Cryptocurrency, a digital form of currency that operates independently from traditional banking systems, has gained considerable attention in recent years. As more and more people are intrigued by the potential for significant returns, the question of which is the best crypto to buy right now arises. This article aims to provide insights into the top cryptocurrency investments in 2023, including Bitcoin, Ethereum, BNB, Cardano, Polygon, Terra 2.0, Avalanche, and Chainlink. Additionally, we will delve into various factors to consider when investing in crypto, the current performance of the cryptocurrency markets, and how to find the best cryptocurrency to invest in today. So, if you're eager to dive into the world of digital assets, keep reading to uncover the best crypto to buy now.
Top Crypto Picks for Investment
1. Bitcoin (BTC)
- Valuation: $594.1 billion
Bitcoin has gained significant popularity and value over time, with its price increasing by 6,021% since May 2016. From $500 to approximately $30,603 on Jun. 27, 2023.
More Information: Steps to Purchasing Bitcoin
2. Ethereum (ETH)
- Valuation: $225.6 billion
Ethereum's value has experienced remarkable growth, rising by 16,963% from around $11 in April 2016 to approximately $1,877 by the end of June 2023.
More Information: Procedures for Acquiring Ethereum
3. Tether (USDT)
- Valuation: .2 billion
4. Binance Coin (BNB)
- Valuation: $37.2 billion
BNB's value in 2017 was a mere $0.10, but by late June 2023, it had surged to around $239, generating a substantial gain of 238,744%.
More Information: Purchasing Cryptocurrency Guide
5. U.S. Dollar Coin (USDC)
- Valuation: $28.3 billion
6. XRP (XRP)
- Valuation: $25.2 billion
From a value of $0.006 at the start of 2017, XRP experienced significant growth, reaching $0.48 by Jun. 27, 2023, reflecting a rise of 7,930%.
7. Cardano (ADA)Surging onto the crypto scene later on, Cardano (ADA) distinguishes itself through its early adoption of proof-of-stake validation. This method enhances transaction speed while minimizing energy consumption and environmental impact by eliminating the competitive problem-solving component present in platforms like Bitcoin. Cardano also supports smart contracts and decentralized applications, both of which its native coin, ADA, powers.
Despite having modest growth compared to other major cryptocurrencies, ADA saw a 1,315% increase in value from $0.02 in 2017 to $0.28 by Jun. 27, 2023.
8. Dogecoin (DOGE)Initially created as a lighthearted joke in 2013, Dogecoin quickly developed into a prominent cryptocurrency thanks to its dedicated community and amusing memes. Unlike many other digital coins, Dogecoin has no maximum limit on the number of coins in circulation, thereby leaving it vulnerable to potential devaluation as the supply increases.
Dogecoin's value grew significantly, going from $0.0002 in 2017 to $0.07 by June 2023, signifying a staggering growth of 32,540%.
9. TRON (TRX)Launched in Singapore in 2017, TRON operates as a decentralized blockchain platform. By December 2021, it transformed into a fully decentralized autonomous organization (DAO), boasting over 167 million user accounts as of June 2023.
Starting at $0.0025, TRON's value reached $0.07 in less than five years, showcasing an increase of 2,700% and solidifying its status as one of the world's fastest-growing cryptocurrencies.
10. Solana (SOL)Designed to fuel decentralized finance (DeFi) applications, decentralized apps (DApps), and smart contracts, Solana operates on a hybrid proof-of-stake and proof-of-history mechanisms. This unique setup ensures fast and secure transaction processing. SOL, Solana's native token, powers the platform.
Following its launch in 2020 with a starting price of $0.77, SOL's value rose to approximately $16.56 by late June 2023, denoting a remarkable gain of 2,050%.
*Market caps and pricing obtained from coinmarketcap.com as of 1:31 p.m. UTC on Jun. 27, 2023.
What Are Cryptocurrencies?
Cryptocurrency constitutes a purely digital form of currency. It can be utilized for online transactions without the need for intermediaries like banks or stored as an investment asset.
How Does Cryptocurrency Function?Cryptocurrencies refer to different digital currencies primarily based on blockchain technology. This technology enables most cryptocurrencies to operate trustlessly, meaning that there is no central authority overseeing transactions on the cryptocurrency's blockchain.
