What More Institutional Adoption Means For Investors
While paying for things in cryptocurrencies doesnt make sense for most people right now, more retailers accepting payments might change that landscape in the future. Itll likely be much longer before itll be a smart financial decision to spend Bitcoin on goods or services, but further institutional adoption could bring about more use-cases for everyday users, and in turn, have an impact on crypto prices. Nothing is guaranteed, but if you buy cryptocurrency as a long-term store of value, the more real world uses it has, the more likely demand and value will increase.
What New Regulation Could Mean For Investors
Recent proposed legislation could make it easier for the IRS to find cases of tax evasion when it comes to crypto, though investors should already keep records of any capital gains or losses on their crypto assets. But the new rules may also make it easier for investors to properly report crypto transactions.
This is because if the bill passes, exchanges will have to issue 1099-B tax forms with cost basis information to investors, Shehan Chandrasekera, CPA, head of tax strategy at CoinTracker.io, a crypto tax software company, recently told NextAdvisor. This will significantly reduce the crypto tax filing burden.
Regulatory announcements can also affect the price of cryptocurrency in already volatile markets. Market volatility is why investing experts recommend keeping any cryptocurrency investments to less than 5% of your total portfolio and never invest anything youre not OK with losing.
Ultimately, many experts believe regulation is a good thing for the industry. Sensible regulation is a win for everyone, says Ben Weiss, CEO and cofounder of CoinFlip, a cryptocurrency buying platform and crypto ATM network. It gives people more confidence in crypto, but I think its something we have to take our time on and we have to get it right.
Cryptocurrencies Available On Cryptocom
Crypto.com supports more than 150 currencies for spot trading, with a subset supported for staking. While there are too many currencies supported to list them all here, you can count on being able to buy and sell most of the highest-traded currencies.
Popular assets available on the platform include:
Crypto.com also offers its own coin, CRO. If you hold a significant stake in CRO, the company rewards you with lower trading fees, higher staking interest rates, and higher credit card rewards.
Trading fees at Crypto.com start at 0.40%. High-volume traders and those with a large CRO stake can qualify for fees as low as 0%.
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Why Ethereum Is A Good Place To Start
Investing in cryptocurrency is a whole new system to understand for investors. There are similarities to the stock market, but it requires a new set of ideas and fundamentals. Ethereum gives investors some stability while they’re learning the ropes, as opposed to some of the newer and more speculative cryptocurrencies. It also still provides room for growth as the system expands and improves.
That’s not to say that I recommend investing in cryptocurrency altogether. There’s a lot of potential for gains, but cryptocurrency is still a relatively new phenomenon with a short track record and huge market caps. Investors should only put in what they can afford to lose.
Looking For The Next Ethereum It Could Be Cardano Or Polkadot
- Several members of Ethereums developer team have since started their own projects.
- Cardano and Polkadot are two interesting examples.
- These projects are working to solve Ethereums scalability problem.
In 2015, Ethereum made its debut. The platform expanded on Bitcoin’s use of blockchain technology, introducing the concept of programmability. Specifically, Ethereum made it possible for developers to build self-executing computer programs on a decentralized network. That technology has since evolved into a thriving ecosystem of decentralized applications and products.
Not surprisingly, Ethereum is the second-most-valuable cryptocurrency today, with a market value of $470 billion. But while it still looks like a wise long-term investment, other cryptocurrencies may offer greater upside. For instance, Cardano and Polkadot have market values of $45 billion and $28 billion, respectively, and former members of the Ethereum team started both.
Here’s what you should know.
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Best Cryptos To Buy: Bitcoin
Bitcoin, in many ways, is the crypto industry in a nutshell for most investors. Created in 2009, the digital asset has revolutionized the financial world and become a household name.
The crypto had an incredible bull run from 2015 to 2017, but its price later tanked, with many fearing its end. However, Bitcoin bounced back last year and has delivered gains of over 260%. Despite the regulatory challenges and competition, it has an unmatched growth runway ahead.
