Best Cryptocurrencies To Buy In 2022
Investor interest is soaring in this rapidly growing crypto world. There are more than 19,000 different crypto tokens and coins in the market. The 2022 market crash toppled the crypto market, and two of the top 20 tokens, LUNA and UST, in the market cap collapsed, with their values nearing zero. While there are stronger cryptocurrencies, they still hold certain risks. Hence, putting all your hard-earned money into one investment is not wise. Informed decisions enable the investor to enjoy higher ROI on their investments.
“Diversification is the key to investing!”
Best Crypto to buy amidst the Crash
Here are the best five crypto coins that an investor must look at for purchase amidst the crash:
Bitcoin (BTC) – The market Dominator
Market cap: Over $846 billion
You have to be living under a rock to not know about Bitcoin. Created in 2009, BTC is the original cryptocurrency, the first digital alternative to fiat currency. Like most cryptocurrencies, Bitcoin works on blockchain technology or a ledger that logs transactions across a network of numerous computers. Bitcoin is wary of fraudsters and kept secure with a process called proof of work. Proof of work is simply verifying any additions to the distributed ledgers by solving a cryptographic puzzle.
Bitcoin’s price trajectory is no news now. In 2016, one could buy BTC for $500. However, today’s price is $19,000, which is a 3,700% growth. It may have fallen drastically from its peak, but amidst the market crash, it still provides a 3,700% growth. BTC is a safe haven investment in most portfolios since it is a buy-and-hold asset class. It is considered a safer investment than currency and the best performing asset in the past ten years.
Tesla CEO Elon Musk’s interest in the crypto market, backed by the move to purchase $1.5 billion worth of Bitcoin, gave the token another boost. Plenty of renowned companies like PayPal, Microsoft, Rakuten, and The Home Depot now accept payments in Bitcoin. Goldman Sachs has recently made a cash loan secured by Bitcoin. An upgrade to add functionality to the coin will make it even for valuable in the future.
Bitcoin began the crypto revolution and is undoubtedly one of the best crypto tokens to buy in 2022.
Ethereum (ETH) – The most used Crypto token
Market cap: Over $361 billion
Ethereum is the second-largest cryptocurrency as per the market cap and is the largest smart contract platform. It is the name of a blockchain platform and its native cryptocurrency. Similar to Bitcoin, ETH can be used as a store of value. However, Ethereum has also materialized as one of the best platforms for decentralized apps. It is now a developer-favorite platform because it supports applications like smart contracts that automatically execute the required function when certain conditions are met.
Investor interest in Ethereum has been proliferating, and Goldman Sachs has quickly noticed investor behavior. Hence, soon it may allow trading options with ETH just as it does for Bitcoin. ETH is largely responsible for so much crypto, as it powers the biggest NFT marketplace per trading volume, OpenSea, the largest decentralized exchange, Uniswap, and the largest monetized Metaverse, Decentraland.
Many cryptocurrencies, among the top 20, are built on the ETH network, like Polygon, Dogecoin, and Shiba Inu. Ethereum too has experienced exponential growth. From 2016 to 2022, its price went from about $11 to over $1,065, which is more than a 9,500% growth.
Hence, Ethereum is one of the best crypto tokens to buy in 2022.
Binance Coin (BNB)
Market Cap: Over $68 billion
The Binance Chain is the biggest competitor of the Ethereum smart contract network and is one of the largest crypto exchanges as per daily trade volume. Launched in late 2017, BNB has quickly become the fifth biggest cryptocurrency by market cap and has been the most successful altcoin in the past five years.
Holding BNB aids the trader in lowering the transaction fee on the Binance trading platform. The Binance team is working round the clock to enhance use cases for BNB. It can now be used to book travel arrangements, payment processing, and much more. It can also be traded in other forms of cryptocurrency, like Bitcoin or Ethereum. Amidst the market crash when Coinbase, Crypto.com, and Bybit announced layoffs, Binance announced it was looking to grow and hire.
BNB’s price in 2017 was just $0.10. Currently trading at $215, it has grown nearly 21500%. BNB may have fallen down to half its value amidst the crash, but it still shows exponential potential and growth in just five years. Hence, BNB is an excellent buy amidst the market crash.
Cardano
Market Cap: $14.4 billion
Cardano has one significant benefit over Ethereum, which is a proof-of-stake protocol. While Ethereum uses an older proof-of-stake protocol to verify transactions and protect the integrity of the network, Cardano works similarly but is faster, cheaper, and energy efficient.
The Merge might level up Ethereum’s playing field. However, Cardano’s growing popularity among decentralized app developers could keep the ADA token high in demand. Cardano’s updates and utilities undergo a rigorous peer-review process, bringing academia to the crypto industry.
Cardano is currently trading at $0.45, and its all-time high price in 2021 was $3.10. Cardano’s biggest strength is being the most future-proofed blockchain ecosystems, which is why it is being used in many industries, such as validating academic certification, tracking agricultural supply chains, tracing environmental fundraising campaigns, and boosting transparency. Cardano will soon undergo another upgrade which is bound to lower the fees and aid Defi protocols, dApps, and Web3 technologies to hop on to its trusted network.
Hence, Cardano is one of the great crypto options to buy in 2022.
Tether (USDT)- An Investor Favorite
Market cap: Over $79 billion
Tether, unlike other forms of cryptocurrencies, is a stablecoin. A stablecoin is backed by fiat currencies such as U.S. dollars and Euros. It hypothetically keeps the value equal to one of these denominations. Theoretically, Tether’s value ideally should be more consistent than any other cryptocurrency and is investor-favored by those who are cautious of the extreme volatility of other coins.
USDT is currently trading at $0.99, with an all-time high of $1.32. The all-time low was $0.57 in seven years, which is phenomenal. Hence, making it a great purchase in 2022.
Wrapping-it up!
Here is a comprehensive list of which cryptocurrencies to bet on as of the current situation. This is not to say that the market cannot dip further, and these tokens won’t fall, but they will definitely perform better than the others, providing a good ROI. However, it is always recommended to perform your due diligence before investing your money.