The world's first cryptocurrency, Bitcoin, came into existence in 2009, conceptualized by the pseudonymous computer programmer Satoshi Nakamoto.
Why Do Numerous Cryptocurrencies Exist?
As of June 2023, the cryptocurrency space boasts over 22,000 active crypto projects, each serving a unique purpose.
While some cryptocurrencies function as digital currencies, others contribute to the development of blockchain infrastructure. Ethereum and Solana, for instance, serve as foundation currencies, upon which developers build various cryptocurrencies, expanding the realm of possibilities.
How Can You Invest in Cryptocurrency?You can acquire cryptocurrencies through various crypto exchanges, such as Coinbase, Kraken, or Gemini. Some brokerages like WeBull and Robinhood also enable consumers to purchase cryptocurrencies.
How Should You Report Cryptocurrency on Taxes?If you engage in buying and selling cryptocurrencies, it is essential to understand the applicable cryptocurrency tax regulations.
Cryptocurrencies are treated as capital assets, akin to stocks, rather than cash. Consequently, if you sell cryptocurrency at a profit, you are required to pay capital gains taxes, even if you use your crypto for purchases. Any value increase beyond your initial investment will be subject to taxes.
Top 8 Cryptocurrency Investments in 2023Outlined below are eight leading cryptocurrencies that possess considerable investment potential in 2023.
Binance Coin (BNB coin)
Data is current as of June 1, 2023.
Bitcoin (BTC)Bitcoin has been in existence longer than any other cryptocurrency. It's not difficult to understand why it holds the top position, considering its price and market cap far surpass those of any other crypto investment options.
Many businesses already accept bitcoin as a form of payment, making it a wise investment. Visa, for example, conducts transactions with bitcoin. Additionally, through its partnership with OpenNode, Stripe now enables merchants to settle transactions and convert payments into bitcoin after a hiatus from the cryptocurrency market. Even larger banks are starting to incorporate bitcoin transactions into their offerings.
While Tesla briefly accepted bitcoin, the company may reconsider if the mining process becomes more environmentally friendly. In fact, Blockstream and Block (formerly known as Square) are launching a bitcoin mine in Texas that will be powered entirely by Tesla's solar array and Megapack battery, as reported by CNBC in April 2022.
Bitcoin also received a boost in May 2022 when the Luna Foundation Guard announced it would provide $1.5 billion in loans denominated in bitcoin and terra USD to stabilize the latter, according to Fortune. Although at least two investment companies hope to create spot bitcoin ETFs, their applications have been rejected by the Securities and Exchange Commission so far.
Potential Risks of Investing In BitcoinThe value of bitcoin tends to fluctuate significantly. In any given month, you may observe price fluctuations of thousands of dollars. This trend was particularly evident in 2022, as CNBC reported that bitcoin prices were correlated with the Nasdaq, challenging previous assumptions that bitcoin would act as a hedge against inflation.
Bitcoin also reacted strongly to the collapse of the FTX cryptocurrency exchange, and the repercussions of this event may not have fully settled yet. However, Rostin Behnam, the head of the United States Commodity Futures Trading Commission, described bitcoin as the only cryptocurrency asset that can be considered a commodity in the aftermath of the FTX collapse, as reported by Cointelegraph. Since the beginning of the year, the value of bitcoin has increased by over 67%.
If you find wild fluctuations unsettling, it may be advisable to avoid investing in bitcoin. Nevertheless, if you recognize the potential of cryptocurrency as a long-term investment, these fluctuations should not be overly concerning.
Another reason to reconsider investing in bitcoin is its high price. With a single bitcoin costing over $26,000, it is unaffordable for most individuals to purchase whole bitcoins. This may be perceived as a drawback by investors who prefer not to buy fractions of a bitcoin.
Ethereum (ETH)Ethereum (ETH) was crowdfunded in 2014 by a team of software engineers and has emerged as the most widely used blockchain for decentralized applications (dApps).
It introduced smart contracts through a custom programming language called Solidity, enabling the development of automated software and applications that use the Ethereum blockchain for enhanced security. Ethereum can be thought of as an incredibly secure financial layer for the internet, housing a multitude of automated services, websites, and applications that operate without the need for human intervention.
Currently, Ethereum faces challenges related to slow transaction speeds compared to its competitors. However, it has a rigorous development cycle in place to address these issues.
Why Do People Attribute Value to ETH?
