Monday, 4 April 2022

8 Altcoins To Watch Out For In Second Quarter of 2022, And How You Can Profit From Their Growth

                                                                                                                            Image Credit: Unsplash

The cryptocurrency world is changing at an alarming pace. While this has been a good thing for adoption, it has also made it difficult to keep track of what is happening. However, while these gains are exciting, they can also be nerve-wracking. After all, the more money that flows into an investment, the more risk there is that it will lose value. If you’re new to the world of cryptocurrency, this rapid price volatility may be confusing and intimidating. However, if you understand the fundamentals of supply and demand, it’s possible to capitalize on this volatility to earn money. New cryptocurrencies are being created almost every day, making it difficult for investors to keep tabs on them all. When it comes to making money in this market, it is important to be aware of the new players. Many new digital currencies have the potential to grow in value over time. If you are interested in taking your investment to the next level, you should keep an eye on the following altcoins.

Cardano

What Is It?

Cardano is a decentralized open-source blockchain platform developed by the Cardano Foundation. The project’s goal is to become the “third generation blockchain”, after Bitcoin and Ethereum. Cardano is fully mineable and contains its own cryptocurrency, the ADA. The project is led by a scientific philosophy and is highly focused on the needs of the market.

Why Is It A Good Investment?

Cardano is a promising investment because it is fully mineable and has its own proprietary currency, the ADA. The team wants to be the “third generation blockchain” after Bitcoin and Ethereum, which means it has a lot to prove. However, with a strong focus on the needs of the market, it is possible that the Cardano blockchain will be the one that makes it big. Cardano’s price as the time of writing this article is $1.20 USD and the 24 hour trading volume is $1,558,303378 USD. It is placed number seven by CoinMarketCap, and it has a live market capitalization of $40,603,714,468 USD.

Ethereum

What Is It?

Ethereum is a blockchain-based software platform that enables developers to build and run applications that use blockchain technology. It’s a highly popular platform for Initial Coin Offerings (ICO), as an entrepreneurs can use it to issue their own cryptocurrencies that can be used for fundraising.

Why Is It A Good Investment?

Ethereum is a good investment because it’s used by so many people. More than 40,000 merchant around the world are using Ethereum to improve the way they do business. You can also use it to trade peer-to-peer with like-minded people or invest in ICOs. According to CoinMarketCap, Ethereum is number two with a live price today of $3,474.66 USD and a trading volume of $16,701,805,119 USD in the last 24 hours.

 NEO

What Is It?

NEO is a blockchain architecture designed for the creation of smart contracts and distributed applications. It is a smart contract blockchain that can be used to host almost any kind of decentralized application.

Why Is It A Good Investment?

The most attractive thing about NEO is that it promises to build on the strengths of both Ethereum and Bitcoin. They are also committed to creating a smart economy, and they are doing this by creating a platform that will be used by developers to create smart contracts. It is a blockchain designed for the creation of smart contracts and decentralized applications, but it’s also an efficient digital wallet for storing and managing assets. Neo is currently selling at $26.87 USD and in the last 24 hours, the trading volume is $168,268,920 USD. CoinMarketCap currently placed it on number 63 and its live market capitalization is $1,895,349,850 USD. 70,538,831 is the circulating supply and the maximum supply is 100,000,000 coins.

IOTA

What Is It?

"The infrastructure for the growing machine economy" is IOTA's objective..” It’s a cryptocurrency designed for the “establishment of new decentralized ecosystems.” This actually is not a blockchain but rather a proprietary technology called Tangle which is a structured nodes that confirm transactions. It is currently ranked number 54 and $2,419,484,671 USD as the live market capitalization. Its price as at today is $.870465 USD.

Why Is It A Good Investment?

IOTA is a new cryptocurrency with a unique selling proposition. It has a lot in common with Ethereum: it’s also a smart contract blockchain, but it also wants to be a standard for the “Internet of Things”. It’s an ambitious project with a big focus on the future.

Monero

What Is It?

Monero is a privacy-focused cryptocurrency with a focus on providing security and scalability. It is a fork of Bytecoin, which was itself forked from the CryptoNote protocol. Monero, contrastingly is meant to hide both senders and recipients using powerful cryptography, hence making security and privacy its focus objectives. It is currently selling at $213.56 USD and in the last 24 hours has a trading volume of $119,072,280 USD. CoinMarketCap currently ranked it number 43.

Why Is It A Good Investment?

Monero is a good investment because it provides both privacy and security. It’s an open-source blockchain that’s developed by volunteers, so it has no company backing it like the other coins on this list. However, it has a large userbase and has proven itself as a reliable cryptocurrency.

Ripple XRP

What Is It?

