Every other week, a new cryptocurrency comes around and it gets investors excited. The cryptocurrency market has hit a record high in early 2021 and this was widely contributed by the price of Bitcoin (BTC).
Other significant cryptocurrencies
Apart from BTC, other cryptos like Ethereum and Litecoin have also been having a lot of success in markets across the world. While all this is happening, there are also new coins that have since entered the market. Some have had their value skyrocketed while others have found it hard to survive in the thousands of other crypto coins being traded globally. New cryptos provide more options for investors as not everyone can afford to put their money into the high-valued and more established names. One of the newer names that were launched recently is Safemoon.
Soaring in popularity
SafeMoon was launched in April 2021 and has since been among the more popular cryptos that traders are warming up to. Although it is still too early to tell, there seems to be quite a lot of potential for SafeMoon based on how much its prices have gone up since. According to Coinbase, the share price of SafeMoon between April 16 and 20 has increased by more than 900%. Some have claimed that it was probably due to the rally caused by the spike in the price of Bitcoin around the same time. Most traders would remember how the price of BTC rose to breach more than US$60,000 in the first few months of 2020 and that prompted many other cryptos to performed positively too.
That said, it is not unusual for new cryptos to get that type of recognition and expectation at the time of their launches and one with this level of security and seriousness would just increase investor’s confidence.
So, what is it exactly?
The name itself draws intrigue and it has a slogan that speaks ‘Safely to the Moon’. Since its launch, SafeMoon has been around the US$1 mark and has been increasing steadily ever since. As this is still a very new player, SafeMoon has been making inroads in assuring their potential investors, especially on its legitimacy. It also tries to be different from other cryptos out there. SafeMoon runs on the concept where people get ‘rewarded’ for buying its token. However, instead of trading the coins, they have to hold on to them because if they do the former, they have to pay a penalty. A 10% penalty will be imposed on those who sell the coin where a 5% will be redistributed to those who hold it.
Where does SafeMoon stand currently?
At the time of writing, it is unlikely that SafeMoon would surge forward to compete with the rest of the pack as it is still new and they are still in the process of establishing a foothold in the market. However, market analysts have already compared it to Dogecoin, another up-and-coming crypto. Dogecoin was founded as a joke but has since drawn the interest of some high-profile names like Elon Musk. Since the start of 2021, Dogecoin’s value has increased by more than 8000%. So, it would not be surprising that smaller crypto coins could well be making inroads among the investors out there. SafeMoon on this end is not based on the premise of a joke (like Dogecoin) and hence could possibly move up the ranks very soon.