Ether (ETH) serves as the native currency of the Ethereum blockchain and is used to pay for network transaction fees known as gas. With each transaction, a portion of ETH is permanently burned, gradually reducing the overall supply over time.
ETH can also be staked (locked up) in exchange for earning yield.
BNB (BNB)Over time, Binance Coin (BNB), now referred to as BNB, has proven to be a relatively stable investment option. It functions as the native token on Binance, which happens to be the world's largest cryptocurrency exchange, as well as on Binance.US, the version specifically for U.S. residents. However, despite its extensive functionality and success within Binance sub-projects, BNB remains a highly volatile investment.
One advantage of BNB is Binance's practice of burning coins quarterly. In their most recent burn, reported by Binance on April 14, over 2 million BNB tokens were destroyed, equivalent to around 1.7 million at the current price. This practice does not immediately impact prices, but strategically managing the token supply can contribute to long-term benefits by creating scarcity. Currently, the total supply of BNB stands at 155,856,234.6, reduced from 200,000,000, and all these tokens are in circulation.
It's worth noting that Binance has played a significant role in stabilizing the crypto industry following the collapse of the FTX exchange. As CNBC reported, Binance has committed $1 billion to a recovery fund established to support struggling players in the market.
Potential Risks of Investing In BNBAlthough BNB's status as the native cryptocurrency on the world's largest exchange lends it some credibility, it also exposes the currency to potential regulatory issues. These issues are likely to intensify in light of the FTX bankruptcy. Fortune reported that BNB experienced a 7.3% decline in value in June 2022 when news broke about a Securities and Exchange Commission investigation into whether Binance followed proper procedures during its 2017 initial coin offering.
Cardano (ADA)The Cardano network has garnered attention from investors due to its smaller footprint. Its appealing qualities include lower energy requirements for transaction completion compared to larger networks like Bitcoin, resulting in faster and more cost-effective transactions.
In 2021, Cardano implemented a "hard fork," an upgrade that expanded functionality by enabling the deployment of smart contracts. Another hard fork, known as Vasil, was launched in September 2022 and aims to enhance the Cardano blockchain's scalability, as reported by Mint.
Cardano recently introduced a test version of a platform called AdaSwap, which allows developers to build decentralized finance apps. This platform has the potential to elevate Cardano's status as a Web3 network and contribute to a rise in the price of its coin. Despite being ranked seventh in terms of market value, Cardano's non-fungible-token protocol is the third-largest in the world, according to Forbes.
Potential Risks of Investing In CardanoDespite having a better network and increased functionality through smart contracts, Cardano may struggle to compete with larger cryptocurrencies. Fewer adopters mean fewer developers, which is not a desirable situation for most investors who prefer a high adoption rate.
The platform has ambitious plans, including launching an incubator to help Africa reach its potential as a major economy. However, whether Cardano can live up to its potential remains uncertain.
AdviceDon't be disheartened by market fluctuations. Your investment may experience losses on some days and see profits on others. Instead of fixating on daily changes, take a step back and consider the broader picture.
Polygon (MATIC)Polygon was developed by a team that made significant contributions to the Ethereum blockchain platform. Polygon is specifically designed for Ethereum scaling and infrastructure development, as stated by CoinMarketCap. As a "layer two" solution, it expands Ethereum into a multi-chain system, thereby improving transaction and verification speeds.
Polygon has garnered support from both Binance and Coinbase, two prominent cryptocurrency exchanges. Its token, MATIC, is utilized for payment services, transaction fees, and acts as a settlement currency.
In July 2022, Polygon announced the launch of Polygon zkEVM through a press release. This innovative solution is described as the "first Ethereum-equivalent scaling solution that seamlessly integrates with all existing smart contracts, developer tools, and wallets." This integration is achieved by employing zero-knowledge proofs, a form of cryptography that reduces transaction costs and increases throughput, as reported by GoBankingRates.
As of October 2022, Polygon hosts over 53,000 decentralized applications, including those from prominent companies like Meta, Stripe, Credit Suisse, and Deutsche Bank. Additionally, Polygon provides full support for the tether stablecoin, which has the potential to contribute to the network's future growth. Furthermore, Polygon's commitment to carbon neutrality has occasionally resulted in price rallies.
