Cryptocurrencies are trading at heavy discounts right now. Top crypt assets that have gained huge adoption in the last couple of years are down by over 50% from their all-time highs. This is due to multiple negative news ranging from regulatory issues, environmental concerns, but most importantly, the Chinese crackdown on Bitcoin mining.
The reasons for the huge correction notwithstanding, this is a perfect time to buy crypto assets for anyone who has a long-term view of the crypto market. At current prices, you have cryptocurrencies with the potential to do 5 to 10X trading by up to 70% off their all-time highs.
Besides their massive potential, these cryptos are showing signs of hitting the bottom. One telling sign that the market is at the bottom is the decreasing selling momentum. A few days ago, one of the few provinces in China where mining was still ongoing shut down miners. However, unlike a few weeks earlier, Bitcoin didn’t move much, and most major altcoins only lost by about 1 to 2%.
Another tell-tale sign that the bottom could be in is that Bitcoin seems to have found solid support in the $30k to $32k price range. This makes it even more interesting for investors that get in at current prices. It means anyone getting into crypto now is likely to realize gains within a very short time.
At this point, you are probably wondering what are some of the best cryptocurrencies to include in an investment portfolio at current prices.
Well, Bitcoin being the top crypto, is an obvious choice. Besides it, here are the seven best cryptocurrencies to buy now if you want to catch the market at the bottom.
Top 7 Best Crypto Assets To Buy Now At The Bottom:
Let's have a look at the seven best cryptos to buy now if you want to get in at the bottom.
- Ethereum (ETH)
- Binance Coin (BNB)
- Compound (COMP)
- Chainlink (LINK)
- Cardano (ADA)
- Filecoin (FIL)
- Uniswap (UNI)
1. Ethereum (ETH)
Ethereum is down by over 50% from its all-time highs of $4200. However, its long-term prospects are getting better by the day.
Ethereum stands out as the most adopted Dapps platform in the market. It is literally the anchor to the DeFi and NFTs ecosystem. If you look at the top 100 DeFi projects, almost all of them are Ethereum-based. This is a fast-growing ecosystem, and as it grows, so will the value of Ethereum.
Then there is the ongoing transition to Ethereum 2.0, a shift that will eliminate many challenges that the Ethereum blockchain faces. One of them is the challenge of the environment.
Ethereum has been using a Proof-of-Work algorithm since its inception. However, with this approach drawing lots of criticism for its environmental record, Ethereum is shifting to Proof-of-Stake. The reception to this shift has been impressive, and since December 2020, more than 5 million Ethereum has been staked.
Through Ethereum 2.0, this blockchain is also working towards addressing the scalability problem. While this process is expected to be complete by 2022, it is already going on pretty well. On the 4th of August, the London fork will be launched, and it is expected to take care of the high gas fees problem.
Once this is done, the adoption of Ethereum in DeFi and other applications will likely grow exponentially. Ethereum already has the network effect, so with the teething problem of scalability out of the way, it is perfectly positioned for long-term growth.
All this makes it high potential crypto to include in a portfolio at current prices.
Read Also: Ethereum Price Predictions
2. Binance Coin (BNB)
Binance coin has taken a huge hit from its all-time highs of $668 back in April. However, this is pretty much in line with the rest of the crypto market.
Binance coin remains one of the most fundamentally strong cryptos in the market. One of the factors that make it pretty good crypto at current prices is its coin burn feature. Every quarter, Binance burns BNB, and has plans to accelerate the burn in the next three to five years. Naturally, this means that over time, demand will be chasing an ever-declining number of BNBs. This is good for its long-term value appreciation.
However, it is not just the coin burn that makes BNB valuable. This crypto has multiple use cases that give it value, over and above market speculation. One of its big use cases is in paying fees on the Binance crypto exchange.
It is also heavily used for fees and other functions in the Binance Smart Chain ecosystem. This is a big deal because the Binance DeFi ecosystem has gotten pretty huge and is now a serious competitor to Ethereum. Essentially, this means that as long as developers are building on Binance, Binance coin will always have value.
It’s a no brainier that this crypto is poised for major gains as the market bottoms out. Its fundamentals, coupled with its price at the moment, make it the perfect crypto for investors eyeing gains both in the short term and in the long run.
Binance coin already seems to have found the bottom at $300. In the last couple of weeks when the overall crypto market has largely been in the red, this price level has held pretty well. Hopefully, Binance Coin will bounce off this level and retest its all-time highs within the year.
Check Out: Will Binance Coin Make Me Rich in 10 Years
3. Compound (COMP)
Like the rest of the crypto market, it has been a pretty rough two months for Compound (COMP). This crypto has corrected from highs of over $850 on May 10th to barely over $400 presently.
However, it seems to have found some strong resistance at around $350. This price level has held quite strongly in the last couple of days when the crypto market has largely been in the red.
