Top 7 Best Cryptocurrencies To Invest In May 2022 (In-Depth Review)

Last Updated April 27th 2022
22 Min Read

Cryptocurrency investing — even very small amounts — can reap big rewards if you get in at the right time and make the right choice, but that’s not to say there are no risks involved (if anything, the risks are bigger).

This requires crypto traders to think more about the options available to them before making a choice. To look at the ins and outs and become an expert on different cryptos.

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So, what is the top cryptocurrency to buy in May 2022? In this article, we explore the seven best cryptocurrencies to buy in 2022.

Without further ado, let’s get stuck in!

List of the Best Cryptocurrencies to Invest in May 2022 - Quick Overview

Below you will find a quick overview of the seven best cryptocurrencies to buy in 2022

  1. Uniswap - Overall Best Cryptocurrency to Buy in 2022
  2. Compound - One of the Best-Performing cryptocurrencies of the year
  3. Polygon - Strong Upwards Momentum Moving into 2022
  4. Ripple - One of the best Digital Banking Token in 2022
  5. Ethereum - Has the potential of overtaking Bitcoin in 2022
  6. Cardano - One of the most promising coin in 2022
  7. Bitcoin - Has a Habit of Quick Recovery during Bear Markets 

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Top Cryptocurrencies To Buy In May 2022

Speculators and part-time investors looking for alternative ways to store wealth and turn a profit-led more people to look for the best cryptocurrencies to invest in.

But where do you start?

After all, entering the crypto space is an overwhelming experience for first-timers. And even seasoned investors can struggle to keep with these rapidly evolving technologies and applications.

Too much choice can result in cognitive overload, otherwise referred to as ‘overchoice’ — it prevents us from making decisions.

But there are many reasons to invest in cryptos in May 2022, as we’ll see below. And cryptocurrency investing is a great way to diversify your portfolio, reduce risks (especially during the pandemic), and work as a store of wealth.

When it comes to investing, knowledge really is power, as cliché as it sounds. Knowledge is the thing that can keep you ahead of the curve, giving you a chance to spot the next trends before they even happen.

Looking for the best cryptocurrency to invest in for May 2022? Well, here are the 7 best choices this month!

1. Uniswap (UNI)

  • All-time high: $44.97 (3rd May 2021)
  • All-time low: $0.419 (17th September 2020)

Uniswap is a DeFi king — it is a decentralised exchange (DEX) on top of Ethereum that links buyers and sellers directly to each other for a variety of digital assets.

Pros: Why Investing In Uniswap Could Be A Good Idea

One of the best reasons to invest in a crypto is when it’s making improvements that will likely impact its usability and speed up adoption. 

Uniswap’s latest big change comes in the form of launching Optimism, which has been in development for two years. Some of the benefits include being able to pay gas fees in any token, scaling, and near-instant and cheap transactions.

For now, Optimism is in Alpha, which means they are still testing it and it will still be a while before it is rolled out to everyone else. Eventually, it will be implemented to Uniswap making now a great time to invest.

Cons: Why Investing In Uniswap Could Be Risky

Not all is perfect in Uniswap land. There have been a series of controversies over Uniswap’s governance because of how voting works.

In short, the more UNI tokens you own, the more voting power you have. And what makes this worse, is users can delegate their voting power to others as well.

Most recently, debates about Uniswap’s governance came up when Flipside Crypto, a crypto analytics firm, requested $25 million from Uniswap’s grants, as reported by Nathan van der Heyden of Crypto Briefing.

Until attention was drawn to the matter, it looked as if the firm would get the funding without any real competition. It highlighted the amount of power few at the top had at Uniswap.

Is Investing In Uniswap A Good Idea?

DEX’s are expected to overtake traditional crypto exchanges in the future. Investing in UNI now could be like being an early investor in Binance several years ago.

Read our article on Uniswap Price Predictions here.

Have you consider investing in Uniswap (UNI)?