Potential Risks of Investing In PolygonWhile Polygon's layer-two solution offers a remedy to Ethereum's speed issues, it may face competition from Ethereum's Merge upgrade, which could ultimately result in even faster transaction speeds, potentially eliminating Polygon's primary advantage.
Terra 2.0 (LUNA)The Terra Classic blockchain utilized stablecoins, which are coins pegged to traditional fiat currencies like the U.S. dollar, South Korean won, and the International Monetary Fund's Special Drawing Rights currencies, to power global payment systems, according to CoinMarketCap. The native coin, now identified with the symbol LUNC, acted as a stabilizer for the prices of Terra's stablecoins.
However, Terra encountered a significant setback in early May 2022 due to stablecoin volatility and general apprehension within the cryptocurrency market. This led to a halt in the cryptocurrency's strong performance, ultimately pushing some crypto platforms into bankruptcy.
Following the crash, Terra opted to rebrand the original network as Terra Classic (LUNC) and introduced Terra 2.0 (LUNA), a new blockchain that eliminates the algorithmic stablecoin. The goal was to stabilize the Terra ecosystem and assist investors who had suffered losses in recovering some of their investment. It is important to note that LUNC coins are traded separately from the LUNA coins associated with Terra 2.0.
Potential Risks of Investing In Terra 2.0The launch of Terra 2.0 was controversial, and experts in the industry have mixed opinions regarding the long-term viability of this new blockchain. However, a few projects have already been launched on the network, making the native coin worth monitoring for investors comfortable with taking on higher levels of risk.
Interesting FactLUNC was not the first failed stablecoin introduced by Terraform Labs CEO Do Kwon. Another stablecoin called Basis Cash, which Kwon launched on Ethereum in 2020, never achieved parity with the U.S. dollar, as reported by CoinDesk. On June 1, its price was approximately $0.003.
Avalanche (AVAX)Avalanche is a relatively new "layer one" blockchain considered as an alternative to Ethereum. Founded by Ava Labs and computer scientists from Cornell University, including former professor Emin Gün Sirer, an expert in cryptographic research, Avalanche improves the base protocol to increase scalability, as described by CoinMarketCap.
Avalanche features three separate blockchains that can independently validate transactions. This design enables Avalanche to process large volumes of transactions, reaching up to 6,500 transactions per second. As a result, it has gained popularity among Ethereum projects, as reported by U.S. News.
Regarding the AVAX coin, Bloomberg reported that Avalanche surpassed Ethereum to become the reserve currency for Terra's UST stablecoin. As part of this initiative, the Luna Foundation Guard, a nonprofit organization supporting Terra, intended to acquire $100 million worth of AVAX.
AVAX began trading in 2020, with a 24-hour initial coin offering. Its price has varied between a low of $10.65 and a high of $30.50 over the past year. As of June 1, the coin is valued at $14.40.
Potential Risks of Investing In AvalancheSirer introduced the cryptocurrency through a white paper in 2018, and its launch took place in 2020. With such a short track record, Avalanche lacks the historical data necessary for comparison, making it a riskier investment option for potential buyers.
Chainlink (LINK)Chainlink utilizes a decentralized oracle network to facilitate secure interactions between blockchains and external data feeds, events, and payment methods. The developers envision smart contracts as the future of digital payment, according to CoinMarketCap.
One advantage that Chainlink has is its strategic partnership with Google. Google leverages Chainlink's protocol to connect users to its cloud services, as reported by Benzinga.
Chainlink is also the chosen platform for the new inflation index by decentralized finance company Truflation. This index serves as an alternative to the Consumer Price Index and aims to measure inflation more dynamically, accurately, objectively, and transparently using 10 million data points from over 40 sources.
Chainlink Labs has a distinguished advisory board that includes former Google CEO Eric Schmidt, DocuSign founder Tom Gonser, and former LinkedIn CEO Jeff Weiner.
Risks of Investing In ChainlinkDespite its proven utility and support from major players, Chainlink has experienced volatility similar to other cryptocurrencies.
Continuously educate yourself about the cryptocurrency market before making any investment decisions. The market is dynamic, and new players can emerge as leaders. As an investor, staying updated on market developments is crucial.
Evaluating the Top Cryptocurrency ChoicesIf you run a quick online search, you'll find numerous recommendations on how to invest in cryptocurrency. The following factors were considered in selecting the top eight picks.