Whether it has found the bottom or its close by, Compound is a pretty good project to hold for the long haul. It is one of the best known projects in DeFi, a fast-growing segment of the crypto market.
For context on how fast DeFi is growing, one just needs to look at the amount of money locked in this ecosystem over the past year. In July 2020, the Total Value Locked in DeFi stood at $2.56 billion. By May 2021, this amount had shot up to $84 billion. While it has since eased up due to the bear market, the amount is still quite high compared to a year ago. It currently stands at $55.26 billion.
For such a fast-growing market, Compound already has a sizeable share of it. The total amount of dollar value locked in the Compound protocol is $7.17 billion. That’s a huge portion of the total locked-in DeFi.
As the market rebounds and more investments go into DeFi, the value of the Compound protocol will grow. By extension, the value of COMP will grow since it is the protocol’s governance token.
This is one blockchain that has the potential to retest its all-time highs and quite possibly make new highs.
4. Chainlink (LINK)
Chainlink is another crypto that has taken a huge hit from its all-time highs. However, its fundamentals remain rock solid.
This crypto is considered the Bitcoin of the oracle markets due to its dominance in this space. Chainlink basically allows crypto projects to integrate real-world data into the crypto ecosystem.
Any smart contract that requires real-world data for it to function effectively needs Chainlink. This means as crypto adoption grows, be it for finance or any other use, the usage of Chainlink will grow as well.
Chainlink comes across as a pretty good project at current prices with such a huge potential for growth. It is also one of those cryptos whose prices are highly correlated to Bitcoin. As such, if Bitcoin has bottomed out, there is a good chance that Chainlink has too.
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5. Cardano (ADA)
Cardano was one of the best performers in the last crypto rally that ended in May 2021. It went from just over $0.10 in early 2020 to an all-time of $2.45.
While it has shed off a huge chunk of its value, Cardano’s fundamentals remain pretty solid. It is one of the few cryptos that has solved the trilemma of scalability, security, and decentralization on-chain. This was achieved using its scientifically designed and peer-reviewed proof-of-stake algorithm called Ouroboros.
This gives it a head-start over other platforms in terms of adoption for large applications. However, it is not just decentralized platforms that Cardano is well-positioned to compete with, this blockchain is also theoretically able to match the speeds of centralized applications such as Visa.
It is able to do this due to a layer two solution called Hydra that runs on top of Ouroboros. Individual pools create hydras, and each hydra has the capacity to handle over 1000 TPS. This means in a situation where every Cardano stake pool runs a hydra, then this blockchain has the capacity to handle over a million transactions per second comfortably.
This means high volume financial applications can be built on top of it, and work as efficiently as centralized systems. Such capabilities put Cardano in a good position as decentralization starts taking root in society. It quite naturally makes it a good project to buy at current prices and hold for the long haul.
Read Also: Cardano Trading Predictions
6. Filecoin (FIL)
At the height of the recent crypto bull run, Filecoin was trading at over $200 a coin. It has since turned bearish and is currently trading at slightly over $50 a coin. This is pretty much in line with the bearish momentum that has gripped the entire crypto market.
However, Filecoin’s fundamentals remain pretty strong, and are getting better. One of the factors that make Filecoin attractive is the size of the market that it is targeting. Filecoin is targeting the global cloud storage market. This is a $50 billion a year market and is expected to grow by 22.5% up to 2026. With the entry of new technologies such as 5G, and IoT, the demand for data storage services will only grow.
Besides the size of the market, the Filecoin blockchain is a complete project. Unlike most projects that are pegged on speculation, Filecoin already has a working product. It has already proven that it can compete with centralized storage systems. Filecoin offers clients the benefits of affordable storage space, while combining it with the advantages of decentralization such as security and data privacy.
Fundamentally, everything looks pretty good for Filecoin. It comes across as a steal at current prices.
Check Out: Is It Worth Investing In Filecoin?
7. Uniswap (UNI)
The crypto bear has not spared Uniswap, but it looks pretty attractive at current prices.
One of the factors that make Uniswap attractive is its dominant position in the decentralized exchange space. Decentralized exchanges are growing in adoption, and Uniswap handles almost double the volumes of the second largest DEX.
Latest data shows that Uniswap’s 24-hour volumes stand at about $919 million. The closest competitor to Uniswap is PancakeSwap, and it has an average 24-hour volume of $483 million.
Since the UNI token is the one used for governance on the exchange, then it means that this token’s value is well-positioned for growth as the exchange expands. Essentially, an investment in Uniswap is an investment in a business that is already running and profitably so.
Besides its current success, Uniswap has some pretty good prospects going into the future. The shift towards DEXs is on the rise, mainly due to the increased regulatory uncertainty around major centralized exchanges. Binance is facing the heat at the moment, with multiple regulators offering adverse warnings against it. Such issues are likely to force traders into decentralized exchanges going into the future.
This makes Uniswap a pretty good buy now that its value has been slashed by more than 50% in just two months.
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