3 Penny Cryptocurrencies to Consider to Diversify Your Crypto Portfolio
A crypto portfolio is incomplete without it Bitcoin (BTC-USD) and Ethereum (ETH-USD). However, these are established stories in the cryptocurrency space and can be compared to blue-chip stocks. Big money in the next bull market will be made in penny cryptos comparable to growth or penny stocks.
As for the outlook for cryptocurrencies, the worst seems to be over. Bitcoin is up 32% year to date in 2023. I expect the bullish momentum to continue. It is worth noting that Bitcoin halving happens in 2024. The cryptocurrency tends to rise after the halving event. Furthermore, I expect the dollar to weaken in the coming years, which will be positive for cryptocurrencies.
Generally, a rally in Bitcoin is followed by a rise in altcoins. There are several attractive projects to consider in the altcoins area. It is therefore a good time to accumulate some penny cryptos for multibagger returns.
Let’s talk about three penny cryptos worth adding to your portfolio.
KuCoin (KCS)
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KuCoin (KCS-USD) has fallen 70% from its December 2021 highs of $28.8. KCS looks attractive among penny cryptos for multibagger returns.
As an overview, KuCoin is among the best crypto exchanges in the world. Assuming another bull market for cryptocurrencies, the exchange appears to benefit.
Currently, KuCoin claims to have 27 million global users, and the exchange has more than 750 listed tokens. With a diversified listing of altcoins, trading volume has been robust on the exchange. Besides spot and margin trading, KuCoin also provides investors with derivatives exposure.
It is also worth mentioning here that KuCoin has its own wallet which already has 10 million global users. The wallet allows users to store crypto and NFTs. At the same time, it allows the creation of a decentralized account for Web3.
KuCoin is targeting a daily trading volume of $30 billion and 50 million global users by the end of 2023. If this goal is reached, KCS is poised for a massive rally from current levels.
Zilliqa (ZIL)
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Zilliqa (ZIL-USD) has been a major underperformer, with a 90% correction from all-time highs. However, the project fundamentals remain strong and I expect ZIL to take off over the next 24 months.
Zilliqa describes itself as the world’s first sharding-based blockchain. In the process of sharding, transactions are divided into smaller groups, and this allows for parallel verification. This significantly reduces the transaction time. Furthermore, the transaction cost (native token transfer) is 227 times lower than Ethereum.
In terms of benefits for holding the coin, Zilliqa currently has an attractive APR of 13.25%. This makes investing with Zilliqa rewarding at a time when the coin is significantly undervalued.
Another reason to like Zilliqa is launch of metaverse services in 2022. With an expected growth in the augmented reality market, metaverse-as-a-service could be a potential game changer for the Zilliqa project.
InSure DeFi (SURE)
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InSure DeFi (SURE USD) is another name among penny cryptos that are ready for multibagger returns. The project claims to be the first DeFi, NFT and metaverse insurance ecosystem. With the crypto world witnessing an increasing number of frauds and stolen funds, the project seems critical to the ecosystem.
To elaborate on the utility, a user holding 10,000 SURE tokens has an insurance coverage of $2,000 from scammers, devaluation and stolen funds. Holds 500,000 tokens will provide insurance coverage of $140,000.
An important point to note is that as an increasing number of users hold SURE tokens for insurance, supply will be tight. This is likely to lead to a meaningful rally. Another advantage is that SURE tokens currently offers an APR of 24%. This is a bonus in addition to the insurance protection factor.
About Low-Cap, Low-Volume Cryptocurrencies: InvestorPlace does not regularly publish commentary on cryptocurrencies that have a market capitalization of less than $100 million or trade in volume less than $100,000 each day. That’s because these “penny cryptos” are often the playground of scammers and market manipulators. When we publish comments on a low-volume crypto that may be affected by our comments, we ask that InvestorPlace.com’s writers disclose this fact and warn readers of the risks.
Read more: How to avoid popular cryptocurrency scams
At the date of publication, Faisal Humayun did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the author, subject to the InvestorPlace.com Publishing Guidelines.