LongevityHow long has the cryptocurrency been in existence? While new cryptocurrencies are not disregarded, historical data provides valuable insights into a company's performance.
Track RecordHow has the company performed over the years? Stability in prices indicates a positive track record. If a cryptocurrency gains traction and increases in value over time, it shows promise.
Good To KnowKeep in mind that past performance does not guarantee future performance. Market conditions can change, and investments may perform differently in the future.
TechnologyHow does the platform compare to others in terms of usability and security? Transaction speed is a critical factor to consider. Additionally, ensuring the security of your investment is essential. While blockchain provides transparency, it doesn't eliminate all potential risks.
Adoption RateHow many people are investing in the cryptocurrency you're considering? Higher adoption indicates better liquidity, making trading, selling, or spending easier in the future.
Best Cryptos to Buy Right NowLet's highlight three cryptocurrency projects that have recently experienced significant developments or have upcoming events. These highlighted coins are regularly updated to reflect the latest developments in the crypto and blockchain world.
Optimism offers a layer 2 solution for Ethereum called Optimistic Rollups. This technology moves transaction and computation data off the main Ethereum blockchain, improving speed and reducing costs. Optimism has gained widespread adoption, attracting projects like Manifold, Sound, and Pimlico.
Optimism also serves as the foundation for the opBNB platform, a layer 2 scaling solution for BNB Chain. opBNB aims to scale to over 4,000 transactions per second with low transaction costs.
BNB is a token launched by the Binance cryptocurrency exchange in 2017. BNB provides various benefits for users on the Binance platform and serves as the native asset of the BNB Chain. BNB is experiencing developments such as the opBNB platform, which offers layer 2 scalability and reduced transaction fees.
Bitcoin is a decentralized peer-to-peer cryptocurrency introduced in 2008. Bitcoin's recent rally and institutional interest have fueled its price to reach the highest levels in 2023. The rally has been driven by news of large institutional investors entering the Bitcoin markets, such as BlackRock's application to launch an ETF for Bitcoin.
Ethereum is a blockchain platform that supports smart contracts and decentralized applications. Ethereum's ecosystem offers a wide range of applications in decentralized finance, NFT marketplaces, and more. The upcoming "Shapella" upgrade is set to introduce new features and improvements to the Ethereum network.
Uniswap is a decentralized cryptocurrency exchange known for its automated market maker (AMM) model. The platform allows users to swap tokens directly on the blockchain without intermediaries. Uniswap has seen record trading volumes and is the most active decentralized exchange. The project has also introduced a non-custodial mobile wallet supporting Ethereum and layer 2 scalability platforms like Arbitrum and Optimism.
Cosmos is a network that enables interoperability between different blockchain platforms. The Cosmos Hub and other blockchains in the Cosmos network communicate through the Inter-Blockchain Communication (IBC) protocol. The network offers fast transaction times and low transaction costs.
GMX is a decentralized crypto derivatives trading platform specializing in perpetual futures contracts. The platform supports up to 50x leverage and offers a competitive alternative to centralized derivatives platforms.
8. Shiba Inu
Shiba Inu is a meme cryptocurrency inspired by Dogecoin. The project is working on Shibarium, a layer 2 platform for Ethereum that aims to provide more efficient transactions. Shibarium is currently in the testnet phase and has seen significant activity.
9. Mina Protocol
Mina Protocol is a lightweight blockchain that utilizes zero-knowledge technology. The project's focus on scalability and privacy positions it well within the emerging trends in the crypto and blockchain space.
XRP is a cryptocurrency known for its fast and low-cost transfers. XRP has been performing well in recent weeks, gaining value while other cryptocurrencies experienced losses. Positive developments in the lawsuit between Ripple and the SEC could further boost XRP.
Solana is a high-performance blockchain platform competing with Ethereum in the smart contracts sector. Solana's advanced technology and scalability have attracted users from various sectors, including DeFi, NFTs, and gaming.
Maker is a decentralized finance protocol that issues and manages the Dai stablecoin. The recent increase in the Dai Savings Rate and changes in supported assets contribute to MakerDAO's positive momentum.
Please note that the market is dynamic, and it's essential to conduct further research before making any investment decisions.
Additional Factors to Consider When Investing in Cryptocurrency
Investing in digital currency can be an exhilarating and potentially lucrative endeavor, but it's crucial to approach it with caution and have a clear understanding of the associated risks. Take into account the following important considerations before diving into cryptocurrency investments.
