Cryptocurrency refers to a digital currency in which encryption techniques are used to regulate its use and generation. There are several types of Crypto coins, including Bitcoin and Ethereum. Bitcoin is the most well-known Cryptocurrency in the world today, as well as Ethereum. However, there are also hundreds of other cryptocurrencies that compete with it.
When it comes to deciding which Cryptocurrency to invest in, there are many factors that you should take into consideration. But unfortunately, there’s no perfect science for analyzing the relative value of different cryptocurrencies.
So, if you are wondering which promising Cryptocurrency to buy, read through our top 10 list of what we believe are the best cryptocurrencies and learn how they stack up against one another. You can also read about crypto trading algorithms in one of our articles
Bitcoin (BTC):
Bitcoin is the most globally used Cryptocurrency with over $846 billion in market capitalization, USD, and has been around since 2008. It is open-source, decentralized, and completely transparent.
Like most Cryptocurrencies, Bitcoin is based on a blockchain, which is a distributed ledger that logs transactions across all networks of thousands of computers. Therefore, it is maintained, secure and safe from illegal activities and fraudsters. However, the supply of Bitcoins today is limited to 21 million, with more than 12 million currently in circulation.
Ethereum( ETH):
Ethereum is a favorite among Cryptocurrencies because of its potential applications, such as smart contracts that execute on their own when conditions are met, and its non-fungible tokens. It is a Cryptocurrency and also a blockchain platform (NFTs). However, there are mathematical restrictions on how much can be mined, with over $361 billion in market caps.
Although released in 2015, Ethereum has exploded in popularity and is among the fastest-growing cryptocurrencies. Its price increased by more than 27,000 percent from April 2016 to the beginning of March 2022, from around $11 to over $3,000.
Litecoin (LTC):
Litecoin was introduced in 2011 to become “silver to Bitcoin’s gold.” Litecoin is an open-source, peer-to-peer digital currency that enables instant payments to anyone globally. In addition, it uses a decentralized authority to confirm transactions, meaning no intermediary or counterparty risk.
Since its launch, the price of Litecoin has fluctuated a lot, moving up and down. Its pricing began at $3 per LTC and has gone through several “alt seasons” or bubble cycles. In 2020, the Litecoin cryptocurrency increased by more than 140 percent.
LTC saw rapid growth in 2021 until around May, when the situation drastically shifted owing to external events. Litecoin is also extremely fast, confirming transactions in under 2 minutes.
Tether (USDT):
Tether (USDT) is the sister cryptocurrency of Bitcoin. It’s a cryptocurrency that can be exchanged for USD in the same way as fiat currency but also allows users to trade it back into Bitcoin and other cryptocurrencies.
Tether is a stable coin, meaning it is backed by fiat currencies like the US dollar and the Euro. It also has a theoretically equal value to one of those denominations.
The value of USDT is intended to be more consistent than several other cryptocurrencies. This is why it’s appreciated by investors who are frightened of other coins’ excessive volatility. The current market cap is over $81 billion, with over 1 million USD presently in circulation
Binance Coin (BNB):
Binance Coin (BNB) is the well-known utility token of the Binance exchange. With a market cap of $1.9 billion, it’s currently one of the most valuable cryptocurrencies. It is a cryptocurrency that may be used to trade and pay fees on Binance, one of its largest cryptocurrency exchanges.
Binance Coin( BNB) has grown beyond simply conducting deals on Binance’s exchange platform since its introduction in 2017. It can now be exchanged or traded for other cryptocurrencies like Ethereum or Bitcoin.
In 2017, the price of BNB was only $0.10. However, its price had climbed to over $413 by the beginning of March 2022, a gain of around 410,000 percent. BNB is currently at a market cap of over $72 billion.
USD Coin (USDC):
Like Tether, USDC is a stablecoin, meaning it is backed by US dollars and aims to have a 1:1 US Dollar ratio. It is a cryptocurrency based on Ethereum that can be used for international transactions.
Traditional investors searching for a low-beta investment that can outperform CDs might consider USDC.
DogeCoin( DOGE):
DogeCoin, or simply doge, is an open-source, peer-to-peer digital currency used much like Bitcoin. It has a significant presence on the Internet and a very loyal following. It is also one of the most decentralized cryptocurrencies as it relies on people without requiring any central authority to run the system.
Solana (SOL):
Solana is a popular cryptocurrency that was created to power decentralized finance (Defi), decentralized apps (DApps), and smart contracts. It is an open-source, decentralized blockchain technology that aims to optimize transaction processing, reduce costs and provide the highest level of security.
Solana is a Proof-of-Stake (POS) protocol designed by financial institutions. It is a smart contract cryptocurrency that some feel has the potential to be a competitor to Ethereum (ETH). It’s lightning-quick, and transaction fees are a quarter of what the world’s second-largest blockchain charges.
Avalanche (AVAX):
Avalanche (AVAX) is a blockchain creation protocol that allows other blockchains to interoperate. It was developed by the Avalanche Foundation, which came together following the launch of Waltonchain in November 2017, making it one of the first successful blockchain collaborations between established and emerging industries.
Terra( LUNA):
Terra (LUNA) is a decentralized cryptocurrency that aims to be an alternative to centralized payment systems. It is currently ranked among the most valuable cryptocurrencies in existence, with a market cap of $36.9billion and a total of 16 billion LUNA in circulation.
The release of the Luna wallet in October 2017 was a massive milestone for Luna, which raised over $115 million in funding through an initial coin offering (ICO).
How To Choose A Promising Cryptocurrency
Bitcoin is the most known crypto coin in the world and by far the most valuable. However, with all this focus on Bitcoin, many people lack knowledge about other cryptocurrencies such as Ethereum and Litecoin. Read about top 10 nft crypto coins and where to buy them in our other article
Investors are often drawn towards these alternative coins due to their lower price point compared with Bitcoin and their lucrative returns, which provide a quick turnaround on investment opportunities. However, the prices of these other coins rose dramatically in the first two months of 2018, and investors have been losing faith in their value.
The crash of cryptocurrencies is a standard narrative that has become so dominant in the news that it is hard to see much value left in bitcoin or even altcoins such as Ethereum. But unfortunately, collapses happen all the time with technology startups.
As an investor looking for the best Cryptocurrency to place your money, there are certain things you must consider:
- The Community:
Investing in any cryptocurrency is a small part of its success. Therefore, it is advisable that you first seek cryptocurrencies with large communities and dedicated followers. The community also connects you to people who are genuinely interested in and believe in Cryptocurrency.
Look through several subreddits, YouTube channels, Twitter, and community comments to see what people say about your coin of interest.
- Evaluate the Crypto’s Group:
One of the most necessary things to look into is the Cryptocurrency’s staff. Another critical element to consider is investigating and evaluating the team behind a cryptocurrency.
- Check out its analysis:
Fundamental analysis will help you a lot, just as much as technical analysis in the long run. As an investor, you should understand how and where to buy Cryptocurrency. But there are plenty of forums and websites that can help you learn about this subject without paying for ANYTHING.
As a result, knowing how to perform fundamental analysis will assist you in making more informed investing selections. In addition, fundamental analysis allows you to distinguish the wheat from the chaff in a market where most people are chasing after low-quality cryptocurrencies. Learn about crypto punks in our other articles
