5 Cryptos To Watch A The Blockchain Fights The Fed - Our Picks
Considering several key factors these are our top picks of cryptos to closely watch as the blockchain fights the fed. A detailed overview of each token is available in the coming section.
Bitcoin - The OG of the crypto sphere is on the investor’s watchlist even amidst rising federal concerns.
Ethereum - The newly transitioned PoS blockchain holds massive growth potential.
Stellar - One of the top cryptos that aim to make the banking sector accessible to all.
Quant - This multi-Layer blockchain is worth adding to your watchlist.
Elrond - The best crypto to closely watch even amidst rising market fluctuations.
A Closer Look At The 5 Cryptos To Watch As The Blockchain Fights The Fed
The latest news that almost all investors are aware of is the Federal Reserve’s upcoming plan to add additional interest rate hikes. The market has been moving in unison with the concerns of rising interest rates, surging inflation, and a potential recession, struggling to gain sufficient momentum this year.
Also, if the Fed continues to implement its tightening strategies, cryptos might face significant headwinds in the coming years. However, let’s see why these 5 cryptos are worth adding to your watchlist while the blockchain fights the Fed.
Bitcoin (BTC)
The price of BTC dropped below $19,000 immediately after the Fed’s declaration that it might raise the federal funds rate. The crypto is still hovering around the price of $19K. Bitcoin is one of the top cryptos to watch now, as analysts expect it to become a go-to asset in times of high inflation.
However, there have been several positive signs, indicating that BTC would rebound soon after the bear cycle. Paul Tudor Jones, the hedge fund giant, said during a CNBC appearance lately that he still has a minor allocation to Bitcoin even amidst the volatilities. His remarks have already helped pump the crypto prices in mid-2020 when he allocated 1%-2% of his multibillion-dollar portfolio to BTC. For Bitcoin enthusiasts, this is a piece of promising news in a bear market.
Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.
Ethereum (ETH)
The token has already been on shaky ground since the beginning of the year. But ETH demonstrated a greater inflation resistance since Ethereum’s historic Merge in September. The shift to a more energy-efficient “Proof-of-Stake” helped the network cut electricity expenditure by an estimated 99.95%. Although the Merge didn't give ETH the price rise as predicted, the expected increase in the adoption of the network in the coming years is a promising sign for the token.
However, Vitalik Buterin announced that the Merge is just one step in Ethereum's development. Also, the upcoming process called Sharding would split Ethereum’s main blockchain into multiple shards boosting the network’s scalability. Also, there will be further improvements and implementations on Ethereum, which is why ETH is worth adding to your watchlist as the blockchain fights the Fed.
Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.
Stellar (XLM)
Stellar has been on the investors’ watchlist since 2017 after its capitalization rocketed and its innovative fintech development started disrupting the financial sector for good. Lumen or XLM, the native crypto of the Stellar blockchain, allows users to facilitate transactions and lets them change different cryptos and turn them into dollars, all without leaving their own platform.
Stellar stands apart from its competitors with its mission to apply the power of blockchain to help people in poverty and those who can’t access the financial system. Given its importance in the fintech sphere, several organizations have made meaningful and strategic partnerships with Stellar, and the one with IBM’s Blockchain World Wire was one of the most notable among them.
XLM is a crypto to watch closely in the current market scenario, as Stellar Development Foundation and MoneyGram have partnered with Techstars to promote more innovation in blockchain-based cross-border payments.
Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.
Quant (QNT)
Quant Network’s native token, QNT, continues its rise despite the uncertain and depressed state of the crypto market. Quant is a blockchain operating system designed to bring interoperability to the blockchain world by acting as a bridge between the different distributed ledgers. The crypto is designed to work with any distributed ledger architecture like the DAG. The network is also highly efficient to support multi-chain applications (MApps).
With the launch of its own tokenization products for developers, the price of QNT spiked earlier this year. Also, the crypto aims to unlock the full potential of NFTs with the launch of its own non-fungible token standard, QRC-721. All these are promising news for the token, making it a must-watch cryptocurrency amidst blockchain's fight with the Fed.
Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.
Elrond (EGLD)
Elrond has marked its position as the first blockchain in the world with a genuine state-sharding scheme for practical scalability, efficiently eliminating energy and computational waste, along with ensuring distributed fairness through a Secure Proof of Stake (SPoS) consensus mechanism. The Elrond network is also known for its strong focus on security and is built to ensure resistance to issues like the Sybil attack. Precisely, the crypto was designed to address the blockchain trilemma.
EGLD is all set for an upswing in 2022 with new coalitions like the recent partnership with Shopping.io, allowing American shoppers to pay for goods with EGLD. The crypto is worth adding to your watchlist, given the updates to the protocol and the introduction of new real-world utilities.
Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.
The Bottomline
Given the crypto’s history of volatility, prices would likely fall back down as they are to continue climbing in the next bull run. However, it is safe for investors to expect new volatility following the Fed’s expected rate increase announcement. Amidst the blockchain’s fights with the Fed, these are the top 5 cryptos to watch closely in 2022.
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