2. Compound (COMP)

  • All-time high: $911.20 (12th May 2021)
  • All-time low: $61.25 (18th June 2020)

Compound is one of the top crypto-lending platforms today, booming in the emerging DeFi market.

Pros: Why Investing In Compound Could Be A Good Idea?

Compound has been busy levelling up in the crypto-lending industry launching their new ‘Compound Treasury’, a service strictly for financial institutions where they can earn 4% fixed interest per year by investing US dollars.

This will provide a massive amount of liquidity to Compound and fuel its crypto-lending services. And with the interest in DeFi exploding in 2021, the Compound Treasury looks like a top investment for institutions.

With all this extra liquidity at their disposal, Compound could essentially become the bank of the crypto world.

Cons: Why Investing In Compound Could Be Risky

Aave (AAVE) by far is Compound’s biggest issue. Aave is one of the most popular lending platforms in the market but the two differ in the products they offer crypto holders and how they function.

While Compound might be leading the way by getting institutional money into crypto-lending and DeFi, but it doesn’t mean that it will be the last and most successful.

Furthermore, we also need to consider potential DeFi regulations that could be put into place in the next few years.

Is Investing In Compound A Good Idea?

Crypto-lending and DeFi are showing very strong growth at the moment and the prospect of bringing big institutional investors into the fold could be another game-changer.

Read our article on Compound Price Predictions here.

Is Compound (COMP) the best investment for the future?

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3. Polygon (MATIC)

  • All-time high: $2.92 (27th December 2021)
  • All-time low: $0.003012 (9th May 2019)

Polygon is a layer 2 blockchain built on top of the Ethereum network. With approximately 350 projects, it creates blockchain interoperability solutions.

Pros: Why Investing In Polygon Could Be A Good Idea

In an industry first, Polygon recently acquired the Hermez Network (HEZ) — that’s right, a crypto bought out another crypto — and the two will merge to utilise the best of both blockchains.

This is huge news because Hermez uses ‘Zero-Knowledge rollups’, which essentially bundle up vast amounts of transactions off the blockchain. What this then does is make Polygon transaction times immensely faster.

Polygon’s acquisition of Hermez was valued at $250 million, which is part of the $1 billion they have allocated for zero-knowledge technology, so we could see more acquisitions or investments in new tech in the future.

Cons: Why Investing In Polygon Could Be Risky

Polygon is too tied to Ethereum which means if an issue affects Ethereum, it will affect Polygon.

But more concerningly, Polygon may lose its purpose to exist if Ethereum can come up with better scaling solutions without them. (There are several other cryptos with the same idea, including Polkadot (DOT).

And then there’s the question of Ethereum 2.0. — how will Polygon stay relevant after this big change? Whatever happens in the next few years, it looks like Polygon is going to have to reinvent itself.

Is Investing In Polygon A Good Idea?

Polygon has performed beautifully in the last few years, clearly establishing its worth in the crypto market.

Read our article on Polygon Price Predictions here.

Is Polygon (MATIC) the kingmaker you’re looking for?

4. Ripple (XRP)

  • All-time high: $3.84 (4th January 2018)
  • All-time low: $0.002802 (7th July 2014)

Ripple is a global remittance platform that mostly works with large financial institutions, to help them work together more efficiently without the need for banks.

Pros: Why Investing In Ripple (XRP) Could Be A Good Idea

In 2021, Ripple moved into helping central banks create private ledgers based on Ripple’s ledger, as reported by Coindesk’s Jamie Crawley. These private ledgers will then be used for CBDCs (Central Bank Digital Currencies).

It is also important to remember that Ripple, for a very long period, held the position of third-largest cryptocurrency by market capitalisation

And so, with that history, it might be very possible for it to return to these heights. People have seen what Ripple can do.

But the biggest reason why XRP should be on your list is that many believe that Ripple will win their court case with the SEC, which would be great for its price.

It is starting to look like the SEC doesn’t fully understand how XRP works and it has already been classified as a ‘virtual currency’ by FinCen in a previous case, not a security.

