Best cryptocurrencies to invest in!!

 When the thing is a cryptocurrency, then knowledge comes to the first position, and investing in cryptocurrencies comes to the second position. If someone invests in cryptocurrencies without having fundamental knowledge about cryptocurrecies, then the person might go bankrupt. Because, it is a highly volatile asset to invest in but has the potential to generate more return than your expectation. There are more than ten thousand cryptocurrencies in the market, and according to experts, 99% of cryptocurrencies are bad cryptocurrencies. So, your money must go into fundamentally good cryptocurrencies rather than bad ones.

WHAT ARE CRYPTOCURRENCIES?

Cryptocurrencies are digital coins that do not have any physical store of value. The concept of cryptocurrency comes when people talk about web 3.0, that has the potential to change the world not only from the payment perspective but the whole internet system.

The entire cryptocurrency system is based on highly secure blockchain technology. It is next to impossible to alter with the data that are secure in blockchain technology. In that way, people do not have to trust any single entity (the owners of any company or the governments). Once something is added to the blockchain, it is saved forever.

And the first-ever cryptocurrency was made in 2009 which is bitcoin to avoid the middleman of any transaction just after the 2008 market crash. And after that, lots of cryptocurrencies have been coming into the market and trying to solve different problems. And the kind of people who saw the value in cryptocurrencies in its early days and invested their money, they end up becoming millionaires or billionaires. And simultaneously, those who invested in the bad cryptocurrencies have lost their capital.

That’s why it is important to invest in good cryptocurrencies rather than bad ones. After that, the question arises that how to find good cryptocurrencies if the majority of them are bad cryptocurrencies? So, to find out good cryptocurrencies, you have to look at the fundamental background of cryptos rather than just the market cap. A few questions you should have answers to like why this cryptocurrency has been created, what problem this cryptocurrency is trying to solve, and whether the problem is genuine or not! One more thing you should keep in mind is that all the cryptos are not currencies, there are a very few like Bitcoin, although a lot of countries have not allowed its citizens to use bitcoin as a currency.

Although there are a few cryptocurrencies out there that you consider good cryptos, here, you will get a list of a few fundamentally strong cryptocurrencies that you think to take some position in them. But most importantly, when the term ‘investing’ comes, do not invest in an asset you don’t understand. First, understand the technology behind a cryptocurrency, then consider investing in that.

TOP FIVE CRYPTOCURRENCIES YOU CAN CONSIDER INVESTING INTO:

BITCOIN: Bitcoin is a cryptocurrency that people use to transfer money from one country to another country. The best thing about transactions through Bitcoin is that nobody will be able to identify the person who has done the transaction. A lot of countries have allowed bitcoin to trade in their country. According to the experts, bitcoin has a core value and the potential to grow faster. It is the largest cryptocurrency out there. You can think of a way that if someone has to transfer money from one country to another country then how can that person will do it? If he does it through banks, then he has to pay a lot of taxes, instead, it would take a few days because he has to follow a lengthy paper process, so why he wouldn’t send his money through Bitcoin which would take a few seconds and take a minimum transfer fee!

ETHEREUM: Ethereum is the second-largest cryptocurrency out there, but this is not a currency, it is used to make cryptocurrencies. Ethereum is a network where people come and make a new cryptocurrency. It is the favorite cryptocurrency for developers. It is one of the most trustable cryptocurrencies in the market. If you would ask any person who understands this crypto world, that person would suggest you invest in Bitcoin and Ethereum.

POLYGON: This is also a network that helps Ethereum to scale. It helps Ethereum to build a multi-chain system like a Polka dot. Its market cap is around $4.6 billion. This would also be a good coin to invest in.

SOLANA: It is an open-source project that is based on proof of history. Solana confirms that it supports 50000 transactions in a second which is fast compared to Ethereum. According to experts, Solana is one of the largest cryptocurrencies in the market.

AVALANCHE: That is the last cryptocurrency on the list that you can consider investing in. It is an open and programmable platform mainly for decentralized applications. It is very similar to the Ethereum network, however, has a few unique features that make avalanches valuable.

THE FINAL CUT:

In this article, you have found a few cryptocurrencies that you consider investing in. Though 99% of cryptocurrencies are bad, if you invest in good crypto for a long period, then it can give you exponential returns. One more thing a crypto investor should know is that the crypto market is so volatile. Sometimes it can be corrected by 70-80%, but if the cryptocurrency is good, it will bounce back eventually.