Category
Blockchain

Date

July 10, 2024

Looking for the next big return? See our picks for the top cryptocurrencies to invest in!

As the digital landscape evolves at a breakneck speed, 2024 promises to be a year of seismic shifts and unprecedented opportunities triggered by the top cryptocurrencies to invest in. According to a Statista report, in June 2024, there are over 10,000 cryptocurrencies existing globally. Compared to 2013 when there were just 66 cryptocurrencies, this marks a growth of over 15,000%. With the rising accessibility of blockchain technology, these numbers are no longer surprising.

Owing to the worth of cryptocurrency today, every investor is interested in owning some share of profit from the same. And why should they not be when the worth of these virtual currencies has skyrocketed in a few month’s time? 

So, are you ready to tackle the opportunity too? 

If your answer is yes, let’s dive deeper and help you pick the right cryptocurrency for wiser investment decisions.

List of The Top Cryptocurrencies to Invest in 2024

1. Bitcoin

Bitcoin is one of the most popular cryptocurrencies currently in the market, with a market cap of over $1,208 billion. Worth noting, Bitcoin holds immense worth along with wide adaptability. Despite its popularity among investors, virtual currency is still relatively low in circulation compared to traditional assets. 

The worth of bitcoin has no signs of stopping by in the times to come and official Bitcoin charts predict that its value by 2030 might cross $82,000.

In case you are a Bitcoin enthusiast and have enough budget, it could be the best cryptocurrency to invest today that offers financial security for the future. 

2. Ethereum

Ethereum can also be a very good option to consider if you are looking for the best cryptocurrency to invest today. As of June 2024, Ethereum has a market cap of approximately $410 billion making it the second-largest cryptocurrency in existence. But apart from dominating the crypto market, Ethereum also has a reputation for empowering technologies such as Smart Contract. 

The crypto also functions as the backbone of a plethora of decentralized applications (dApps). Post its transition to the proof-of-stake (PoS) consensus mechanism, Ethereum has also managed to reduce energy consumption by 99.99% making it more accessible. 

Therefore, if your goal is to find the best cryptocurrency to buy that is scalable and easy to manage, consider Ethereum. It can be accessed on almost all popular crypto trading apps in the market.

Also Read: Best Low-cap Cryptocurrencies to Invest in 2024

3. Tether

Tether’s current market cap is over $112.86 billion. Cryptocurrency is used in transactions and trading commonly, making it the best cryptocurrency to invest in for future-proofing investment decisions. The stablecoin pegged to USD, Tether, among other popular cryptocurrencies, offers stability in the underlying market.

4. Binance Coin

According to the CoinMarketCap chart, the Binance Coin (BNB) market cap is currently $84.46 billion in 2024. If you are a user of the Binance Platform and often involved in token sales, BNB can be the best crypto to invest in 2024. 

The ecosystem of Binance Coin is rising at a rapid speed. This has attracted a rising number of investors as well who are planning to leverage and make profits from one of the largest crypto exchanges globally.

5. Solana

Solana is known for offering rapid transaction speed that can go up to 65,000 transactions per second. Additionally, its low-cost accessibility gives investors another reason to invest in this best crypto to buy now. Solana has dominated the crypto market trends for a while now. 

Therefore, several Bitcoin wallet apps have adopted the virtual currency to make it easily available and accessible to their users. As for the market cap, as of June 2024, the same stands at around $62.81 billion.

6. XRP

The next name that boosts the credibility of our selection of the best cryptocurrencies to buy now is XRP. At the time of drafting this report, the market cap of XRP stands at approximately $26.46 billion. As for its popularity, XRP is preferred for cross-border transactions. 

Several factors, such as its efficiency and scalability, position it as the best crypto to buy right now for international transactions. Additionally, XRP also has managed to partner with multiple leading business entities around the world to transform traditional finance and make money easy to move.

7. Toncoin

Initially, Telegram was credited with the development of Toncoin, another crypto deserving the title of the best crypto to buy right now. Toncoin is receiving rising attention due to its robust infrastructure and ambitious goals. 

