Adding these top cryptos to your portfolio would help you secure a wealthy fortune in the long run.
Cryptocurrency investment has become a big business and is extremely popular with investors from all sectors. From Bitcoin, crypto has upgraded itself and introduced a legion of enhanced and upgraded versions. This has essentially paved for the development of the crypto sphere we see today that comprises stablecoins, DeFi, and NFTs. Part of the confusion about investing in such a big market is which currency to invest in. If you’re an investor strategizing your next move, here are the top 5 cryptos to watch closely.
- Ethereum is the most popular altcoin and the second-largest cryptocurrency by volume.
- Cardano’s growing ecosystem has made ADA one of the top cryptos to watch closely in 2022.
- DOT has had a tremendous rally and has been consistently listed among the fastest-growing cryptocurrencies to invest in now.
- The demand for speedier transaction times has made cryptos like XRP one of the top cryptos to watch closely.
- Tether established itself as a safe digital asset that maintains a stable valuation.
Ethereum (ETH)
Ethereum is one of the 5 cryptos to closely watch in 2022 as the much-awaited Merge is not so far away.
Ethereum has essentially become a popular cryptocurrency alternative to Bitcoin over the past few years. ETH has been adopted by several companies across the globe, making it a good buy. The crypto is worth keeping an eye on as Ethereum’s major software update, The Merge, would take place soon this year.
Given the popularity of Ethereum, several crypto enthusiasts are curious about the update. Ethereum’s transition from Proof-of-Work to Proof-of-Stake would make the network less energy-intensive and highly scalable.
Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.
Cardano (ADA)
Cardano is one of the fastest-growing crypto assets.
With its innovative technology, Cardano has been attracting investors’ attention with its innovative technology. The crypto was designed to create a blockchain platform that could process more transactions at a lower cost. At the same time, the developers aimed to protect user data by blending distributed ledger technology and smart contract infrastructure. However, the ultimate goal of Cardano is to have a multi-asset ledger with verifiable smart contracts for decentralized applications.
Thanks to the Alonzo upgrade, Cardano’s smart contract functionality allowed developers to use the blockchain to support NFTs, crowdfunding, DeFi, and dApps.
ADA is one of the 5 cryptos to watch closely as the much-anticipated Vasil hard fork has been completed on the Cardano testnet. This brings the network a step closer to becoming a reality on the mainnet and promising broad performance upgrades. Moreover, once the Vasil upgrade is live on the mainnet, it will enhance the network's scalability and performance, boosting its adoption.
Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.
Polkadot (DOT)
Thanks to its interactive interface, Polkadot is earning massive interest from investors.
For investors strategizing their next move, Polkadot is the blockchain for other blockchains. The network's open-sourced multi-chain protocol facilitates the transfer and sharing of data between different blockchains. DOT aims to address the issues of scalability through its technology that can connect multiple blockchain networks. The ultimate goal of Polkadot is to decentralize the web and make it seamless to transfer items across different chains.
Polkadot is utilized to transfer data, apps, and tokens across multiple blockchains. It acts as the bridge that connects different blockchains and facilitates data transfer. The protocol seamlessly connects public and private chains, permissionless networks, oracles, and future technologies.
DOT is one of the 5 cryptos to watch closely because if and when Web3 becomes an everyday reality, Polkadot will become a significant cog in that machinery and DOT will skyrocket in value as people start to use it in Web3 applications and services.
Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.
Ripple (XRP)
As investors strategize their next move, XRP is one of the 5 cryptos to watch closely, thanks to its partnerships with major banks and financial institutions.
Ripple is a payment protocol that employs blockchain technology to process international money transfers. Its token XRP offers low transaction fees and extremely fast processing times, of which hundreds of banks and financial institutions have adopted this technology. This makes XRP a viable alternative to SWIFT, the current international payments system that most banks use.
Apart from this, the company behind the XRP token insists it has a “growing pipeline” of businesses interested in using XRP in their payment flows. Today, several investors are choosing Ripple because of its growing popularity. The highly increasing adoption of cryptocurrencies for payments would only draw more attention to the affordable, secure, and easy transactional capabilities of Ripple, making it a good buy now.
Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.
Tether (USDT)
Tether is a popular stablecoin that crypto enthusiasts have used for years to leverage their cryptocurrency trades.
Tether is the world’s largest stablecoin by market capitalization. Although it showed signs of losing its dollar peg in the wake of the collapse of Terra’s UST stablecoin, the price has significantly stabilized. Its CTO conveyed to the holders that the currency will continue to support redemptions. Besides being a useful store of value, Tether is also a tool for conducting business more simply than using Bitcoin.
Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.
The Bottomline
When it comes to crypto investing, it is important to understand that research and due diligence is of utmost importance, along with a good strategy. All cryptos are volatile and have both internal and external factors influencing their price action. Considering all factors, these are the 5 cryptos to watch closely as investors strategize their next moves. These cryptos comprise a significant portion of the investment portfolio of investors from various geographical and financial fields.
Read More:
The 5 Best Ways To Buy Ethereum (ETH)
Best Long-Term Crypto Investments
Best 10 New Cryptocurrencies To Invest In
Best Cryptocurrencies To Buy For The Upturn