Safemoon vs Dogecoin – How do they perform as Bitcoin rises and falls?

Safemoon vs Dogecoin is an interesting debate. Especially in the larger context of the altcoin market. Safemoon’s [SFM] and Dogecoins [DOGE] price action followed Bitcoins [BTC] keyword in April. However, DOGE had an early start after Elon Musk replaced it with Twitter’s logo for a few days in early April. Twitter’s action saw the DOGE swing from $0.07600 to $0.10500 on April 3rd.

SFM did not fall far behind in traction, but its past and fraud allegations still offset the ongoing price action. It made another swing low at press time, but that may not prevent it from a likely bounce back.

Given that both are memecoins and can easily go viral and turn a profit in the long run – Which one performed better in April and how much can they handle market volatility in the future?

DOGE vs. SAFEMOON – Which is safer in market volatility?

Assets react differently to market uncertainty. For DOGE and SAFEMOON, the reaction was variable, especially during BTC’s April 2023 price swings.

Notably, BTC almost consolidated near $28ki in late March, but broke above the range on April 11. The rally saw BTC reach $31k.

In the same period, DOGE’s rally after Twitter’s action has cooled to around $0.08107, up from $0.10500. However, BTC’s rally saw it rise to $0.09500 – a 17% increase.

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The bullish sentiment also provided a safe landing for the SAFEMOON bulls. They increased from $0.0001700 to $0.0002804 – a 64% increase.

Therefore, BTC’s rise in mid-April saw SAFEMOON as a safer bet with a 64% gain compared to DOGE’s 17% in the same period.

The picture was quite different after BTC’s sharp retracement. The king coin fell from the $31k to $26k zone on April 24, before trying to recover.

Interestingly, SAFEMOON lost 21% of its value, plunging from $0.0002804 to a key bullish order block at $0.0001938 on April 24. However, DOGE lost approximately 19% of its value after falling from $0.09500 to $0.07715 during the same period.

Therefore, SAFEMOON got more hits during BTC’s fall than DOGE. Put another way, SAFEMOON outperformed DOGE during BTC’s rally, but suffered more losses during its decline.

Based on trading volume, DOGE had over $261 million compared to SFMs (Safemoon V2) $1.2 million at the time of writing, translating to $10.9 billion and $93.5 million market values ​​respectively.

Apart from varying performance in market volatility, technical indicators were also slightly different during the same period. Now, how might these variations affect meme coins’ long-term prospects? Let’s take a look at the daily charts for some answers.

Safemoon [SFM] Price Prediction – Likely an Upswing?

Source: SFM/USDT on TradingView

How much is 1,10,100 Safemoons [SFM] worth today?

On the daily chart, Safemoon’s price action was below short- and long-term trends – an extremely bearish outlook.

In addition, the OBV (On Balance Volume) has fallen sharply since April 17, and the RSI (Relative Strength Index) also hit the oversold zone, which confirms increased selling pressure.

The price action inflicted a bearish breakout and formed a new swing low at press time. As such, sellers can target $0.0001416 if the recent swing low at $0.0001700 does not hold.

Bulls may gain little leverage if the $0.001938 level turns into support again. However, the structure will only turn bullish if SFM closes above the bearish order block at $0.0002449 (upper channel limit).

Notably, the RSI has been hovering below the 50 levels since mid-March, with a temporary uptick in mid-April before retreating to lower ranges – confirming that buying pressure eased over the same period.

Dogecoin [DOGE] Price Prediction – Can Bulls Apply a Pivot?

DOGE/USDT on TradingView

Like Safemoon, DOGE had a parallel channel and the price action was below short- and long-term trends (50-EMA and 100-EMA). However, DOGE has not broken the March swing at $0.06500.

In particular, the lower wicks extend into the bullish order block (cyan), showing that the bulls are keen to defend the support. As such, bulls may attempt a recovery and rally towards the bearish order block of $0.09424, especially if BTC reclaims the $29k zone.

On the downside, sellers may gain more leverage if support cracks. However, an extended decline could taper off near $0.07322 or at the March swing low of $0.06500 in an extreme scenario.

Here it is worth noting that DOGE was bullish throughout April, but only turned bearish on April 20 after BTC lost its grip at $29k.

However, given DOGE’s modest reaction to BTC’s fall compared to SAFEMOON, the former may fall lower than the latter, as seen in April.

Read Dogecoin [DOGE] Price prediction 2023-24

Conclusion

From a price action perspective, DOGE can worsen market volatility better, especially downswings correlated to BTC.

However, Safemoon can offer better returns during BTC’s boom times. Unfortunately, this is not a guarantee, given the existing allegations of fraud surrounding Safemoon.

On the bright side, both assets can recover losses if BTC recovers $29k. Although they will respond positively to such developments, performance will vary.