As for its market cap, it stands at $18.68 billion. Toncoin is also known for disrupting the future of cryptocurrency by delivering scalability and decentralization and a supporting ecosystem for decentralized applications.

8. Avalanche

Avalanche is a high-throughput blockchain platform known for its low transaction fees and eco-friendly consensus mechanism. As of 2024, Avalanche has a market cap of approximately $9.91 billion​. 

Its support for a range of DeFi applications makes Avalanche stand tall as the top crypto to buy. Additionally, Avalanche’s unique consensus protocol and rapid finality make it a standout in the blockchain world as well.

9. Polygon (MATIC)

The layer-2 scaling solution for Ethereum Polygon (MATIC) is designed to improve the scalability and usability of the Ethereum Network. Some characteristics, such as faster and cheaper transactions, make Polygon maintain the reputation of being the top crypto to buy even in 2024. 

The Polygon developers are committed to keeping it user-friendly and easy to access for a wide range of projects. Therefore, the best crypto to invest in has maintained a market cap of $5.60 billion as of June 2024.

10. Cardano

Cardano uses a Proof-of-Stake (PoS) consensus mechanism and is known as the best crypto to buy now to apply an academic approach to the development process. As of June 2024, the Cardano market cap stands tall at an approximate value of $13.84 billion. 

This cryptocurrency focuses on delivering benefits such as scalability, sustainability, and interoperability, making it a perfect option for building decentralized apps and smart contracts. 

Factors to Consider Before Investing in Popular Cryptocurrencies

As much as it can be rewarding to invest in the best cryptocurrency to buy, it also depends on whether you have considered the right factors while investing. Let’s take you through them:

1. Market Dynamics

Cryptocurrencies are dynamic when it comes to their pricing and market cap. Their prices can change overnight, sometimes even in hours or minutes. Therefore, it is always a good idea to keep up with the news and crypto trends, irrespective of the types of cryptocurrencies you are planning to invest in. 

An alternative strategy can be using the top crypto trading bots. These bots can automate market analysis and provide you with critical insights for your investment strategies.

2. Regulatory Environment

Different governments have different regulations when it comes to monitoring or controlling the flow of cryptocurrencies. While picking the best cryptocurrency to invest in, always go through the local laws and regulations for cryptos. 

Checking additional details, such as the tax on income through crypto, the cap on owning a number of cryptocurrencies, and more, can safeguard your investment and save you from unwanted penalties.

3. Security

Consider securing cryptocurrencies using the crypto wallets that are regularized and built on the best blockchain platforms. This can help you safeguard your investments under a protected digital environment and can also enable easier transactions. You can make your investments more safer by adopting the crypto payment cards for your transactions.

4. Market Capitalization

Market capitalization helps you understand how stable a cryptocurrency is. Cryptocurrencies with larger market caps, such as Bitcoin and Ethereum, are considered more stable compared to the coins with lower market caps. The ratio of the risk in both kinds of cryptocurrencies vary accordingly.

5. Liquidity 

The factor refers to the ability of a cryptocurrency to support smooth purchasing and selling without impacting the market price. The higher the liquidity score is, the easier it is to trade without attracting too much trading cost. Keeping an eye on top crypto charts to stay in the loop with the liquidity data of each cryptocurrency can come handy while making investment decisions.

6. Historical Performance

Diving into the historical performance gives you an outlook of how and when the value of the cryptocurrency has dipped or risen. This data can help you identify how top crypto coins have reacted to any particular event, such as politics, regulatory dynamics, and more.

7. Community and Developer Activity

The strength and activity of the community of the best cryptocurrency to invest in, along with its developer ecosystem, are vital signs of its health and future prospects. Active development, frequent updates, and a vibrant community suggest ongoing improvement and support, which may lead to increased adoption and value.

Strategies to Identify the Best Cryptocurrency to Invest Today 

Having a comprehensive strategy in place can help identify wiser investment options. These strategies can help identify risks, minimize them, and boost ROIs in the long run. Here are some of the strategies that you can use to identify the best cryptocurrencies to buy now for your investment goals. Let’s have a look!

