A few years ago, only a few people believed in cryptocurrencies. Critics called them a scam, a passing fad or a massive bubble. The few who took the leap of faith and invested in the unbelievable tale, can ascertain that it wasn’t an easy decision. They put in their money, hoping that the cryptocurrency idea would one day make them rich. Well, it turns out they were right! Nine years down the line since the first bitcoin was mined, the world of cryptocurrencies has exploded, rewarding the early adopters handsomely.
You see, with cryptocurrencies getting more mainstream attention, their adoption continues to grow. 2017 was perhaps the best year for the crypto market as most coins recorded massive growth, hitting record highs. Investors who poured their money into the top coins ended the year on a good note, with some making millions in just a short time.
Welcome 2018 and it seems like almost everyone believes in the idea of digital currencies. If you missed out on the 2017 crypto run, don’t worry – you are not late! Analysts believe that whatever we witnessed last year could be similar or much better this year. Some believe that Bitcoin and Ethereum will grow by double, hitting record highs before the end of the year.
This post focuses on the best cryptocurrencies to invest in in 2018, covering a variety of cryptos that show the greatest potential. But before we pick the winners, it’s only fair that you learn a few pointers to help you choose the best options to go for.
How to Identify the Best Cryptocurrency to Invest in
Yes, investing in cryptocurrency can be a profitable venture – it has been for most people. But that’s just the good side of digital currencies. If you pick the wrong coin, you can end up making very little or no money at all. But hey! You don’t have to go through all that. Here are three rules of thumb to keep in mind when choosing the best cryptocurrency to invest in 2018:
What’s the purpose of the coin?
For starters, consider the usefulness of the coin? Does it offer a solution to a problem? You see, some altcoins coming up these days are utterly ridiculous. Just because they made it past the ICO phase and raised enough money doesn’t mean that their tokens have potential to grow like bitcoin has. Be very careful. If the developers don’t proceed with the development of the product, their cryptocurrency will be as good as dead within no time. Only go for altcoins that have a real, verifiable use.
Is the team behind it experienced?
What level of experience does the development team bring to the table? Have the members been involved in blockchain or cryptos before? If yes, the better! But don’t ignore the inexperienced team altogether – even Satoshi Nakamoto (Bitcoin’s creator) is not known up to date. Just ensure the one you pick has some kind of backing from industry experts. Research shows that cryptocurrencies with brilliant brains behind them always do better in the market.
Is there a clear roadmap?
The nature of cryptocurrencies is very unpredictable, especially for coins that can’t guarantee real use in the future. Base your decision on understanding what the future of the coin holds, and not just blind wishes. By looking at the platform’s roadmap, you should clearly see the development speed and what new features are to be incorporated moving forward. For instance, what makes Ripple a great coin is the fact that it intends to integrate payment providers, banks and other financial institutions in future, allowing frictionless, real time transactions.
Best Cryptocurrencies to Invest in 2018: The Hunt for the Next Bitcoin!
With the high number of altcoins (more than 1,000) available for investment, one thing we can agree is that it’s no easy task to handpick the winners that have utmost potential. But based on the market trends (historical data and current data), use of the coins, and what they promise in future, we can determine several options that can’t disappoint. We choose to omit bitcoin in our list – even though it’s one of the best options out there. It has had its better run, especially in 2017. Some analyst claim that it could be worth much more this year, while others think if its growth will be on a limited scale. You can go ahead and consider it as your first option, hoping that it remains the biggest crypto and prices continue to surge. If you are a long-term investor, you just can’t go wrong with bitcoin.
Remember that it’s not wise to put all your money in one coin or invest your lifetime saving in cryptocurrencies. The market is insanely volatile, so be ready for anything. As the wise saying goes – “hope for the best, but expect the worst.”
Let’s get to our list:
It’s known as Bitcoin’s little brother, a cryptocurrency created back in 2011. The creator of this digital currency – Lee – discovered that transactions on the bitcoin network were taking too long and were a bit costly, so he went back to the drawing board, designing a cryptocurrency that would solve this issue. He tweaked bitcoin a little to make it the payment method of choice. Well, it turns out he succeeded, because there has been mass adoption of the cryptocurrency, with its market cap accounting for more than $9 billion dollars.
Here’s why it’s suitable to invest in Litecoin:
It took such a huge leap towards the end of 2017
It’s currently ranked 6th in over 1000 cryptos in terms of market capitalization
Processes payments very fast
Cost effective transactions
Price good enough to get a full or half coin
Ripple was once described by the New York Times as a cross between payment providers such as Western Union and a currency exchange, but without the bulky fees. This digital currency deserves the praises it gets because of its ability to connect corporates, digital asset exchanges, payment providers and banks via its platform to provide a frictionless experience when it comes to sending money globally. Currently, Ripple has licensed its platform to more than 100 banks, and more are reported looking to join its blockchain technology. This is good news for investors looking to make some money off the growth of Ripple as it can grow within a short time to catch up with bitcoin in terms of market capitalization (current market cap is more than $47 billion).