BTC has pulled back sharply of late due to the regulatory crackdowns by various governments, especially China. Moreover, there have been discussions about whether its bad for the environment, with its massive energy consumption. However, due to the cryptos widespread popularity and utility, these concerns are likely to abate over time.
Bitcoin will continue flying high for the foreseeable future and in all likelihood will cross $100,000 by the end of this year.
Fluctuations In Bitcoin Bitcoin Stocks
The price of Bitcoin currently stands at below $48,000, well up from where it was at the end of 2020. But it’s down from about $58,000 at the start of December and a record $68,990.90 in early November. It’s also slightly below its 200-day moving average.
Bitcoin has taken multiple hits along the way, due most recently to worries about the Federal Reserve and other central banks taking a more aggressive approach to ending pandemic-era economic aid. But after the U.S. central bank on Wednesday signaled the possibility of three rate hikes next year and a quicker end to its bond-buying program, Bitcoin followed the stock market higher.
The Fed, as a reason for accelerating its tapering of bond purchases, cited “inflation developments” as a reason, as global supply chains remain cramped and gas and labor costs increase.
The Fed raises rates to stem inflation and keep the economy from overheating. Bitcoin advocates have argued that higher inflation is a reason to buy the cryptocurrency, since rising prices weaken the buying power of traditional currencies.
The digital asset hasn’t always tracked with inflation or risks of inflation. But the growing sense among investors on Wednesday was that the Fed would keep inflation in check without tightening up too quickly.
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Crypto Predictions: More Ipos More Use Cases More Adoption
In 2022, even more crypto-intensive businesses will go public.
We believe that there is a deep pipeline of crypto-enabling companies preparing to go public, and that 2022 will continue the trend set by newly listed companies in 2021. There are a wide range of businesses that crypto companies can participate in from exchanges to digital asset miners to payment companies. As the crypto market continues to grow and develop, we anticipate the market to grow with new listings, and also shift as companies win and lose market share.
Tether Market Cap Of Usd$74078967352
Tether is a secure and transparent stable coin pegged to the value of the US Dollar. Known as money built for the internet, Tether was specifically designed to form a bridge between fiat currencies and cryptocurrencies and offer stability and minimal transaction charges to users.
Controlled by one of the biggest Bitcoin exchanges by volume in the world Bitfinex, Tether faced some legal challenges in February 2021, when the New York Attorney Generals office said Bitfinex used funds from Tether to cover up to USD$850 million in alleged losses.
Since settling this inquiry, Tether has exploded in growth. Despite now being banned in the state of New York, Tether has almost doubled in market cap and expanded into a range of new blockchains including the likes of Avalanche.
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These Top 10 Cryptocurrencies Are Potentially Doing Well In The Crypto Market
Cryptocurrencies are trending topics all across the globe these days. The worlds first crypto, Bitcoin crossed nearly a mark of US$60,000 and Solana has surged to 12,600% in 2021. And so most of the investors are looking towards investing in the best cryptocurrency to attain great profits. All the top cryptocurrencies such as Bitcoin, Ethereum, Dogecoin have been making big headlines this year, lets see what are the top 10 cryptocurrencies to buy in 2022.
Top 10 Cryptocurrencies to buy in 2022
Current Price: US$50,490.94
Bitcoin was created in 2009 by Satoshi Nakamoto and runs a blockchain or a ledger logging transactions distributed across a network of thousands of computers. Bitcoin is one of the top cryptocurrencies to be bought in 2022 and it is one of the top 10 cryptocurrencies to buy. According to experts, you can enjoy a big profit by investing in BTC.
Current Price: US$4,335.27
Ethereum is a platform that allows you to create online contracts as people can use Ether as their currency for the contacts. ETH is known for its smart contracts itself. It has experienced tremendous growth of about 42,000% this year. It is also one of the top cryptocurrencies to buy in 2022 for huge profits.