1. Dollar-Cost Averaging (DCA)

The strategy involves picking the best crypto to invest in and investing in it over time with intervals in between. This reduces the cost volatility of the crypto investments. For investors who are new to investing, this strategy can be great for a stable investment plan without keeping a constant eye on the market.

2. Diversification

Spreading investments across cryptocurrencies can be great for safer investments. Diversifying investments can refer to identifying and investing in the different types of cryptocurrencies. These can be assets such as Altcoins, Bitcoins, and even tokens from DeFi or NFTs. A diversified portfolio can safeguard investors from a very volatile market.

3. Technical Analysis

Diving into the statistical trends to understand how the crypto market is performing helps you gather the required information for making an investment decision. There are several charts and graphs available on the internet to use as a reference of the data whether you want to look into the past or have an approximate insight into the future of the crypto market.

4. Stop Loss and Take Profit Orders

Implement a stop-loss order strategy while investing the money. Some fintech apps that deal in crypto offer the ability to limit potential losses and secure profits by automatically selling part holdings. This balances the profit and loss without having to keep an active eye on the market.

5. Use Reputable Platforms

Invest through reliable and secure platforms to avoid scams and ensure the safety of your investments. Reputable exchanges and wallets provide added security features and compliance with regulations, which can offer peace of mind in the unpredictable crypto market.

6. Long-Term Holding

Often referred to as “HODL” (hold on for dear life), this strategy involves buying and holding a cryptocurrency for a long period, regardless of market fluctuations. This approach is based on the belief that despite short-term volatility, the value of well-chosen cryptocurrencies will increase significantly over the long term.

7. Risk Management

Evaluate your risk tolerance and adjust your investment strategy accordingly. Decide in advance how much of your total investment portfolio you are willing to risk on cryptocurrencies. Post that, proceed with your selection of the best crypto to buy right now. Setting clear boundaries can help you make decisions under pressure and manage risks more smartly.

Risks and Challenges Affiliated with the Crypto Trading

While cryptocurrencies can be rewarding, there are risks aligned with such investments as well. Before you decide to make an investment in this category of digital asset, make sure you are clear about the risks that are affiliated with it. Let us introduce you to them.

1. Market Volatility

The crypto market is very dynamic. Prices can vary fast due to any reason; it could be a pandemic that impacts the price, or some tech tycoon posts a tweet. For instance, Elon Musk’s tweet in 2021 wiped out billions for Bitcoin.

2. Regulatory Risks

Changes in regulations impact the cryptocurrency market critically. There’s another incident from 2021 that can be used as a case study. China, in 2021, decided to ban cryptocurrencies. This influenced the value of these digital currencies around the world and forced plenty of mining operations to move outwards that were considered more crypto-friendly. 

3. Technological Risks

There’s a case from 2016; “The DAO,” a decentralized autonomous organization using the Ethereum Network, was hacked because of the vulnerability that existed in a smart contract. Hackers drained approximately 3.6 million Ether which was valued at approximately $50 million at the time of the incident. 

Cryptocurrencies are stored digitally, making them susceptible to any type of attack including phishing, hacking, etc. Therefore, considering security risks as one of the factors while making an investment decision can help.

4. Liquidity Risks

In 2017, the limited liquidity of Ripple at the time created a huge loss of 96% due to a large sell order. Within a few seconds, the price of Ripple’s XRP token went downwards before rebounding. This is a perfect example of how low liquidity can influence the overall cost of the cryptocurrency making it risky for investors.

5. Security Risks: The Mt. Gox Hack

The Mt. Gox incident, which occurred in 2014, remains one of the most infamous security breaches in cryptocurrency history. Mt. Gox, a Tokyo-based bitcoin exchange, filed for bankruptcy after losing approximately 850,000 bitcoins, valued at around $450 million at the time. This breach highlighted the vulnerabilities in digital wallet security and the catastrophic risks traders face when platforms lack robust security measures.

Also Read: Is Bitcoin Wallet Safe?

Checkout 5 Future Trends Before Picking Your Top Crypto to Buy

As we look ahead to make wiser investment decisions, there are several trends and predictions that can help. These trends are driven by technological advancements, regulatory developments, and even the shifting market dynamics. 

