In 2017 Bitcoin, the most established player on the market, approached a valuation of $20,000 per coin at one point before settling in comfortably around $15,000. Many other tokens, including Ethereum and Litecoin, also set new highs in value.
2018 figures to be just as good if not better, as multiple promising coins are available for the crypto investor to choose from. If you missed out on the massive profits generated by cryptocurrency last year, you have one last, best chance to get in on the excitement.
Of course, your eagerness to invest in this dynamic space is probably juxtaposed against a lack of knowledge of where to begin. Fear not! The following analysis is based on the recent performance of cryptocurrencies and what we see as their future prospects. The result is an informative list of the top 5 cryptocurrencies for 2018!
All provided values are from CoinMarketCap.com as of January 4, 2018.
Ethereum is the world’s third largest digital currency by market capitalization, clocking in at $95,041,800,495. It’s currently trading at $982.14 per coin with the upside for much higher prices. The coin’s founder, Vitalik Buterin, is especially optimistic about the coin’s future prospects.
Ether (as Ethereum is often called) is yet to match Bitcoin’s success as an investment, but offers several advantages. First, it is one of the most accepted cryptocurrencies currently available. Second, its underlying blockchain is more advanced than Bitcoin’s, allowing for the development of “smart contracts” with the potential to revolutionize the business landscape.
Everything isn’t positive about this coin, however. The initial coin offering was poorly regulated, a fact that still leaves a bitter taste in the mouths of many investors. Still, Ethereum is among the most powerful players in crypto for a reason.
Litecoin was developed by Charlie Lee, an ex-Google employee, who continues to hold considerable sway in the cryptocurrency community. This coin is best described as the silver to Bitcoin’s gold, with the lower value per coin helping to establish it as more of a viable, everyday currency than its more expensive cousin. Litecoin is currently trading at $234.18 per coin for a market capitalization of $12,789,849,994.
The planned coin limit for Litecoin is 84 million, a considerably higher figure than Bitcoin’s planned circulation of 21 million. This helps keep its price down, ensuring an affordable entry point for investors. Additional information on Litecoin is available on a variety of social platforms, so all you need to do is follow the right people to keep up-to-date with this attractive offering.
Finally, IOTA was created by a dedicated team of mathematicians and crypto entrepreneurs. It has no trading fees, mining issues, or blockchain problems that commonly plague other offerings, helping it stand out in a crowded marketplace. It is currently valued at $4.13 per coin for a market capitalization of $11,480,182,747.
The main benefit of IOTA is in machine-to-machine transaction processing, where as few as two nodes can completely validate a transaction. This technology is called Tangle, and many investors see it as the future of the industry.
Monero is a privacy coin, meaning that it is virtually impossible to trace the sender, recipient, or amount of any transaction despite everything being listed on a public, blockchain ledger. It is currently trading at $393.15 per coin for a total market capitalization of $6,118,688,579.
Monero’s untrackable nature makes it appealing to cyber-criminals and hackers, inspiring many world governments to target the coin specifically for regulation. However, anti-crime measures are already underway in the crypto community, so this is not a long-term concern. The privacy offered by Monero is actually a good thing as it allows corporations and individuals who frequently do business in foreign markets to remain anonymous.
If you have heard of any cryptocurrency, it is probably Bitcoin. This token dominates the crypto market with a current value of $15,093.50 per coin and a market capitalization of $253,305,531,738. It shot up by over 1000 percent in 2017 alone and continues to defy the naysayers who compare it to a bubble waiting to burst.
Saying that Bitcoin figures to be among the top cryptocurrencies of 2018 is not controversial or original, but it’s hard to argue with these results. Bitcoin is even making inroads on traditional financial channels, with many banking institutions launching Bitcoin futures investing this year. It is also increasingly accepted by retailers, giving it viability as a currency as well as an investment instrument. The currency’s miners are getting a steady stream of Bitcoin into the marketplace, but demand continues to far outstrip supply.
Still, all of these benefits do not necessarily mean that this is the investment that is right for you. You should always perform your own comprehensive analysis before making an investment, especially one with as high a price of entry as Bitcoin currently has. Thankfully, Bitcoin discussions are all over the internet, so due diligence is easy to complete!
While there are many other intriguing coins on the marketplace, the five above are the ones that we see the most potential in for 2018. We like them over the longer term as well, but this fact was not pivotal in determining the above rankings. The cryptocurrency market as a whole is sure to continue to boom, so invest now to benefit from it!