Current Price: US$160.88
Current Price: US$0.8187
Current Price: US$574.55
Current Price: US$1.00
Current Price: US$1.37
Current Price: US$29.18
Current Price: US$0.1786
Current Price: US$0.9987
Cryptocurrency Investment Options In 2021
If one was to go purely by the most obvious answer and recommendation followed by everyone in the crypto universe, Bitcoin, Ethereum, Dogecoin, Cardano, and Ripple are the most popular cryptocurrencies to invest in. However, as a crypto investor or trader, the goal must not be to only go by popular opinion. You must aim to educate yourself to come to a relevant investment decision based on your investment goals, the level of experience, and the personal goal .
On that note, here we have a list of the top 10 cryptocurrencies with neutral and factual opinions about each to let you decide what crypto to buy for yourself. These ten have been chosen purely based on their market capitalization and value as of May 2021. Let’s get started, shall we!?
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Armando Aguilar Vice President Of Digital Asset Strategy At Fundstrat Global Advisors
Aguilar had expected to see bitcoin reach $70,000 but a confluence of macro factors has made him more cautious about the year ahead.
The Fed’s decision to double its pace of tapering and potentially hike rates three times in 2022, combined with the fast-spreading Omicron variant, stagnant supply chain issues, heightened inflation, and the midterm US elections will induce choppiness in the market, he said.
Nevertheless, he expects bitcoin to reach six figures by the first half of 2022 as institutional adoption and inflation concerns persist. Meanwhile, he thinks ethereum will surpass $9,000 driven by the continued growth in decentralized finance, NFTs, and metaverse-related activities on top of the network.
Specifically, as institutional and retail demand drives DeFi to new heights, ethereum is likely to outperform bitcoin. In 2021, nearly 25% of all VC funding rounds or 428 deals worth about $1.9 billion were concentrated in DeFi, he noted.
“Regulation slowed down DeFi investments in the second half of the year, but continued adoption and clear legislation can continue to drive growth in the space,” he told Insider.
Going into 2022, he is keeping six baskets of high-conviction altcoins on his radar.
Doge Price Prediction November 2021
A re-test of support is likely however, once this coin starts gathering pace, we know from earlier in the year, it can gather a lot of momentum quickly. A key level will be getting above $0.35 and holding this level which will be an extremely bullish sign. Good days are ahead for Doge we feel it!
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Should You Invest In Altcoins
Experts caution that Bitcoin is highly speculative, and altcoins are even more so. Ethereum, the most widely heard-about altcoin, has grown significantly since its 2015 launch, thanks to its smart contract capabilities and the popularity of digitally scarce art known as non-fungible tokens . ETH has a market cap of more than $500 billion at the time of writing this article.
But dont let the popularity of altcoins result in fear-of-missing-out . Even crypto evangelists view the rise of cryptocurrency with some healthy skepticism.
Everyone always looks at other people making money and theyre like, what about me? says Nelson Merchan, CEO of blockchain events firm Light Node Media But I think that the beauty of what crypto really allows us to do is reassess our relationship with money.
Dont view crypto as a fast cash-grab, says Merchan. Instead, see it as an opportunity to learn about a new asset class without putting everything on the line. Before you actually invest in smaller altcoins like Tether, Cardano, and others, start by learning about how they work.
Many experts say crypto is here to stay especially now that the Biden administration has made clear its desire to regulate it and blockchain technology continues to hold potential across many different industries.
I’m Still Not Buying Bitcoin And You Shouldn’t Either
Although Bitcoin has proved me wrong over the past year, I still wouldn’t buy the most-popular digital currency on the planet with free money — and I’d suggest others avoid it, too. Below are some of the reasons I simply can’t buy into the hype surrounding Bitcoin.
For starters, it isn’t the scarce token it’s made out to be. Take gold as a comparison. Since we can’t use alchemy to make any additional gold, what remains in the ground and what’s been already mined is all there will ever be. In terms of physical scarcity, that’s a true line in the sand. As for Bitcoin, lines of code are what limit its “cap” of 21 million coins. Even though consensus is unlikely to increase the number of outstanding tokens above 21 million, it’s not impossible that it happens. Thus, Bitcoin only offers the perception of scarcity and not true scarcity.