1. Expansion of Decentralized Finance (DeFi)

The DeFi sector is expected to grow to touch impressive figures between 2024-2028. By the end of the target period, the projected total value of the sector is expected to reach US$37,040 million at an annual CAGR of 9.07%. For investors, this can be a great sign to invest into the cryptos that support the development of DeFi apps.

“TradFi can capitalize on blockchain technology to improve the financial systems and address some of the global economic challenges. On the flip side, DeFi can adopt the best practices in the traditional finance system that has brought it global stability… The two industries might merge in time as we’re all heading towards a digital future.” 

– Anthony Martin, Founder and CEO of Choice Mutual

2. Bitcoin Halving

The last phase of Bitcoin Halving was done in 2020. However, experts suggest that the pattern is predicting another phase of Bitcoin Halving in the near future. This prediction is creating a FOMO among the Bitcoin stalkers and investors.

Study December 2020 pic.twitter.com/ITjT6y1Uug

— Will (@WClementeIII) April 7, 2024

3. Technological Efficiency

Trendsetters in the crypto industry are focusing on making crypto safer and more accessible in the future to maximize crypto investment benefits and eliminate affiliated risks. Such motivations are expected to guide more technological innovations to enhance the efficiency and security of transactions.

4. Bitcoin’s Growth Trajectory

Bitcoin is likely to maintain its dominance and influence in the crypto market, with potential new all-time highs forecasted. Factors contributing to this optimism include the upcoming Bitcoin halving event and the approval of spot Bitcoin ETFs in the U.S., which are expected to attract more institutional investors.

5. Mainstream Adoption and Institutional Investment

Cryptocurrencies are expected to continue gaining traction among mainstream financial institutions and businesses. This trend is propelled by the increasing acceptance of crypto payments and the exploration of blockchain applications across various sectors, from healthcare to banking. Notably, institutions like Mastercard and Citi have shown interest in integrating cryptocurrency transactions into their services as well.

Wrapping Up

A Statista report shows that Argentina has over 30% crypto ownership making it a country with the highest number of crypto owners. The country has tough competition from countries like the USA and Russia which are credited for trading the highest amounts in virtual currencies.

The stakes have never been higher, and the potential for transformative gains by crypto investing is within your grasp. However, as discussed in the blog, the choice of your should not solely be driven by the thought of making quick profits. 

Consider factors such as how safe your crypto investments will be, where to buy cryptocurrencies from, and more to make wise investment decisions. These factors can play a crucial role in future-proofing your investments against the volatility of the market and possible cybersecurity threats.

Frequently Asked Questions

• What are the cryptocurrencies to invest in 2024?

  

  

  Bitcoin, Ethereum, Binance Coin, and Solana – they’re all top picks due to market cap, innovation, and usage.

• How do I pick the cryptocurrency to invest in?

  

  

  Market cap, liquidity, tech, real-world use and team behind the coin should be considered while filtering your option to invest in.

• Which cryptocurrency is the best for beginners in 2024?

  

  

  Bitcoin and Ethereum are for beginners due to their established market and support for cryptocurrency exchanges.

• What are the risks of cryptocurrency investing?

  

  

  Market volatility, regulatory change, tech issues, and hacking are some of the risks keeping investors on their toes.

• Can you use cryptocurrencies for daily transactions?

  

  

  Yes, Bitcoin, Ethereum, and others are being accepted by merchants and service providers everywhere.

• What affects cryptocurrency prices?

  

  

  Supply and demand, market sentiment, macroeconomics, geopolitics, regulatory requirements, halving, and more such factors drive the cryptocurrency prices.

• How do I store my cryptocurrency safely?

  

  

  Reputable wallets with 2FA, multi-sig, and cold storage can help you keep your cryptocurrencies safe. Do a thorough analysis and comparison before picking one.

• Are cryptocurrencies a long-term investment?

  

  

  While potentially profitable, cryptocurrencies should be approached with caution as a long-term investment due to their inherent volatility and evolving regulatory landscape.

By Manish

Content Strategist at MobileAppDaily

With a mixture of literature, cinema, and photography, Manish is mostly traveling. When he is not, he is probably writing another tech news for you!

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