As emphasized throughout this article, it is absolutely vital to assess your risk appetite when venturing into the world of cryptocurrency. Crypto markets are highly volatile, with prices fluctuating rapidly and unpredictably, often experiencing drastic swings within mere 24-hour periods.
If you possess a low-risk tolerance, you might want to explore investments in more stable assets that are less prone to extreme price volatility. Keep in mind that losses are part of the crypto journey and should be expected.
Another crucial factor to consider when investing in digital currencies is your budget. Crypto markets move rapidly, and it's essential to be responsive to price fluctuations.
Investing more than you can afford to lose may result in severe financial stress and capital depletion. Our recommendation is to only invest an amount that you can afford to lose without any adverse consequences, an amount that would not cause any other issues if it were to drop to zero and fail to recover.
Conduct thorough research on the project behind the cryptocurrency you're considering for investment. What problem does the project aim to solve? What is its potential for success? What is the track record of the project's team? These are all critical questions that should be answered before making an investment, as we previously outlined in the top section.
The level of adoption is an additional important factor to evaluate when investing in digital currencies. Assess the extent to which the crypto is used and accepted. Is it actively traded on reputable cryptocurrency exchanges? Evaluating the level of adoption can give you valuable insights into the potential for future growth.
Security and Regulation
Lastly, it is crucial to consider the security and regulatory aspects of the cryptocurrency you are contemplating. Crypto markets are susceptible to scams and hacking attempts, so selecting a cryptocurrency with robust security measures is paramount.
Furthermore, regulatory frameworks surrounding cryptocurrencies are ever-evolving. In 2023, the US Securities and Exchange Commission (SEC) adopted a more aggressive stance following the FTX collapse.
Binance.US and Coinbase are currently facing lawsuits for allegedly violating SEC regulations, which have had immediate and far-reaching consequences in the crypto market, impacting price movements. The news triggered a widespread panic, resulting in around $1.5 billion being withdrawn from Binance alone and significantly affecting the entire crypto space.
The SEC now considers approximately 60 tokens to be securities, rendering them vulnerable to substantial price fluctuations as investors shy away due to concerns about potential legal repercussions.
Price Performance over the Last Month (USD)
Market Rank: #1
Market Cap: $591,943,189,709
Total Supply: 21,000,000
Circulating Supply: 19,416,825
XRP, established in 2012 by Ripple, is among the oldest cryptocurrencies. Ripple initially designed XRP for cross-border payment purposes.
Unlike Bitcoin and Ethereum, where new coins are created through mining or staking at regular intervals, XRP was pre-mined, with all 100 billion tokens generated during the launch.
Questions have been raised regarding the true decentralization of XRP, as a significant majority of its tokens are owned by a select few entities.
Why do individuals believe XRP holds value?
Ripple, the issuer of XRP, has designed several products intended to utilize XRP, particularly in the realm of cross-border payments. Some investors perceive XRP's success as closely tied to Ripple's achievements.
Developed in 2013 by software developer Billy Markus, Dogecoin (DOGE) entered the crypto space with a touch of humor. Despite its initial release as a joke, Dogecoin has emerged as one of the most recognizable and popular cryptocurrencies worldwide, consistently ranking among the top 10 projects in terms of total market capitalization.
Dogecoin operates similarly to Bitcoin and Litecoin, being created as a fork of these open-source codebases. Its distinguishing features include an uncapped total supply and fast block production time, making it frequently used as a payment network.
Why do people believe DOGE has value?
DOGE experienced significant growth during the 2021 bull cycle and received substantial promotion from crypto enthusiasts and eccentric billionaire Elon Musk. Musk's company, Tesla, even started accepting DOGE as a form of payment in 2022, further solidifying its reputation as a legitimate cryptocurrency for transactions.
The Solana Foundation launched Solana (SOL) as a layer-1 blockchain in 2020. Similar to Ethereum, Solana supports smart contract functionality and the development of decentralized applications (dApps).
Noteworthy projects built on Solana's blockchain include NFT marketplaces like Magic Eden and DeFi trading platforms such as Raydium and Orca.
