When it comes to cryptocurrencies, the mind runs straight to Bitcoin, the most well-known digital currency in the world. However, it is wrong to think that the world of cryptocurrencies ends with Bitcoin. And, indeed, it is legitimate to say that behind Bitcoin, Ethereum, and Ripple (just to mention the three most famous coins), very promising emerging cryptocurrencies are lining up.
Considering the 2020 roundup, the year has been good enough for the crypto space. There has been very positive news in the market with excellent adoption levels during the pandemic period. As the new year is around the corner, we look forward to the promising cryptocurrencies of next year.
If you are new to the world of cryptocurrencies and are wondering, “what are the best cryptocurrencies to invest in”, then you have come to the right place. Learn about the cryptocurrencies that can give you good returns in .
Ethereum (ETH)
The second most popular cryptocurrency after Bitcoin is Ethereum. The Ethereum blockchain became the spotlight during the DeFi boom, which pushed the price of ETH;
Unfortunately, for Ethereum, high gas fees have always been the heart of the problem. Gas fees are fees paid by users to ETH miners to be able to transact on the network, whether it is for simple token transfers or more complex engagements with Decentralized Applications (DApps). However, the ETH ecosystem will soon be implementing Ethereum 2.0, which intends to solve these high gas tariffs. Recently, a dress rehearsal of Ethereum 2.0 was held in October, and so far, it has shown promising results.
ETH is the second-highest it has ever been. Therefore, with the launch of Ethereum 2.0, the analysts predict a bull run for the digital asset that could bring the price close to its all-time high.
Litecoin (LTC)
Litecoin is a peer-to-peer digital currency that will allow you to make instant payments at almost no cost. It is an open-source and decentralized payment network and offers much faster transaction confirmation times and better transaction storage efficiency than bitcoin. It enjoys excellent capitalization and is one of the first alternative cryptocurrencies to appear on the market.
2020 was a good year for Litecoin. Litecoin is still strong. One of the reasons you might consider investing in Litecoin is its high liquidity with a large market cap.
Litecoin’s price could explode in as miners get a huge block reward of 25 LTC compared to 6.25 BTC. Also, the average time for the network to confirm each block is around 2 minutes, which is shorter than any other cryptocurrency. In total, the Litecoin network is scheduled to distribute 84 million Litecoins (4 times more than Bitcoin).
Bitcoin Cash (BCH)
Bitcoin Cash was born in 2017 as a faster and more scalable blockchain that can handle more transactions than its famous ancestor, Bitcoin. This alternative cryptocurrency basically aims to solve Bitcoin transaction congestion by offering faster speed between exchanges. Otherwise, it is a decentralized and peer-to-peer digital currency, just like BTC, which can be used for payments or kept as a store of value.
The price and capitalization of Bitcoin Cash are among the highest in the market, precisely due to the fact that the alternative cryptocurrency retains a strong link with BTC. An excellent alternative to investing in Bitcoin without spending thousands of dollars.
Cardano (ADA)
Cardano is one of the alternative cryptocurrencies that has made headlines in recent years. Created by one of the co-founders of Ethereum, it is referred to as a third-generation digital currency because it does not need miners. In fact, its blockchain does not require constant electricity for its maintenance and mining, presenting itself as a sustainable alternative to Bitcoin and other cryptocurrencies.
Recently launched in 2017, Cardano managed to secure a spot in the top 10 cryptocurrency rankings, but sadly it later dropped to 12th place. However, the project is still growing strongly and is in the early stages.
XRP (Ripple)
Ripple is another alternative cryptocurrency to invest in today and get a possible return tomorrow. The project is more similar to that of Ethereum than Bitcoin: it is a platform for managing money transactions quickly and securely, especially in banks.
Ripple’s coin is known by all as XRP, and it is the third-largest cryptocurrency in the world by market capitalization, proof that investors strongly believe in this project. However, the value is still much lower than that of Bitcoin and its alternatives , also due to the very high amount of currency in circulation.
The current price of XRP is 100% higher than its price at the beginning of this year, and it is expected to grow even higher. According to many analysts, Ripple has the potential to hit and rise towards its all-time high very soon.
From the perspective of a long-term investment, the growth of Ripple could hold some pleasant surprises.
Final Thoughts
At this point, you may have a rough idea of what cryptocurrencies to invest. However, there are numerous projects in the crypto space that could give you huge returns. Above any prediction or analysis, doing your own research is always fruitful in many situations. If you are looking for a service that allows you to buy new investment cryptocurrencies, our advice is to try Coinbase, the largest wallet & exchange in the world.
