The market cap of the crypto world has soared. Bitcoin, Ethereum and Ripple are among the most valuable cryptocurrencies in the world. As a result, there’s been an explosion in new cryptocurrencies, but also a related problem that many investors haven’t realized: how to choose cryptocurrency to invest in.
It’s not easy, because there are so many cryptocurrencies out there. There are hundreds of them trading on exchanges such as Binance, and thousands more that are still yet to be listed on those exchanges. It can be overwhelming to decide which ones are worth investing in.
I’ve created a list of cryptocurrencies that get high marks across the criteria I use to evaluate them: return on investment (ROI); market performance; and how likely they are to become better investments as their prices rise while they are being traded. The list is based on my evaluation and will change over time as I discover better and better cryptocurrencies for investment.
The list is based on my own analysis, but I am aware that it is subjective, and you should do your own research before you buy any of the cryptocurrencies included in the list or any other cryptocurrency for that matter.”
This list contains some of the best cryptocurrencies for investment in 2018. Some are good for short-term trading, others for long-term investments. The top ten currencies here have a market capitalization of more than $100 billion and a real use case. The currencies on this list are Bitcoin, Ethereum, Ripple, Bitcoin Cash, Litecoin, EOS, NEO and Cardano.
For those who want to invest without getting tired and without risking their money in scams or looking through countless websites to verify things, this is the best list to invest in.
When you look at the top performing cryptocurrencies, there are some clear patterns: privacy coins such as Zcash, Monero and Dash; altcoins with a focus on governance such as Siacoin or Storj; and smart contracts platforms such as Ethereum.
But this isn’t an exhaustive list of the best cryptocurrencies to invest in. It just highlights the ones that have performed best so far. If you want to invest in the right cryptocurrency for your goals, check out the top coins ranked by market cap in our cryptocurrency rankings and coin ranking charts.
Cryptocurrencies are as volatile as stocks are, and much harder to understand. Just after Bitcoin began trading publicly in January 2009, its price went from $0.003 to $0.06 in just a few weeks – a rise of 115,000%. In comparison, the stock market rose by more than 400% between 2000 and 2008: a substantial increase but not the kind of leap that makes headlines.
And yet the cryptocurrency market has doubled in value every year since 2014, with a record high of $395 billion seen in December 2017. So it’s easy to get excited about cryptocurrencies. But excitement should be tempered by caution.
It is worth remembering that Bitcoin was invented in 2009, and the idea was fleshed out by Satoshi Nakamoto in 2008; that’s why even now there is no single Bitcoin blockchain (i.e., the common shared ledger of transactions and balances), but rather many different blockchains maintained by different organisations and networks.
It’s also worth remembering how hard it is to imagine money without banks; we all know people who have tried to set up their own bank only to run out of money within weeks or months through failure to attract customers or money-laundering scams. That’s why you shouldn’t do it yourself: it might
Cryptocurrencies are a new kind of product. They may seem like an exotic investment, but in fact they are more like a promising new commodity. If you invest in a promising new commodity, you’re investing in the hope that its price will go up. The price is an expression of how many people think it’s worth. Cryptocurrencies have value, but not in the way you might think. Unlike normal commodities, their value is not based on what someone else thinks it’s worth, but on what people are willing to pay for them with real money.
Cryptocurrencies have value because they have been successful at something: making money from computer networks. That’s why all the big ones have grown so fast. The more successful they become, the more money there is to be made by speculating with them.
The reason some cryptocurrencies have been more successful than others is that some of them make better use of modern technology and better take advantage of its potential than others do. So as long as there are people who think those cryptocurrencies are useful, they will continue to grow in value.
The idea of investing in cryptocurrencies may be new, and even a little scary. But the money to be made is enormous, and there are no other investments you can make that will pay you as much.
Cryptocurrencies are worth paying attention to because they have done something few other things have been able to do. They have gone from being a marginal curiosity to being one of the most important industries in the world.
Bitcoin, founded in 2009, has become the most famous cryptocurrency. It was based on an idea called “cryptography.” I’ll talk about it when we get to the section about Bitcoin.
We have to be careful not to confuse correlation with causation. There is a statistical correlation between the price of Bitcoin and the number of people who own Bitcoins: the more people who own Bitcoins, the more it goes up. That’s because more people want to own Bitcoins, so more people buy them. But it isn’t necessarily the other way around.
It’s possible that if more people owned Bitcoins, it would go down. Maybe there aren’t enough people who want to buy them yet. Maybe there are too many people who want to sell them and don’t have buyers; maybe I’m wrong in thinking that they will go up forever, but they could go down instead of up. It may be that the number of Bitcoin owners doesn’t affect its price at all; what affects its price is something else entirely.