What is the best crypto to buy now? Our top 3 picks
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The cryptosphere is experiencing renewed optimism, with market watch Bitcoin breaking past the $25,000 mark for the first time in nearly six months. While it still has a lot of ground to make up to reach the highs reached in November 2021, its recent performance has been incredibly encouraging. Therefore, many investors will want to stock up on the best cryptos to buy ahead of a sustained bull run.
Bitcoin’s recent rise is a breath of fresh air for digital asset investors. In addition to the structural headwind weighing on the sector, specific events such as FTX debacle and the collapse of TerraUSD (USTC-USD) added more fuel to the fire. Experts believed that it would take years for the market to recover from its current situation, but Bitcoin and its peers have shown tremendous strength in a relatively short time.
Bitcoin (BTC-USD)
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Bitcoin (BTC-USD) shed tons of value last year, but are up over 30% since the start of the year. Following a cooler inflation report for January, BTC rose to $25,000 on February 19. Moreover, the positive indicator around the US manufacturing sector has revived investor confidence.
Furthermore, another was positive for BTC launch of the Ordinals protocol. The latest upgrade allows for the efficient transfer of multimedia objects on BTC’s blockchain. Consequently, network activity grew at a pace not witnessed since China banned crypto miners in May 2021.
Also our mate InvestorPlace contributor Josh Enomoto believes that BTC can mount a robust rally if it can reach the critical $30,000 level. In early 2021, BTC rose to $30,000 before making an emphatic comeback in the spring, reaching a record high in November.
Ethereum (ETH-USD)
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Many in the crypto expert would agree with that Ethereum (ETH-USD) has a much brighter future than BTC due to the laundry list of use cases. Like BTC and other cryptos, ETH lost billions in value last year. The pool of non-fungible tokens alone shed nearly 60% of its value, falling to $3.7 billion. Nonetheless, its long-term bullpen remains intact as it improves the quality of its network and adds new use cases. Also, ETH is up over 30% since the start of the year.
Most crypto purists favor ETH over other networks because of their grip on the decentralized finance space. It has an impressive 58.1% of the DeFi market, which continues to grow every year. Also, the much talked about 2.0 update went live last year, which is expected to improve ETH’s throughput by over 6500%. In addition, several upgrades and improvements are planned for ETH this year, which could be an important catalyst for ETH.
Cardano (ADA-USD)
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Cardano (ADA-USD) is another stand-out in the crypto world, with its robust protocol driving increased accessibility to its worldwide user base. Last year it beat the competition in terms of development activity with its methodical development framework supported by a dedicated team of developers.
Cardano recently passed 60 million blockchain transactions, a testament to the popularity of the platform. The underlying technology was given a huge boost in 2021 following the completion of the Alonzo hard fork, which enabled the deployment of smart contracts. Many experts believe that the update puts it on par with Ethereum in terms of smart contract functionality.
After the Alonzo hard fork, the platform implanted the Hydra update, potentially increasing transaction capacity by up to a factor of 100. With more updates planned to improve scalability and governance mechanisms, I expect ADA to be a potent force in the crypto space for the foreseeable future.
At the date of publication, Muslim Farooque 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.