Another big issue for Bitcoin is dilution. But I’m not talking about the modest coin inflation that comes with cryptocurrency mining. Rather, I’m alluding to Bitcoin being a first-generation blockchain network that’s being left in the dust by third-generation blockchain innovation. There’s absolutely no reason for Bitcoin to be worth $913 billion when blockchain projects at a fraction of its value can scale better, process faster, and handle far more complex transactions. Bitcoin may be benefiting from a first-mover advantage, but the first to the foray is rarely the victor.
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Why Are There So Many Cryptocurrencies
The majority of cryptocurrencies today are derived in some form or another from Bitcoin, which uses open-source code and a censorship-resistant architecture. This means that anybody can copy and tweak the code and create their own new coin. This also means that anybody is free to join its network or transact in it.
How Does A Crypto Exchange Work
Crypto exchanges work a lot like brokerage platforms you may be more familiar with. Each offers a portal where you can create different order types to buy, sell and speculate on cryptocurrencies with other users.
Crypto exchanges can be centralized, meaning they are managed by one corporate authority, like a brokerage company that facilitates the security of trades, or decentralized. Decentralized exchanges generally distribute verification powers to anyone willing to join a network and certify transactions, much like cryptocurrency blockchains themselves. This may help increase accountability and transparency as well as ensure an exchange can keep running if something happens to a company running an exchange.
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Risks Of Investing In Binance Coin
What sets Binance Coin apart from its competitors is that it was created by a company instead of a group of tech developers. Although Binance Coins commitment to maintaining a strong blockchain has won over many skeptics, some investors remain leery of this cryptocurrency and its potential security issues.
How Do You Buy Crypto
To buy cryptocurrency, youll need to create an account with a crypto exchange. You may need to obtain a crypto wallet to hold your cryptocurrency, or your exchange may provide one. Be careful when picking a crypto exchange as some, like Robinhood, provide wallets that do not let you transfer your coins off of the platform. This may create security risks, for instance if Robinhood were hacked, or tax issues if you ever wanted to move your crypto off of the platform. Youd have to sell and rebuy your coins, which might cause you to realize some capital gains.
Once youve picked an exchange and a wallet, youll be able to buy crypto by transferring U.S. dollars into your account via an ACH or wire transfer. You may even be able to buy crypto with a credit or debit card, though this may carry additional fees, some of which can get quite high, possibly up to 5% of your transaction. Some crypto exchanges will let you use other cryptocurrencies or their own branded stablecoins to fund transactions.
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The Methodology Behind The Top 10 Ranking
When selecting projects for the top ten aspiring cryptocurrencies for 2021, I used three criteria. While any such rankings are arbitrary, I am giving the reader an opportunity to evaluate the list for themselves by disclosing my methodology.
The three criteria are as follows:
- Position in the CoinMarketCap ranking
My set includes established projects from the list of the top 30 cryptocurrencies, according to CoinMarketCap, with a good reputation and a transparent trading history.
The purpose of the analysis was not to search thousands of cryptocurrencies to identify risky gems that could moon 100x, 1000x, or even 10,000x next year.
They could also drop to zero. I prefer to identify some of the most reliable projects with the best risk-reward ratio.
- Annual ROI chart
The chart contains historical data on selected cryptocurrencies and compares the return on investment that investors could have gained during 2020.
One commentator who refers to this chart frequently is Benjamin Cowen. In the video below, he indicates cryptocurrencies with the highest ROI from March to December 2020. LINK, VET, and ADA were the top three, followed by XLM and ETH.
- Opinions of crypto market experts
This is the most arbitrary criterion. There are influencers, commentators, and analysts of all kinds in the crypto sphere, but theres certainly no consensus on who is unquestionably an authority.
Thus, we only refer to a few people, such as Cowen, Kevin Svenson, and Lark Davis.