Cons: Why Investing In Ripple XRP Could Be Risky

The primary concern with Ripple right now is the SEC (Securities and Exchange Commission) in the US.

Before all this drama, it was believed that Ripple had a good relationship with the SEC.

It started to look like Ripple was failing at one of the most important things it was supposed to be good at — working with US government agencies.

Aside from all this drama, some hardcore crypto enthusiasts would argue that as a centralised crypto, it’s too risky to invest in.

Is Investing In Ripple XRP A Good Idea?

Though Ripple slid a few places down in terms of market capitalisation, it is now trading at a higher value than it has for most of its existence.

Read our article on Ripple XRP Price Predictions here.

Do you see the value in investing in Ripple XRP (XRP)?

5. Ethereum (ETH) 

  • All-time high: $4,891 (16th November 2021)
  • All-time low: $0.4209 (21st October 2015)

Ethereum is a global decentralised platform launched in 2015 and led by co-founder Vitalik Buterin. It is hugely popular and is the second-largest cryptocurrency by market cap for almost as long as it has existed.

Pros: Why Investing In Ethereum Could Be A Good Idea

Many see Ethereum as the second-most important development in cryptocurrency after Bitcoin and to go into all the reasons why Ethereum is so great will take far too long.

Amid the pros of investing in Ethereum, one of the most anticipated events among crypto investors is the launch of Ethereum 2.0 that will shift from proof-of-work to proof-of-take (which is more efficient).

That’s not everything! Behemoths like JPMorgan, Amazon, and Microsoft Azure have also embraced Ethereum’s blockchain technology to stay ahead of other financial giants, piquing investors’ attention worldwide.

Cons: Why Investing In Ethereum Could Be Risky

Ethereum has a tonne of rivals who claim they can do what Ethereum is doing but better. Cardano, which is also on our list, is one of these rivals.

While Ethereum is the torchbearer when it comes to leading the way with blockchain technology, if rivals outmanoeuvre Ethereum, it could be quite troubling.

Another reason why Ethereum could be risky is that there is an unlimited number of coins. This means that Ethereum lacks the scarcity aspect many other cryptos have.

Is Investing In Ethereum A Good Idea?

Ethereum is still a long way off Bitcoin in terms of value, but despite this, analysts are very optimistic about Ethereum’s future, predicting steady growth over the next few years.

As said above, Ethereum is usually the second favourite choice after Bitcoin and it’s hard not to see why.

Read our article on Ethereum Price Predictions here.

Ready to dive into Ethereum (ETH)?

6. Cardano (ADA)

  • All-time high: $3.10 (2nd September 2021)
  • All-time low: $0.01735 (1st October 2017)

Cardano is defined as a third-generation cryptocurrency that aims to improve the scaling issues of Bitcoin and the smart contract deployment principles of Ethereum.

Pros: Why Investing In Cardano Could Be A Good Idea

After the update to the Cardano network in September 2021, the number of smart contracts based on Cardano has seen tremendous growth, which could help Cardano to compete with Ethereum.

2022 could finally be the year we’ve been waiting for as traders have been buying up ADA in anticipation. Aside from smart contracts, Cardano also launched other features such as token creation.

On top of that, Cardano had some of its best performance ever in 2021, gaining over 720% at the start of the year and at one point momentarily took the third spot of the largest cryptocurrency by market cap.

Cons: Why Investing In Cardano Could Be Risky

Smart contracts could either make or break Cardano. It could always be possible that Cardano really is all bark and it never worked anywhere near as well as claimed. It is simply one of those things we have to see to believe as many other cryptos make similar statements of what they are theoretically capable of doing.

Until we get smart contracts, we will not know.

Is Cardano A Good Investment?

In May 2022, Cardano definitely looks like it could be a great investment. But it is hard to say if the good times will last for the rest of the year.

Read our article on Cardano Price Predictions here.

