Is 401k still a safe way to prepare for retirement?

Depends.........how old are you...........23 yes..............64 no.................get it............

My answer is absolutely to both questions and here is why:
1) If you can participate in an employee matched 401k plan you, you immediately start earning money on your investment. This is because no matter what the match is, it is all free money to you. The race is not for the hare, it is for the tortoise.. It is to be run at a steady and comfortable pace.
2) On paper i lost a lot of money on my investments, but in actually since i have several years to retire i am certain that my investment will come back. I invested in tried and true companies and mutual funds that have outperformed the market time and time again. I am 100% confident in my investment choices so i am just waiting for the market to rebound.

Think about this, what other way is there to save for retirement? You could start by setting up several certificate of deposits or mutual fund accounts in one or many banks. Check out the rates and see who will be paying who when it is time for you to retire. It is so bad out there that i think the next step banks are going to make is to charge us a fee to have funds FDIC insured..lol

It is only one way since you will never accumulate the 3 million you need with just your 401k.
How safe is it all depends on what you chose as investments.