The financial markets have been under immense pressure with the inflation fears looming large. As a result, all the asset classes, including crypto, have been facing the heat, with Bitcoin falling more than 70% in the last six-seven months. Moreover, the crypto world has gained massive popularity among investors. Thus, they have been looking for opportunities to invest in altcoins that could surge with Bitcoin in the coming days.
Ethereum is second in terms of market capitalization, next only to Bitcoin. It is an open-source, decentralized blockchain with a smart contract functionality. However, the Ethereum price slumped more than 75% to a recent low of below $1000, in line with the Bitcoin price, driven by rising interest rates, inflation, and recession fears.
It is worth mentioning that Ethereum has transitioned its consensus algorithm to proof-of-stake(PoS) from proof-of-work (PoW) in December 2020, enabling the network to run with lesser energy and enhanced transaction speed, making way for a deflationary environment. Hence, it seems to be worth investing in at the lower levels, considering its real-world application and PoS paving the way for an eco-friendly project.
Solana is a web-based, highly efficient blockchain that provides secure and fast scalable decentralized apps. Unfortunately, it has also suffered due to the crypto bear market. As a result, its price has fallen more than 90% to a recent low of around $25. However, once the economic factors improve, popular crypto coins, including Solana, will surely rise due to the enhanced potential to support 65,000 transactions a second with minor gas fees and the PoS method making it less harmful.
Polkadot deserves special consideration due to its seamless ability to connect heterogeneous blockchain networks. In addition, its relay chain is much more scalable, processing 1000 transactions per second. It was launched in May 2020 and has since established its place among other cryptocurrencies. Though its price has also fallen from $55 to $7 in the recent crypto fall, it is one of the altcoins that seems promising and would surge once the Bitcoin price rises as the developers jump in to use its new innovative technology which links blockchains to the Polkadot network or create new blockchains with the shared security feature.
Cardano is an open-source, decentralized public blockchain with smart contract functionality. Its price touched a low of around $0.385 in May 2022 and has established support around the $ 0.45 -0.50 zone. As the economic scenario improves, things could change for this altcoin in the future with the improvement of crypto market sentiment as well, and its value could surge in the coming years. Its peer-reviewed team network, eco-friendly blockchain systems, and faster transaction processing power make it stand out among others.
Binance coin was launched by one of the largest crypto trading platforms, Binance. It was created in 2017 as a utility token facilitating discounted trading fees. With time, it has expanded to various other applications such as travel bookings, online and financial services, and transaction fee payments on the Binance chain. Unfortunately, its value has also recently fallen around 70% to $200. Nevertheless, the price has massive support around the $185-200 zone area, and its price could surge when macroeconomic factors tend to improve. High trading volume in Binance, reduced fees, and the increasing role of the BNB chain in several Defi projects are the factors that can contribute to this altcoin’s rise.
Dogecoin is considered the first meme coin as Billy Markus and Jackson Palmer created it as a joke to make fun of wild crypto speculations. However, huge support from community investors is its main advantage. Besides that, companies like Kronos, Dallas Mavericks, and SpaceX rely on it in various ways. Therefore, its value may surge in the future with the Bitcoin price increasing.
Ripple has gained popularity due to its ability to facilitate currency exchanges of various types, including fiat and major cryptocurrencies. It is a remittance network created by U.S. tech company Ripple Labs Inc. whch can process transactions at a low cost with minimum energy and within a few seconds. As a result, it solves real-world problems for large financial entities and improves the capital flow in the economy. Thus, its wider acceptability can increase its value with the coming market uptrend.
Shiba Inu has the advanced security features of Ethereum and operates as a decentralized ecosystem. It is intentionally abundant with one quadrillion total supply. As a result, it has gained popularity among investors. The ecosystem supports decentralized exchange, Shibaswap, and the NFT art incubator. This altcoin can likely rise in the future with ambitious projects around the corner like Shibarium, a Layer 2 blockchain project aimed at low-cost and fast transactions.
It is the popular altcoin related to the Metaverse. It uses 3D virtual world based on the Ethereum blockchain. It enables users to have real ownership over their virtual assets. Its price touched an all-time high of around $5.92 in November 2021 and has been falling since then. It has been trading below $1 and could surge in the coming days when the crypto market makes an upside turn as it seems to be the gamers’ first choice in the decentralized ecosystem.
Tether is a stablecoin hosted on Bitcoin and Ethereum blockchains, among others. It is blockchain-based and is pegged to the U.S. dollar. Therefore, USD Tether can be a safe haven for investors during the bear markets as they can exit their positions in Bitcoin without having to convert it into fiat currency, so it is not an investment, but a store of value for investors who are planning to reinvest in cryptocurrencies which will help them save on transfer fees and be ready to trade instantly.
The recent crypto bear market has engulfed all the cryptocurrencies. As a result, the prices of many have slid down more than 60-70 percent from their highs. However, the bear market also provides an opportunity for investors to look for quality altcoins and invest after proper due diligence.