Would you consider investing in Cardano (ADA)?

7. Bitcoin (BTC)

  • All-time high: $68,789 (10th November 2021)
  • All-time low: $65.53 (5th January 2013)

As the granddaddy of cryptocurrency, Bitcoin was the first crypto to record financial transactions on a decentralised blockchain. 

Though Bitcoin was launched more than a decade ago in 2009, Bitcoin is still the number one choice for existing and new investors, with a market cap of slightly over $815 billion.

The main purpose of Bitcoin was to revolutionise traditional financial systems and eliminate the need for government-issued currencies by enabling innovative technology and secure payment architecture. 

Interestingly, in the early days, many people started buying Bitcoins because of its promising future. As Bitcoin expert Andrew Badr said: “The best part of owning bitcoin is the feeling of participating in the future”.

Pros: Why Invest In Bitcoin?

Though Bitcoin has had numerous ups and downs in the past three years — it skyrocketed up to $30,000 in December 2020, months later, it went slightly above $64,000 in April 2021 and in November hit $68,789.

Since then, Bitcoin prices have become fairly stable, making it one of the safest options for anyone entering the crypto space for the first time.

But what got us to $64k was when Tesla invested $1.5 billion in Bitcoin and started to accept the crypto as payment for its products in February 2021. The price of Bitcoin hit a new record of $56,000 per coin after the news broke and it just kept climbing.

But there is also potentially a much bigger reason Bitcoin’s price might launch upwards this year — and it’s to do with money printing.

According to Nickie Louise of Tech Startups, as of May 2021, 40% of all US dollars were printed in 12 months.

With so many more dollars out there, the purchasing power will massively decline and could even lead to a crash. It has meant that many investors have put their money into assets like Bitcoin, which holds its value better.

Cons: Why Bitcoin Could Be A Bad Investment

As much as we love Bitcoin, it would be irresponsible to pretend that it is a perfect investment (if such a thing exists).

Though people talk about it less these days, it should be remembered that there are plenty of other coins out there that are supposedly more technically sound.

Litecoin (LTC), for example, is heralded as four times faster than Bitcoin and potentially a better coin for making transactions. But that’s just the beginning.

And then there is this notion from many politicians and central banks that Bitcoin’s sole purpose is to conduct illegal activity. While this myth has been debunked hundreds of times, it still persists.

In actuality, using Bitcoin for illegal purposes would be a pretty bad idea for criminals as you can trace transactions via the distributed ledger

Cash, on the other hand, is much harder to trace. Despite this, the misconception continues.

But this is all nothing compared to BTC’s biggest problem — energy consumption.

Digiconomist is a platform that monitors Bitcoin’s energy consumption and impact on the environment.

According to them, at the time of writing, Bitcoin consumes the same amount of energy as Malaysia (154.32 TWh, 31.95 million people) and has a carbon footprint comparable to Turkmenistan (73.30 metric tonnes of carbon dioxide).

In a world more focused on our environmental impact, it suggests that BTC is not the right way forward, and it opens the doors to cleaner, more efficient cryptos.

Many predictions expect Bitcoin will reach much higher levels, such as one made by Anthony Pompliano who believes Bitcoin could reach $500,000 or even $1 million per coin by the end of the decade.

Read our article on Bitcoin Price Predictions here.

Have you considered investing in Bitcoin (BTC)?

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FAQs

What Is The Best Cryptocurrency To Buy In May 2022?

Bitcoin is indeed the best cryptocurrency to buy in May 2022 because of how successfully it has been adopted. Its popularity makes it safer to invest in because it is harder to hack, making it technically safer and less prone to big price swings.

Being decentralised across hundreds of thousands of users means hackers need a lot of computing power to hack Bitcoin’s blockchain.

What Is The Next Cryptocurrency To Explode In May 2022?

Cardano has the biggest potential to explode in May 2022 because of its smart contract launch which happened in December. While it might not reach the same levels as Ethereum, it will likely be a huge increase.