Crypto Watch: The Best Crypto to Invest in 2022
Famed investor and billionaire Warren Buffet once said “Be fearful when others are greedy and greedy when others are fearful.” With the current market sentiment showing signs of “extreme fear” there is no better time to buy than right now. However, with so many risky crypto projects out there, which ones are safe investments, and which ones present the best opportunity for growth? We’ve taken some time to research the best cryptocurrency assets for 2022. So take out your crypto watch list, grab a pen and write these down.
Bitcoin (BTC): Still the king of crypto
No surprises here. Bitcoin is still the undisputed king of cryptocurrency and essential addition to anyone's crypto watch list in 2022. Currently, BTC’s price sits around $30,000. A far fall from its all-time high of $67,000 back in November of 2021. Despite its current bear market status, Bitcoin is still the original cryptocurrency and one of the safest investments one can make in this industry.
Like most cryptocurrencies, BTC runs on blockchain technology, using a network of distributed ledgers that verify and record transactions. Due to this, Bitcoin is secure and safe from fraud attempts. Also compared to other cryptocurrencies, Bitcoin is more stable – yet still very volatile compared to the stock market. However, been around since 2009. As the longest-running cryptocurrency in existence, Bitcoin shows no signs of going away.
Ethereum (ETH): Still the king of smart contracts
Ethereum has come under intense fire lately with competing blockchains Solana and Cardano aiming to take away some of that market share. Despite the high gas fees on Ethereum, it remains the most popular blockchain out there for smart contracts.
Because of this smart contract functionality, Ethereum’s blockchain is the ideal framework for many different decentralized applications (dApps). Non-fungible tokens (NFTs) and decentralized finance (DeFi) apps were vital to the recent bull run. Many of these dapps and NFTs are built on the Ethereum blockchain. Suffice to say, without Ethereum, this market wouldn’t be where it is today. Due to its high use, Ethereum gas fees increased dramatically over the last two years. However, there is a solution.
Ethereum 2.0 will transform the blockchain from a proof-of-work protocol into a proof-of-stake protocol. That is much more efficient and will increase Ethereum’s scalability. Hence, lowering gas fees. The planned release date for this is August 2022. However, prepare for delays.
That being said, it’s the perfect opportunity to buy some Ethereum before “FOMO” kicks in.
ApeCoin (APE): A trendy new coin with upside potential
The hype around the Bored Ape Yacht Club (BAYC) NFT collection has simmered down recently compared to its peak in 2021 but it’s still one of the most internationally recognized NFT collections out there. This adoption inspired the founders of BAYC to create their governance token called ApeCoin.
ApeCoin is the main token supporting the Ape Decentralized Autonomous Organization (DAO) and will also be the primary token in the upcoming BAYC metaverse. After launching in August 2021, ApeCoin soared from $0.18 to more than $2. Eventually, it followed the rest of the market and decreased significantly. However, the project’s fundamental analysis is still strong and APE is likely to make a comeback when the overall market recovers.
Solana (SOL): the “Ethereum killer”
Every article about “the best crypto to invest in 2022” features Solana in some capacity. This is not a coincidence. Solana is perhaps the first “Ethereum killer” blockchain that has real use cases. Besides Ethereum, Solana is the most sought-after blockchain for DeFi and NFT dApps. Furthemore, Solana is much more scalable than Ethereum with transaction fees under $0.01 for all users.
Not only is it cheap, but transactions are lightning fast, but that’s not all. Solana is also censorship resistant meaning it has a bright future for open-source apps and technologies. You can thank Solana’s proof-of-stake and proof-of-history mechanism hybrid mechanism for that.
After launching in 2020 - 2022 Solana’s native token SOL saw gains of over 5,100%. Numbers like that attracted a loyal following which still exists today, even if the token has retraced in value.
Polygon (MATIC): The key to Web3?
Like Solana, Polygon first gained popularity as a much more efficient alternative to Ethereum. However, there are many fears Polygon’s status in the market will disappear once Ethereum 2.0 comes out, essentially rendering Ethereum competitors obsolete. However, Polygon assures its community there is nothing to feature.
Polygon has major use cases in Web3 infrastructure. The Polygon team has announced a new ZK rollup that will work together with ETH 2.0 to bring further scaling potential for Web3 applications.
Tether (USDT) and US Dollar Coin (USDC): Add some stability to your portfolio
Unlike other cryptocurrencies on this list, Tether and US Dollar Coins are stablecoins. That means they are backed by fiat currencies – in this case, the US Dollar. In theory, the value of 1 USDT and 1 USDC should always equal 1 USD making it much more consistent than other cryptocurrencies in terms of price action.
Now, some may ask why they want to waste a portion of their portfolio on holding fiat-backed stablecoins when they could be making 5,000% on something like Solana. That’s a good question. However, as we all know, prices don’t only go up. Crypto is volatile, evidenced by extreme highs and lows. Of course, it’s good to have some portion of your portfolio dedicated to these riskier assets for potentially higher profit. But it’s also good to hedge against volatility with stable assets like USDT or USDC.
Furthermore, you can even earn a yield on USDT or USDC with YouHodler’s yield accounts. Our rates are up to 12% APR plus compounding interest, giving you yet another reason to hold stablecoins in your portfolio.
Cardano (ADA): Proof-of-stake for the environment
Cardano is not without controversy. Many claim it’s a “ghost chain” with a lot of talk and nothing to show for it. While you can’t deny Cardano was a little late to the crypto industry, they are starting to make up for the lost time.
Cardano was one of the first blockchains to effectively utilize proof-of-stake validation. This decreases transaction time and energy usage, making it far more environmentally friendly than Bitcoin. Like Ethereum, Cardano does also utilize smart contracts and enables dApp development. While its collection of dApps is very small compared to Ethereum and Solana, Cardano’s fundamentals are strong.
If the team can stay on track to complete some big goals in 2022, this boards well for ADA’s price in the short term.
Dogecoin (DOGE): The meme coin that wants to be taken seriously
Yes, we are seriously including this on our list. Dogecoin may have started as a 2013 meme, but it is now one of the most popular cryptocurrencies in the world. This is in large part due to its local community and support from celebrities like Elon Musk. Musk has taken the initiative to improve Dogecoin, claiming it has superior functionality as a transactional currency compared to Bitcoin.
From 2017 to 2022, Dogecoin saw a 40,000% increase. It’s hard to say if we’ll ever see anything like that again from DOGE but it remains in the conversation as of 2022.
Crypto Watch: How to buy top cryptocurrencies in 2022
So now that your crypto watch list is filled with some great names for 2022, how do you buy them? Fortunately, YouHodler makes it easy. We have all of the above on our platform right now. Just waiting to be bought.
Simply click the button below to sign in or sign up. Then, start buying crypto while the market is ripe.