Altcoins

Reason Behind SafeMoon’s Massive Rally! Is Safemoon the New Dogecoin?

SafeMoon (SAFEMOON), a DeFi coin, has risen over 130% in the last 24 hours and over 2900% in the last three weeks, attracting the attention of a number of crypto investors

Following the popularity of Dogecoin, Bitcoin, and Ripple XRP in recent weeks, it is the latest cryptocurrency to see a surge in interest since the turn of the year.

Safemoon is a decentralized finance (DeFi) token rather than a cryptocurrency in the same way as Bitcoin is. The newly introduced protocol aims to reward those who keep their tokens for a longer period of time while penalizing those who sell them quickly.

SafeMoon shows up as the most searched cryptocurrency

The slogan on its website is “Safely to the Moon,” a play on the term coined by WallStreetBets on Reddit to inflate the price of Dogecoin.

SafeMoon charges sellers a fee of 10% of the sum they want to sell, thus rewarding those who continue to keep the cryptocurrency with a 5% fee reduction. DeFi is also planning to launch an NFT exchange, for which it claims to have raised $ 700,000 in donations.

And, despite its lofty goals, its current market valuation is far below the $1 dollar mark – despite a steady rise in price since its inception. 

Owing to the unregulated existence of cryptocurrencies, its creators have been conducting ‘Ask Me Something’ sessions to convince potential investors of its legitimacy.Safemoon is also aiming to list on more crypto exchanges such as Coinbase Global Inc (NASDAQ:COIN) to increase its accessibility to investors.

A pseudonymous crypto trader called “Venizo Crypto” brought attention to a large trading group that recently spiked the price of DOGE by over 200%, which has now turned its attention to SafeMoon.

Safemoon, on the other hand, might follow Dogecoin’s trajectory if it can prove its validity and if its social media-focused promotion strategy pays off.

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Mustafa Mulla

Mustafa has been writing about Blockchain and crypto since many years. He has previous trading experience and has been working in the Fintech industry since 2017.

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