SAFE Token Surges 72 percent After Upbit Listing: Is a Correction Coming?

The SAFE token, the native asset of Safe Wallet, experienced a dramatic 72% surge over the past day, reaching $1.65 following its recent listing on Upbit and the introduction of multichain capabilities.

This rally marks a 115% increase from its September low, with a “god candle” propelling the price from $0.94 to $1.70, bringing its market cap to $805 million. However, despite this impressive climb, SAFE remains 53.6% below its all-time high of $3.56, achieved in April.

The price increase was accompanied by significant trading activity, with daily trading volume rising 425% to over $114 million, compared to just $4 million on the morning of October 24.

Upbit Listing Fuels the Surge

The primary catalyst for SAFE’s recent rally was its listing on Upbit, South Korea’s largest cryptocurrency exchange, on October 24. The introduction of trading pairs with Korean Won (KRW), Bitcoin (BTC), and Tether (USDT) has opened the token to a new pool of investors, typically leading to price increases as demand rises.

On-chain insights platform Spot On Chain reported a surge in wallet activity following the listing, with the top five first-time buyers acquiring 1.356 million SAFE tokens (worth $2.24 million) from exchanges like OKX, Bybit, and Uniswap, collectively netting around $150,000.

The recent move to a multichain environment has further boosted momentum by enhancing usability across over 15 networks. Users now benefit from a unified wallet experience, consistent addresses across chains, and gas-free transactions on major Layer 2 networks, likely contributing to the increased demand for SAFE.

Correction Anticipated

Despite the impressive rise in SAFE’s price, historical trends suggest that such rallies post-exchange listing often lead to corrections as investors take profits.

One community member, Crypto Academic, highlighted a similar case with Injective’s token (INJ), which spiked after its Upbit listing only to face a significant drop the following day. This suggests that SAFE could see a similar fate.

Technical analysis indicates a potential pullback as well, with SAFE trading above the upper Bollinger Band and a Relative Strength Index (RSI) of 78, well into overbought territory.

Should a correction occur, support for SAFE is likely to be found around the $0.9992 level, aligning with the middle Bollinger Band on the 1-day SAFE/USDT price chart.