Solana's success as a layer-1 blockchain and direct competitor to Ethereum can be attributed, in part, to its unique proof-of-history (PoH) consensus mechanism developed by Solana founder and lead developer Anatoly Yakovenko. PoH enables blockchain scalability while facilitating fast and cost-effective transactions.
In late 2022, Solana faced scrutiny following the bankruptcy of FTX, a crypto exchange that held a significant portion of the circulating SOL supply.
Why do people believe SOL holds value?
SOL serves as the native coin within the network, used to cover transaction fees (gas) and can be staked to earn yield. It is a commonly traded pair in various DeFi protocols and NFT marketplaces on the Solana network.
TRON is a layer-1 blockchain based on a modified version of Ethereum. It gained prominence in 2018 due to its low transaction fees.
Founded by Justin Sun, a notable figure in the crypto space and former Chinese representative of Ripple, TRON acquired BitTorrent in 2018. The integration of Tron's blockchain with the popular uTorrent application contributed significantly to its success. Additionally, TRON hosts numerous decentralized applications, with a strong focus on gaming and entertainment.
Why do people believe TRX holds value?
TRX is used for transactions on the Tron network and serves as a key component within many applications. Network security relies on nodes holding substantial amounts of TRX, which can also be staked to generate yield.
Released in 2011 by former Google engineer Charlie Lee, Litecoin (LTC) stands as one of the earliest and most recognized cryptocurrencies. It is essentially a clone of the Bitcoin codebase with modifications aimed at faster transactions.
Litecoin experienced remarkable growth during the 2017 bull market. Its market capitalization surged 100-fold, reaching nearly $20 billion. While Litecoin's development has been comparatively light, developers began exploring the inclusion of privacy features in 2022.
Why do people believe LTC holds value?
Litecoin has gained traction as a widely accepted payment coin by numerous crypto payment providers worldwide.
Current Performance of the Cryptocurrency Markets
The crypto market is currently witnessing an upward trend, with the average price of the top 200 coins rising by 2.06% over the past 24 hours.
Trading volume has also increased, surpassing the average of the previous 7 days by 88%.
Volatility, measured at 0.68%, remains below the average of the past 30 days (0.79%). It's essential to note that higher volatility can amplify both profits and losses should you decide to sell your assets. (Data sourced from Finder's crypto weather report, which updates daily at 4pm AEST.)
Finding the Best Cryptocurrency to Invest in Today
Identifying promising cryptocurrencies for investment requires staying informed about daily market developments. The tools provided in this guide offer an excellent starting point, but they should be considered just one aspect of your decision-making process. Here are alternative methods to discover the most suitable cryptocurrencies to purchase:
- News: Keeping up with the latest news is crucial for any investor, allowing you to make sense of market movements. You can follow dedicated news outlets such as CoinDesk and Cointelegraph for daily cryptocurrency updates. Alternatively, subscribe to crypto newsletters like Bankless or The Defiant for curated news.
- Research Reports: Gaining insight into future market movements can give you an edge. Read industry reports like Messari's annual review and forecast, Kraken's monthly data analysis, or Finder's price prediction surveys.
- Sentiment Analysis: Analyzing investor sentiment towards specific coins or market events can help identify trends and guide your decision-making. Social media sentiment analysis is an effective way to monitor public opinions. You can use the tools provided in this guide or explore paid services.
- Technical Analysis: Traders employ technical analysis techniques to evaluate price charts. Most major cryptocurrency exchanges offer tools for technical analysis, or you can utilize platforms like TradingView. Keep in mind that technical analysis requires time and experience to master, so consider enrolling in a professional trading course if you plan to incorporate it into your investment strategy.
Where can I purchase cryptocurrency right now?
Utilize our table to compare different cryptocurrency exchanges based on features like the variety of available coins, accepted payment methods, and associated fees. If you're prepared to open an account, simply click "Go to site."
The Top Cryptocurrencies to Invest in for 2023
Our selection of outstanding cryptocurrencies to buy encompasses early-stage assets, low market cap altcoins, and established giants:
These cryptocurrencies can be utilized by investors to construct a diversified crypto portfolio in preparation for the next bull run.
How to Discover the Best Cryptocurrencies to Purchase
Still unsure whether cryptocurrency is a worthwhile investment in 2023?
This section will explain various methods that investors can utilize when seeking the best crypto to buy for their portfolio.
To commence, it is prudent to consider the long-term potential of a given crypto project.
