Considering the number of crypto-assets that are present on the market today, the topic is decidedly vast however, in this article, you will find precisely the best cryptocurrencies to invest in in the current year.
The starting point for addressing this topic is the legacy left by the year that is starting to close. 2021 was a year to be framed for the entire sector, starting, of course, with the digital assets with the highest market cap.
Continuing in the wake of the trend that emerged already in 2020 following the explosion of the covid19 emergency, the prices of the most important cryptocurrencies have grown even more. In the second half of 2021, Bitcoin and Ethereum updated their all-time highs (ATH). In parallel, a third cryptocurrency has also emerged that has gone to occupy the place once held by Ripple. We are talking about Cardano, the digital asset that has carved out a fair share of popularity in a hyper-competitive market.
The inflation emergency pushed the entire cryptocurrency sector forward in the final part of 2021. Due to the rise in energy prices, inflation has become the new variable that can scare traditional markets. As awareness grew that inflation was destined to become lasting and no longer transient, the shift of wallets towards cryptocurrencies has also increased. In this context, it has become essential to be selective and therefore to know how to choose the best cryptocurrencies to invest in 2022.
Will Cryptocurrency Prices Grow?
Due to the strong rally recorded in recent months by all altcoins, the price targets have been raised a lot. It may be hard to imagine but there are those who believe that the price of cryptocurrencies can grow by as much as 27,000%. This is the prediction of the well-known trader Rekt Capital. According to this investor, who is highly regarded among the members of the crypto-trader community, the bull run of altcoins is just beginning.
The expert recalled how at the beginning of 2017, the market capitalization of altcoins was able to transform the maximum level reached in the previous cycle into support. That share was touched towards the end of 2018. The new base then launched capitalization at the highest peak of 27,623 percent.
For this to happen, it took just one year. At this point, Rekt Capital believes that the same thing could happen by the end of 2022. After all, in recent months the capitalization of cryptocurrencies has increased significantly, surpassing the previous record of 2017.
What would be the market value that cryptocurrencies would reach with a jump of 27,623% from the previous high? Let’s hold on tight because the forecast indicated by the expert trader is even equal to … 152.6 trillion dollars.
This is a decidedly high target and in fact, speaking of the best cryptocurrencies to invest in 2022, it was Rekt Capital himself who stated that these estimates are almost impossible. Never say never, though, and cryptocurrencies have made it clear over the last year.
Cryptocurrencies forecasts: Best cryptocurrencies to invest in 2022
Bitcoin can only be part of the list of the best cryptocurrencies to buy in 2021. This record is supported by the growing interest of institutional investors in the queen of crypto-assets. In recent months, many large companies have revealed that they intend to invest in Bitcoin. Some have already gone from words to deeds such as Tesla, the first large company that decided to buy Bitcoin.
The enormous appeal of BTC has pushed the prices of the main digital asset to over $ 60,000. According to some experts, this could be just the starting point of a bull run that would bring the value of Bitcoin even to 100,000 dollars, a level considered to be a new normal. A catalyst for this rise may be the structural increase in inflation, now considered inevitable by many analysts in light of the monetary policies that have been adopted by central banks to revive the economy.
We currently know that Bitcoin reached $ 68,000 in mid-November 2021, but new records over the course of the year are not excluded.
The latest updates of the month saw Bitcoin retrace slightly from the highs also due to the possible increase in taxation on the digital assets sector as would seem to be envisaged in Biden’s infrastructure plan.
Many traders (myself included) believe that the recent decline of Bitcoin may be preparatory to a new rally that would bring the value of BTC to very high levels.
Cryptocurrencies forecasts: Best cryptocurrencies to invest in 2022 – Top Altcoins
In addition to BTC, however, there are many other altcoins that could continue, also in the next year, the positive performance already started after last summer.
In addition to the need for completeness, there is another reason why next year it is worth broadening the horizon to all other cryptocurrencies. While BTC is moving well past its 2017 highs, other cryptocurrencies, including many of the larger ones, are far from highs.
Ethereum and Cardano, just to mention those with the largest capitalization after BTC, have appreciated in recent months, however, their potential is still unexpressed and therefore has a certain margin for growth.
Talking about the best cryptocurrencies that should be bought in 2022 was Don Guo, CEO of Broctagon Fintech Group, who in an interview with CNN recalled how all Altcoins began their history as small virtual currencies. According to the expert, if the cryptocurrency market continues to grow, ” many investors may be tempted to bet on smaller digital coins to hit the jackpot.”
That said, the 2022 cryptocurrency forecasts are particularly optimistic towards all the assets with the highest market cap.
At the beginning of November 2021, Ethereum reached $ 4,700, marking a new all-time record and confirming itself as the second cryptocurrency in the world after Bitcoin with a further growing market capitalization. Subsequently, the value of ETH fell (in parallel with that of Bitcoin) but the pitch remains bullish despite the cryptocurrency has gone from just $ 450 a year ago to almost $ 5,000. Among the factors that pushed Ethereum forward in the final part of the year is the Altair update of the Beacon Chain carried out at the end of October. This update has improved the management of transactions in terms of efficiency and speed.