Ripple presents itself as a provider of "global financial settlement solutions.". It currently has a unique position in the market as the only cryptocurrency with a proven track record of use. Ripple's native cryptocurrency is XRP, which was developed by Ripple Labs Inc. as a cryptocurrency payment service. Ripple's XRP is a "virtual currency created for cross - border payments," meaning that the company intends to compete with traditional bank-to-bank money transfers. Users of XRP would be able to send money at a very cheap rate, garnering the desire of both ordinary banks and customers. Ripple's core business model is its ultra-low transaction fees and transaction completion in less than five seconds.

Why Is It A Good Investment?

Ripple XRP is a good investment because it is currently the only cryptocurrency that has proven itself as a reliable real-world payment system. It is also the second-largest cryptocurrency by market cap. Ranked number 8, today’s market price is $0.835352 USD and a live market capitalization is $40,209,865,625 USD.

Bitcoin Cash

What Is It?

Bitcoin Cash is a cryptocurrency that split off from Bitcoin in August 2017. Like Namecoin and Dogecoin before it, Bitcoin Cash has no real use case aside from being a digital coin for speculation. Bitcoin Cash is a community electronic cash mechanism that intends to really be a reliable worldwide currency offering fast payments, low transaction costs, and huge transaction capacities. Bitcoin Cash payments are transmitted from one person to another directly, similar to how actual money, such as a dollar bill, is handed to the person receiving payment.

Why Is It A Good Investment?

Bitcoin Cash is a good investment because it is currently the fourth-largest cryptocurrency by market cap. Since it is a fork of Bitcoin, most of the existing community around Bitcoin will also be around Bitcoin Cash. As a result, it's a strong speculative investment, but not something you would want to hold a large amount of for long-term use. Its live price today is $376.04 USD.

Litecoin

What Is It?

Litecoin is a peer-to-peer cryptocurrency that is hinged on the Bitcoin code but offers a higher maximum coin supply. Unlike Bitcoin, which is controlled by very few people, Litecoin can be controlled by almost anyone.

Why Is It A Good Investment?

Litecoin is a good investment because it is similar in functionality to Bitcoin but has a much larger maximum coin supply. Like Bitcoin, it is a decentralized cryptocurrency - it is not issued or controlled by any central entity. However, unlike Bitcoin, it has a maximum coin supply of 84 million, which means it has a greater potential for growth.

How To Profit From Their Growth

Yes, it is highly possible and obtainable to exploit the opportunities inherent in these altcoins for growth. These three procedures are handy: investing or trading in the cryptocurrency exchange market, usage of coins in your portfolio for staking or lending to the system or other users, and partaking in the blockchain system by receiving coin rewards for task completed or mining. Following the above, you can do the following:

  • Invest. Investing is a protracted procedure that requires purchasing and preserving crypto assets for a period of time. Crypto-assets might seem volatile in the interim but portend significant potentials in the long run for growth. The identified altcoins here have long term growth potentials. Cryptocurrency platform like Changelly can be utilized in doing this.
  • Trading the Crypto Assets. In order to exploit short term opportunities, trading can be leveraged on rather than taking the long position of buy and hold. Due to the volatility of the crypto market, prices can increase or decrease in the shortest possible interval. Using proper analytical and technical skills, one can take position when prices are down and sell off when they increase or rise above purchase price.
  • Stake and Lend. This functions by way of validation of transactions. This means that you have ownership of the coins but you do not spend it rather the coins are locked in your cryptocurrency wallet. Your coins are then used to verify transactions on a Proof of Stake network. As a result, you will be rewarded. To put it another way, you're lending coins to the network.
  • Cryptocurrency Social Media. You will be rewarded for generating and organizing content on a number of blockchain-based social media networks. You are frequently awarded with the platform's own coin.
  •  Airdrops And Fork. To raise awareness, airdrops and free tokens are issued by some exchanges. To build a big user base for a project, an exchange might execute an airdrop. You can acquire a free currency by participating in an airdrop, which you may then use to buy items, reinvest in, or trade with. Changes or updates to a protocol lead a blockchain to fork, resulting in the creation of crypto assets. When you have money on the old chain, you will almost always receive free tokens on the new network. Because you were in the right position at the right time, you get a free crypto asset.
  •  Mining. Cryptocurrencies mining is a way to make money using cryptocurrency in the same way that the early adopters did. Mining is indeed an important part of the Proof - Of - work system. It is here that a cryptocurrency's value is created. You get compensated with crypto assets if you mine a cryptocurrency. You'll require technical know-how and beforehand, an investment in dedicated hardware to mine.

 Final Thoughts

The wave of cryptocurrency prevalence and acceptability is ever increasing and the opportunities and potentials for acquisition of huge profits cannot be over-emphasized. Following the forgoing, it is critical for an investor to commit to carrying out full diligent research before committing funds. This is vital in ensuring that risk of failure is substantially mitigated on.

There is myriad of new altcoins that enter the market frequently, hence attention should not only be centered on the ones mentioned in this article. Doing this will enhance diversification of your portfolio and positioning for greater returns on investment.

 

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