For example, Bitcoin is expected to remain a valuable store of wealth for many individuals, while Ethereum serves as the premier smart contract blockchain for ERC-20 tokens and metaverse coins.
Thus, both Bitcoin and Ethereum possess robust long-term potential. Numerous other established crypto projects also exhibit promising prospects.
For instance, XRP has successfully partnered with over 200 banks, while various global brands have invested in plots of land within the Decentraland metaverse.
Cryptocurrency presales allocate a portion of a project's tokens to early-stage investors on a first-come, first-serve basis. By participating in a presale, investors can acquire coins before they are listed on exchanges and available to the general public.
Curious about how much to invest in cryptocurrencies? Investors who missed the opportunity to purchase Bitcoin below $100 or Ethereum below $1 should not fret, as numerous other investment prospects can deliver similar gains.
Seeking solid presale projects is one of the most effective approaches to achieving this objective. For instance, during late 2022, Tamadoge initially sold for $0.01 in the opening stage of its presale, but subsequently reached a peak of $0.194 after being listed on exchanges – representing almost 2,000% gains from the initial price.
Presales often offer ample room for growth, as tokens are sold below their true market value to raise funds for project development.
Cryptocurrency projects that provide high utility tend to enjoy long-term sustainability, as investors can utilize their tokens within the ecosystem to generate tangible value.
When searching for one of the top 10 cryptocurrencies to invest in, it is crucial to focus on projects that possess real-world applications.
For instance, the LHINU token empowers users to participate in voting on matters of social significance while offering opportunities to earn rewards.
Another example is Ethereum, as mentioned earlier. ETH is the required currency for executing transactions, and with thousands of altcoins built atop Ethereum, the demand for ETH remains substantial.
Investors should possess a firm understanding of how market capitalization functions for a given crypto asset. This knowledge allows investors to assess the potential upside.
For instance, when Bitcoin reached its price peak in late 2021, its market capitalization exceeded $1 trillion. Based on this, it can be argued that the potential for significant growth with Bitcoin may be limited, as it has already witnessed substantial growth.
Smaller market cap projects, such as trending meme coins, have significant growth potential should they attract mainstream attention.
Assessing a project's roadmap is another effective means of identifying the best crypto to buy now. This metric is particularly valuable when evaluating newer projects.
Newer crypto assets are likely at the beginning of their development journey. Additionally, for more established projects, reviewing the progress of existing roadmap targets is crucial.
Considering the level of competition faced by a particular crypto asset is also advisable. Currently, there are over 20,000 tokens listed on CoinMarketCap, and many others that are waiting to be introduced to the market.
For example, there are numerous so-called "Ethereum Killers" that claim to offer faster, cheaper, and more scalable alternatives to Ethereum.
However, Ethereum's imminent completion of its Proof-of-Stake (PoS) upgrade could make other smart contract networks redundant.
Trading Signals and Trading Bots
Certain investors prefer incorporating the finest crypto signals into their trading strategy, as it enables them to remove emotions from the investment process.
Moreover, we have reviewed the top AI crypto trading bots for traders seeking to execute trades consistently throughout the day.
Which Cryptocurrency Is the Best to Buy Now?
In summary, this market analysis has reviewed and ranked numerous recommended cryptocurrencies to purchase at present. We have covered a diverse range of projects to ensure that investors can construct a well-diversified portfolio, answering the question of which crypto to buy in 2023.
In addition to established tokens like Bitcoin, Ethereum, and Dogecoin, we also recommend exploring the most energy-efficient cryptocurrencies.
Our top choice is Wall Street Memes. Supported by an impressive community of over one million social media followers, Wall Street Memes is a fresh meme cryptocurrency project that raised $300k on its launch day alone.
Within a span of five weeks, it has successfully raised $11.5 million and is currently in stage 20 out of 30.
In conclusion, with the ever-growing popularity of cryptocurrency and its potential for high returns, it's important to do your research and choose the best crypto to buy now. While Bitcoin and Ethereum remain top contenders, other emerging cryptocurrencies like BNB, Cardano, and Terra 2.0 are also worth considering. Additionally, factors such as price performance, market trends, and long-term viability should be taken into account. Whether you're a seasoned investor or just starting out, staying informed and making the right choices can lead to success in the exciting world of cryptocurrency. So, dive in and find the best crypto to buy now to secure your financial future.