After all, Ethereum was also mentioned among the best cryptocurrencies to buy in 2021 by Rachid Ajaja, CEO of AllianceBLock. The manager, in unsuspected times, had stated that ETH has the potential to record even better performances than those achieved by Bitcoin in the current year.
The Best Website for Crypto Investors
Stop the domination of Bitcoin?
The need to diversify investments in cryptocurrencies as much as possible is also reiterated by other analysts and helps to provide a very different picture on the 2022 cryptocurrency forecasts compared to what one would have expected.
In short, it is time to do away with the Bitcoin monoculture because, as highlighted at the time by Brad Garlinghouse, CEO of Ripple, it cannot be excluded that the current high popularity that Bitcoin enjoys today may also turn into a boomerang.
The reason is simple: it is highly probable, and hence the conditioning on the 2022 forecasts, that the concentration of investments on a single digital asset could generate strong risks. So what to do to save yourself from this trap? Diversify your investments and choose the best altcoins outside of Bitcoin.
Between 2020 and 2021 there have been many new cryptocurrencies that are making themselves known, especially those related to the world of DeFi such as Uniswap and Chainlink. It is therefore natural that Bitcoin can remain a point of reference, but not the only cryptocurrency that is appreciated and recognized as a good investment.
Are low=cost coins the best cryptocurrencies to invest in 2022?
The enormous prices reached by the higher capitalization of cryptocurrencies could discourage especially novice traders from investing. Faced with the very high prices of Bitcoin, Ethereum, and other crypto-assets with the highest market cap, an idea to consider is to invest in the lowest-cost cryptocurrencies. This is also for practical reasons.
In fact, preferring low-cost altcoins, it will still be necessary to become familiar with the management that each cryptocurrency imposes but without having to spend what would be necessary if one opted to buy expensive virtual currencies.
In practice, preferring low-cost cryptocurrencies means having the opportunity to practice. In fact, it will still be necessary to choose a wallet, learn how to keep the crypto-asset, know how to monitor data, and, ultimately, know how to do analysis (technical and fundamental).
What are the lowest cost cryptocurrencies available on the digital currency market today?
In my opinion, the best investment opportunities are Fantom, Polkadot, Everlens, ANKR, COTI,… These are all cryptocurrencies with huge potential due to the strength of the projects, the teams behind them, and the highly achievable goals.
Some of them, like Fantom, have already grown 100x, and there is still space for further records.
Best cryptocurrencies to invest in 2021: what were the estimates of last year
Last year a vast number of analysts indicated three assets that they believed could grow a lot: Cardano, Dogecoin, and Polkadot.
Cardano has enjoyed excellent visibility for a few months. The development team’s goal is to turn ADA into a central project in the decentralized finance (DeFi) landscape. The latest events that saw Cardano as protagonist were: the adoption of the Proof of Stake (PoS) consensus algorithm instead of the previous Proof of Work (PoW) and the Mary update.
In particular, thanks to Mary’s many innovations, the blockchain aims to soon become a decentralized platform of smart and multi-asset contracts. In practice, not only smart contracts and DeFi but also NFTs (Non-Fungible Tokens) could soon make an appearance on its network. All these innovations have contributed to further strengthening Cardano’s appeal.
The Dogecoin cryptocurrency-meme is included in the list of the best-emerging crypto-assets for 2021. Doge is highly appreciated by the head of Head Elon Musk and in fact, the manager’s tweets have often been able to push up the value of Dogecoin.
In recent months Dogecoin has been accepted as a payment method by the Dallas Mavericks, one of the most famous teams in the NBA. But Dogecoin is also included in over 1800 crypto ATMs throughout the US.
The growth of Dogecoin’s reputation is a fact: not bad for a cryptocurrency that was born as a joke.
The third emerging cryptocurrency analysts have listed as the best for 2021 is Polkadot. Unlike Cardano ADA and Dogecoin DOGE, of Polkadot DOT, also known as the killer of Ethereum, there is much less talk.
Polkadot is a programmed multi-chain network that was born with the aim of uniting the various blockchains by behaving in this way as a framework like the one that HTML does that allows sites, browsers, and servers to interact with each other.
Blockchains that are interested in interoperability can ask to connect with Polkadot and therefore to work in parallel with the aim of having access to the validation of transactions and network security.
Best cryptocurrencies to invest in 2022 – Conclusion
The cryptocurrency market is certainly opening up. I don’t think that only a handful of coins will be the relevant driving force anymore.
Many altcoins have followed the footsteps of Bitcoin, Ethereum, and Elrond, and are gaining ground.
It’s just up to the smart investor to seize the opportunities and collect the abundant fruits.
If you really want to get into investing in cryptocurrencies, I strongly suggest you check out my article about Copy my Crypto and James McMahon.
To your success!