argues that SFM could reach as high as $0.043 in 2031.
Finally, Telegaon suggests that SafeMoon V2 can reach a price of anywhere between $0.0038 and $0.018 in 2022, but the most likely average is going to be $0.0079. The site, which is more bullish in its SFM forecast than the others, says the coin should break through the cent barrier in 2023, the 10 cent mark as soon as 2025. Its SafeMoon price prediction for 2030 suggests it could even be worth more than a dollar at that point.
While there does seem to be a genuine plan for the crypto in its whitepaper, there are still some questions and accusations of fraud to be addressed. We do not know what is happening to the liquidity pool, for instance.
That said, it is always best to do your own research, and decide for yourself whether you think it is worth buying into or not.
It is possible that SafeMoon can hit the $1 mark at some point, though even the most optimistic long-term SafeMoon crypto price prediction does not see that happening for another eight years yet. However, the next-best forecast says the coin will likely be worth mere cents by then, so it is worth being careful.
Will SafeMoon go up? If you want to buy some and wait until it reaches the magic dollar mark, you may be waiting for some time. As is true with pretty much any crypto, you should be prepared to deal with some losses in the coin’s value as well as gains, and practise patience.
There are accusations of fraud and pump-and-dump so you will need to do your own research. Remember that prices can go down as well as up, and never invest more money than you can afford to lose.
Although SafeMoon is available on some exchanges, it is not available on all of them, partly because it is a relatively new cryptocurrency. The SafeMoon website gives details of where and how to buy it.