2022 is about to come to an end. The following year will bring new challenges to crypto enthusiasts and those who find cryptos promising investment instruments. Now, it’s difficult to predict whether the crypto market will have a successful run throughout 2022 because this industry is too unstable. This is also the reason why many investors are reluctant to put their money into virtual assets. Nevertheless, the popularity of these financial instruments is growing faster than ever before. No financial products have performed such rapid growth. So obviously, despite your fear, you shouldn’t ignore this market.
Why will people continue investing in cryptocurrencies in 2023?
This year wasn’t the most successful for crypto investors. Many popular blockchains suffered severe technical issues, which caused a dramatic decrease in the prices of their coins. Even the biggest participants experienced extreme declines. Bitcoin, for example, lost more than 50% of its value.
On the other hand, such a crash in the market seems to be the best time to enter it. Analysts expect that at the beginning of 2023, the majority of cryptocurrencies will start recovering. This might bring great rewards to those who invest funds at low points. This is why people won’t stop investing in cryptocurrencies in 2023. Here are the most promising options to consider.
1. Bitcoin (BTC)
If you aren’t into this crypto stuff, Bitcoin will be the first word you will think of when you hear something about cryptocurrencies. This is the biggest and the most successful project on the market. Its market capitalization is about to reach $400 billion and this isn’t even half of its historical record. Bitcoin is definitely worth your attention, especially if you consider the fact that technical analyses predict it to recover its all-time high by 2025. Currently, BTC is available at an extremely low price of $19,402.
2. Ethereum (ETH)
There was a time when the Ethereum network was a real mainstream among developers. Today, there are a lot of quality alternatives but this blockchain does manage to remain on the top level. Ethereum was the first platform to introduce the technology of smart contracts. It also provided its users with the possibility to stake their crypto holdings for transaction validation and receive alluring rewards for this. As of today, Ethereum is available at the price of $1,500. Analysts expect it to surge after the launch of Ethereum 2.0, which is expected to happen in 2023.
3. Binance Coin (BNB)
If you think about investing in cryptocurrencies, you must know what Binance is. You should also be aware of its utility token, traded under the BNB symbol. This cryptocurrency holds the 4th position on the rating of coins by market capitalization. You can buy it for around $290 per coin.
4. Cardano (ADA)
Cardano is one of Ethereum killers. How do these cryptocurrencies compare to each other? You can read more about this by visiting the following link – https://primexbt.com/for-traders/solana-vs-ethereum/
Why is Cardano considered a big Ethereum killer? Because this is an open-source network that shows quite fast performance and processing of transactions. This makes the platform quite user-friendly and so, increases the circulation of its native coin. Currently, the supply of ADA exceeds $34 billion coins. It’s too early to say that Cardano is on the bullish run but the tendencies are quite positive – over the course of a week, ADA price grew from $0.35 to $0.40.
5. Dogecoin (DOGE)
This is the most controversial option on this list. The reason is that Dogecoin is a meme cryptocurrency, meaning it’s a highly-speculative asset. Besides, Dogecoin wasn’t initially designed as a project that would become a real financial product. Dogecoin was created to mock Bitcoin and all the hype around this. But eventually, Dogecoin gained quite a loyal community, which increased the price of the coin. Its price is too volatile to consider DOGE as a long-term investment. Nevertheless, in 2023, you might have a chance to benefit from often DOGE price fluctuations.
How to save money when investing in cryptocurrencies
Knowing promising cryptocurrencies isn’t enough to start investing. You should also know how to do this correctly in order not to lose all your funds. Here are the things you should avoid.
Don’t stake the amount you aren’t ready to lose
In general, all cryptocurrencies are very volatile. Of course, there are some coins backed by fiat currencies, which makes their prices more stable. Whatever cryptocurrency you choose to invest in, experts don’t recommend allocating more than 10% of your investment funds to cryptocurrencies. If you don’t invest in other financial products, make sure that the amount you stake in cryptocurrencies won’t be exceeding the amount you can afford to lose.
Don’t rely on untrusted intermediaries
Usually, people register on well-established cryptocurrency exchanges to buy digital coins. But if you want to invest in other products as well, it might be more convenient to buy cryptos through brokers. Take your time to check the safety and reliability of your broker.