The year 2022 has not been the most favourable for the crypto market. The ongoing bear market has seen the prices of many market-leading cryptocurrencies going into a freefall. However, seasoned investors would tell you that this is the perfect opportunity to grab high-potential assets at a low price and reap high returns in the coming years. Therefore, to help your investment decision, we have listed below the top 5 cryptocurrencies with the best growth potential in 2023.
Bitcoin (BTC)
Despite a sharp drop in its price, Bitcoin has still maintained its number one position on the chart as the largest crypto by market capitalization. Its price has fluctuated around the $20,000 mark and is the perfect opportunity to “buy the dip.” Smart investors will leverage this lower price tag to stock up on BTC in order to reap high returns down the line. The premier crypto has been around for a while and has seen ups and downs in its price chart. All its valleys are soon followed by new all-time highs, which is why we believe it has the best growth potential in 2023. Most experts are highly bullish on this top crypto and believe it could even hit six figures in the next five years. Therefore, we recommend investing in this crypto now, when it is still circulating at a comparatively low price tag.
Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.
Ethereum (ETH)
If Bitcoin is crypto gold, then Ethereum is silver. As the second largest crypto by market capitalization, Ethereum is more than just a digital currency. It is also the gateway to the world of decentralized finance (DeFi), and its native token, Ether (ETH), is the key to unlocking it. At its core, it is a software platform that runs on a blockchain and therefore has constantly evolving use-cases. The platform’s smart contract functionality enables creators to build many decentralized applications (dApps), non-fungible tokens (NFTs), and even other cryptocurrencies. Therefore it is one of the top cryptocurrencies with the best growth potential in 2023.
One of the biggest obstacles standing in the way of this network is its high gas fees due to Proof-of-Work (PoW) consensus mechanism. However, with the upcoming Merge upgrade, the system will completely shift to the Proof-of-Stake (PoS) mechanism, making the network much more eco-friendly, cost-effective, and conducive to scaling. Once that happens, the price of Ethereum could skyrocket, which is why now is the best time to cash in on this promising crypto.
Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.
Ripple (XRP)
Its performance even during the bear market has established XRP in the list of the top 5 cryptocurrencies with the best growth potential in 2023. It is the native crypto token of the blockchain-based digital payments network Ripple, which is on a mission to facilitate a global payments channel. One of the key USPs of the Ripple network is the instant processing time for transactions. Unlike Bitcoin, Litecoin, and other digital currencies, the Ripple Ledger handles 1,500 transactions per second round the clock. It is also a highly cost-effective channel for transferring funds, which is especially valuable to high volumes of remittance corridors. Each transaction on the Ripple network costs only $0.0002 on average. Its high scalability and sustainability features are also major pros working in favour of this crypto. However, the biggest bragging point for the network is that several financial institutions and international banks have entrusted it for their operations.
The SEC lawsuit was a concern back in 2020 when it started. However, the legal proceedings of the case indicate that the outcome will favour Ripple Labs. Once that happens, XRP can shoot up in value. Therefore we recommend an investment in this crypto which has one of the best growth potentials in 2023.
Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.
Cardano (ADA)
The Cardano network is one of Ethereum’s toughest competitions in the market, as it was created with the prime intention to address all of the latter’s shortcomings. Both the networks share the same co-founder - Charles Hoskinson, who is one of the leading figures in the market right now. Under his guidance, the Cardano network is fast becoming the PoW-powered DeFi ecosystem that empowers developers with high-performance dApps. The network introduced smart contracts with its Alonzo upgrade. The next upgrade, the Vasil hard fork, will address speed and scalability issues to improve the network performance further. The network’s native token ADA can be used for staking, yield farming, and many other transactional purposes on the platform. Thanks to its team of highly skilled developers working to bring the next update to the ecosystem, ADA is bound to be one of the major cryptocurrencies of 2023. Its growth potential is significant since it is still priced low at just $0.52 at the time of writing.
Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.
Decentraland (MANA)
The metaverse craze is one of the most mainstream effects of the crypto industry, and metaverse tokens took the market by storm in 2021. The current bear market has dampened the excitement around these cryptos and platforms a fair bit. However, some cryptocurrencies still show immense growth potential for 2023. One such metaverse project is Decentraland and its native crypto, MANA. This blockchain-based virtual reality platform allows gamers to buy LAND (plots in the game world) with the MANA token to customize with static 3D scenes or interactive systems such as games, casinos, and art galleries. The platform is virtual real estate, with big brands and celebrities already buying up prime plots in the virtual world. Therefore, we believe that the MANA cryptocurrency has the best growth potential in 2023.
Crypto asset investing is highly volatile and unregulated in some EU countries. No consumer protection. Tax on profits may apply.
Conclusion
Instead of fearing the bear market and selling off all your holdings, we recommend using this opportunity to invest in some of these top cryptocurrencies that have the best growth potential in 2023. However, do your research and invest as per your risk appetite.
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