The idea of having an alternative digital currency that is not controlled or overlooked by any central authority was always welcomed. However, it wasn’t until the introduction of cryptocurrencies that we knew of such possibilities.
Cryptocurrencies have changed the face of modern transactions. These digital tokens are secured by cryptography, making it impossible to double-spend or counterfeit.
Besides, there’s more to these currencies. Continue reading as we explore these digital assets and look at the best tokens you could buy today.
What Is Understanding: Simplifying The Concept
Cryptocurrencies are virtual or digital currencies underpinned by cryptographic systems. These tokens are decentralized and developed over the Blockchain network to secure online payments without the involvement of any intermediaries.
“Crypto” refers to cryptographic techniques and encryption algorithms that safeguard such entries. Interestingly, the introduction of cryptocurrencies was a hit among tech-savvy investors and traders as it led to a flourishing industry.
The Current Market Conditions: A Warning Or Opportunity?
Over the years, cryptocurrencies have led to a trillion-dollar market. Thousands of investors have turned into millionaires by investing in the right project. But fast forward to 2022, and the latest events in the crypto industry have left the firm believers and investors split into two.
While a part of the investor and traders are terming it the worst crypto winter, others are looking at this crypto crash as an opportunity to enter the high rollers at their revised rates. However, this is where the challenge starts!
The presence of over 20,000+ tokens can confuse any investor, as choosing a potential project amidst the flock is no easy feat. So to help you better, we’ve streamlined several tokens that could be your best pick this crypto winter. Let’s check them out in the following section.
Top Crypto Projects You Could Be Investing In 2022
Bitcoin (BTC)
Topping our list of the top tokens worth investing in amidst this volatile market is Bitcoin (BTC). The industry’s benchmark token has been one of the most consistent performers, churning out returns over 1000x.
Besides, the first-ever cryptocurrency has a market value of nearly $400 billion, sitting at the top of the table with an all-time high price that touched $70,000. Therefore, considering that the token revolves around the $15,000-16,000 range could be the best possible entry point for the token.
Adding to it, Bitcoin’s past performance and price speculations suggest that the token will go up to $1,00,000 in the future. Considering such stats now would be the perfect time to add the token to your portfolio.
Ethereum (ETH)
If you’re new to crypto investments and want to simplify your entry into the market, you couldn’t go wrong with Ethereum. Often referred to as the chart-topping blue-chip cryptocurrency, Ethereum is only second to Bitcoin regarding market capital and exposure.
However, the token’s fundamentals make it an interesting investment. This $200 billion capitalized token is known for its extensive use in developing dApps and minting NFTs. ETH also helped popularize the concept of DeFi (Decentralized Finance), which introduces the concept of smart contracts and Blockchain technology into finance, ensuring safe, seamless, and trustless experiences.
In addition, Ethereum’s recent 2.0 update has added more functionality to the token as it has transitioned from a PoW to a PoS protocol to be more energy-efficient. All such aspects and ETH’s recent market movements suggest that the token is at its best entry point around the $1200 mark since it has the potential to touch $5,000 by 2023.
Dogecoin (DOGE)
The third project on our list, Dogecoin, is an option for moderate investors. Considered to be the ‘king’ of meme tokens, DOGE has come a long way from a parody to a utility project. Found in 2013, this token gained popularity almost recently after Elon Musk’s association.
Keeping in tandem with its popularity, Dogecoin is backed by a strong community of investors and believers of the project. Analysis suggests that the token has an upside potential (Not to forget, the token almost touched the $1 mark). In addition, today, we have increased use cases of the token. It is currently accepted as a legal tender by several established businesses globally.
Dogecoin is among the top 20 cryptocurrencies in the market, giving tough competition to other meme tokens on the list. However, it’s the price point that makes DOGE a great investment. This token is below $1 and has the potential to reach up to $100 in the coming years. Lastly, considering it’s currently available below 82% of its expected potential, now could be a great time to invest in the token.
Avalanche (AVAX)
Next, we have AVAX, a token backed by its DeFi platform Avalanche. While it might seem odd to find DeFi players on this list, their increasing market size puts them in an investment spot on many portfolios. The analysis further suggests that the DeFi market will boom at a CAGR of 42.5% between 2022-2030, surging from $13.6 to $231.2 billion.
Regarding the project, AVAX simplifies operations over the Avalanche Blockchain as its native token. The self-touted world’s fastest smart-contracts platform aims at becoming the AWS (Amazon Web Service) for the crypto industry. Adding to it, Avalanche’s unique deployment of several discrete Blockchains and expansion make it a promising project.
Besides, looking at the stats, AVAX has been a strong performer in the market. Being a new entrant, it started its journey at a mere $7 on December 2020 but was quick enough to reach its all-time high of $135 in mere 11 months. Fast forward to 2022, and we have AVAX back at $12, making it a great entry point for long-term investors.
Binance Coin (BNB)
While it’s true that no other token shares the same price range or market capitalization as ETH or BTC, we can’t overlook the third-closest token in the picture. The Binance Coin, or BNB, has a market valuation of about $57 billion.
Adding to it, Binance itself is the #1 cryptocurrency exchange in the world. Its vibrant ecosystem streamlines its operations using the BNB token on its Blockchain. Moreover, unlike many leading tokens, BNB follows a deflationary approach with a hard cap limit.
Regarding its price movement, BNB has come a long way from its initial price level of $70 to its current value of $300. Over the years, the token has shown consistent behavior toward the market, making it an approachable token for any portfolio.
What’s Next For Your Portfolio?
This brings us to the end of our pick of the best tokens you could be adding to your portfolio. However, considering that we have new tokens almost every other day, it would be wise to keep looking for projects with better potential to invest in. Remember, crypto prices can be volatile, but the projects won’t!