Here’s why it’s suitable to invest in Ripple:
More banks joining the its blockchain technology
Once beat Ethereum, becoming the second coin in terms of market cap
MoneyGram is expected to start using Ripple
Among the top 5 cryptocurrencies
Available in more than 50 exchanges globally
Company’s keen to introduce more innovation to payment providers
Do you know that Ethereum increased by around 9000% in 2017? That’s right. The Ethereum was worth just a few bucks in January, 2017 ($7.98), but it grew to a whopping $712 on December 31 the same year. You see, if you invested just $100 at the start of the year, you would have made a cool $10,171 by the end of the year. This run could proceed in 2018 for some simple reasons. For starters, Ethereum is considered the mother platform of ERC20 tokens and dApps. If more platforms adopt its blockchain, then the prices could spike much higher to compete closely with bitcoin. Its current market cap is over $95 billion.
Here’s why it’s suitable to invest in Ethereum:
Ethereum processes around 10 transactions every second, making it reasonably fast.
It’s the 2nd largest cryptocurrency in terms of market capitalization.
Has more than 100,000 registered users, and the number is growing daily
Although its prices are sometimes volatile, the general trend of the graph is upward. Rarely is there a downtrend.
Monero is known for one thing – Anonymity! That’s right. The details of transactions, which include size, receiver and sender, are safely recorded on a public ledger just like bitcoin’s transactions, but are obfuscated in order to make them untraceable. If you use the cryptocurrency, you can rest assured that no one can trace your transactions or connect the dots to the receiver. Amazing, right? Well, this feature has seen the coin grow tremendously in 2017, currently accounting for more than $4 billion in terms of market capitalization.
Here’s why it’s suitable to invest in Monero:
Among the top 15 coins with a huge market cap
Constant upward graph
Fastest growing network in terms of miners
This cryptocurrency is dubbed “the Ethereum of China” because of similar features to its bigger brother Ethereum. It’s expected that the coin will continue to grow in 2018 and even explode as China eases its stance on cryptocurrencies. Currently there are so many people who believe in the digital currency, which explains why it’s among the top 10 with a market cap of more than $7 billion dollars.
Here’s why it’s suitable to invest in Monero:
The cryptocurrency is currently picking up
It offers unique E-contracts
Fully compliant with Chinese authority
Has partnerships with big organizations
Cardano is perhaps the real contender of Ethereum, hands down! It has enough funds to push the project forward, a right and dedicated team, and committed investors. The surprising thing about this digital currency is that it launched just months ago and entered the market in October, 2017, but it got massive adoption, currently standing as the fifth biggest crypto in terms of market cap (more than $14 billion).
Here’s why it’s suitable to invest in Cardano:
Grown in a short time to beat more than 1000 cryptos
Responds to need for regulation
Big on many private transactions
Framework of the platform still in early stages
The main things that make Iota different from other cryptocurrencies is the fact that it doesn’t have blocks, miners or any trading fees, but it’s built on the blockchain network. If you make a transaction, your processing power is the one used to verify and validate two other transactions. So basically, every owner of Iota is a “miner”.
Here’s why it’s suitable to invest in IOTA:
Backbone for machine-to-machine transactions
Zero transaction fees
Reports about a partnership with Microsoft
Among the top 15 coins with a market cap of more than $6 billion
Bitcoin Cash is a product of Bitcoin. It was created in a fork to solve the issue of slow processing times and high fees that are experienced on the bitcoin network. The cryptocurrency has a bigger block size limit, with more capacity to facilitate many transactions with faster confirmations and lower fees. In Mid-November last year, Bitcoin cash was the 2nd most valuable digital currency, but it has fallen back to the fourth place. It’s expected that adoption will grow this year, making its value and market cap (which stands at over $27 billion) to increase tremendously.
Here’s why it’s suitable to invest in Bitcoin Cash:
Solves problems affecting the bitcoin network
Massive adoption by investors is ongoing
Among the top 5 cryptos
Newer crypto (forked on August 2017), so it has a lot of potential
There you have it – 8 Cryptocurrencies that could give you a retirement package in 2018!
Who would have thought that something that was just a budding idea would turn out to have such a cosmic impact in the financial world? In 2009, when bitcoin was launched, the majority of people were skeptical about investing in it. Today, everyone wants to have a share of the pie. If you didn’t have a chance to invest in cryptocurrencies in 2017 or are looking to increase your portfolio, don’t worry because there are good coins that are already showing potential to grow tremendously in 2018. As you have seen in this post, as long as you pass all the filters and pick the winners, you just can’t go wrong. Who knows, this might be your retirement package!