Best Altcoins to Buy Right Now

The world started its exchange mechanism through barters, followed by a need for a defined currency, then we moved to digital exchange, and now we have cryptocurrency. From …

Altcoins

The world started its exchange mechanism through barters, followed by a need for a defined currency, then we moved to digital exchange, and now we have cryptocurrency.

From 2016 till the present, it has happened only once that the crypto market has experienced an overall significant dip. The Crypto market is now worth more than the top dozen largest banks of the world combined.

If you’re starting with your investments or looking to widen your portfolio, then altcoins can be your goldmine. If you’ve been searching the internet to find some of the best altcoins to invest in today’s market, then you’ve landed on the right spot.

This article will guide you through some of the best altcoins available in today’s market that are definitely worth your investments.

Altcoin image 2What are Altcoins?

When you hear the word cryptocurrency, the first thing that comes to your mind is Bitcoin. However, there are a lot of cryptocurrencies occupying a significant share in the market. All these other coins are called altcoins.

The term altcoin is derived from the culmination of ‘alternative’ and ‘coin.’ As the name suggests, they serve as an alternative to bitcoin for the entire cryptocurrency market.

As of November 2021, there are 14,000 registered cryptocurrencies in the market. However, Bitcoin and Ethereum alone make up 60% of the market share. Other Altcoins occupy the rest of the shares.

Bitcoin

Cost$16,219.62

The cost increased by-2.02%

Buy Bitcoin

Altcoins are derived from bitcoins. Therefore, they usually follow a similar trajectory as that of bitcoin. However, they differ from bitcoin in their blockchain mechanism and transaction validation.

By successfully differentiating themselves from bitcoin, altcoins have created a market for themselves. Potential investors see them as a prospective alternative to bitcoin. The current and future altcoin investors expect to garner profit as these coins gain more traction in the market.

Types of Altcoins

The world of altcoin is vast and complicated. Based on their consensus mechanism and functionalities, altcoins come in different varieties.

Some of the most prominent types of altcoins are as follows:

Mining-Based

Mining-based coins are mined into existence by different coders. Most of these coins are mined using POW, a method by which the system generates new coins by solving complicated problems to create blocks.

It is important to note that most top altcoins fall into this category. An alternative to mining-based coins can be pre-mined coins that are often a part of the Initial Coin Offering. These coins are not produced through complicated codes but are distributed before they are listed in the cryptocurrency market.

Examples of mining-based altcoins are Monero (XRP), Grin, and Metaverse.

Stablecoins

The one characteristic that people often associate with the crypto market is volatility. Stablecoins aim at countering this trait. They do this by pegging their value to a range of goods, just like fiat currencies and precious metals. The price range of these altcoins is not supposed to exceed a narrow limit.

A few examples of some prominent stablecoins are USD Coin, Tether’s USDT, MakerDAO‘s DAI.

Meme Coins

These coins are derived from a joke or a silly take on other cryptocurrencies. Meme coins are gaining popularity due to the rampant meme culture prevalent in today’s world. These coins are often used for tipping streamers and creators on platforms like Reddit.

Some of the famous meme coins are Dogecoin and Shiba Inu.

meme coins images 1Utility Tokens

Utility coins are used to purchase services within a network. They are used to redeem rewards and pay network fees on some platforms. Filecoin, which is used to purchase storage space on a network, is an excellent example of a utility token.

Filecoinminer is a pioneer of IPFS dedicated server rental service with highest quality and reliability. Their goal is to establish a decentralized storage market.

Security Tokens

These coins are just like the securities available in the stock market. They provide equity and a dividend payout to their owners. Most investors are drawn towards security tokens due to their prospect of price increment.

SolarStake and L’osteria are examples of this type of altcoins.

Top 5 Altcoins in the Current Market

Now that you know what altcoins are and the different types of altcoins, it’s time to narrow down on some of the best altcoins available in today’s market.

Let’s look at the top 5 altcoins based on the current market setup and their share in the current market.

Ethereum

Ethereum holds 20% of the total crypto market share, second to Bitcoin. The fact that separates Ethereum from other altcoins present in the market is its tremendous growth rate. From 2016 to 2022, its price has gone up from $11 to over $3,700, increasing by over 3,700%.

Program developers favor it due to its potential application, like so-called smart contracts that automatically execute when the conditions are met. Ethereum is also well on its way to becoming more energy-efficient than Bitcoin when it transfers from proof of work to proof of stake protocol. That will result in more efficient transaction validation.

Ethereum

Cost$1,172.92

The cost increased by-3.52%

Buy Ethereum

The fact that Ethereum is currently experiencing a dip in its average price also provides a ripe opportunity for investing your money in it.

The current market capitalization of Ethereum is over $447 Billion.

Solana (SOL)

Solana trumps ethereum and most other cryptocurrencies when it comes to transaction fees. Ethereum’s high transaction fees can take a toll on your finances, whereas Solana’s transaction fees are a tiny fraction of ETH fees.

Solana was built to be an elite financial platform that cuts out traditional middlemen and financial gatekeepers like banks, brokers, and centralized exchanges. Launched in 2020, Solana has a small but consistently growing market share.

Solana

Cost$13.33

The cost increased by-6.89%

Buy Solana

Its price currently ranges from anywhere between $138 – $142, almost 140% higher than its initial price of $1 in 2020. Its highest price ever of $250, recorded in August 2021, bears exhibit to its growth potential.

Solana currently has a market capitalization of over $52 Billion.

Binance Coin (BNB)

The Binance Coin is the exclusive cryptocurrency you can use to make transactions on Binance, one of the world’s major crypto exchange platforms. Since its beginning in 2017, Binance Coin has expanded its utility past facilitating trades on Binance. It can also be traded in exchange for other cryptos like Ethereum and Solana.

It started at a low price of $0.10 in 2017, but it is now priced at almost $520, a tremendously high growth. It is currently priced following a downtrend at $472, giving you all the more reason to chip in your funds by keeping the future prospects in mind.

Binance coin has a market capitalization of over $86 Billion.

Tether (USDT)

If you’re looking for some stability in your crypto investments, then Tether is just the perfect coin for you. Unlike most other cryptocurrencies, Tether is a stable coin that is supposed to be more consistent.

It is supported by fiat currencies like US Dollar and Euro and aims at keeping a value close to one of these denominations. It is currently priced at exactly $1, and most fluctuates within the small range of $1.0 – $1.4. Due to its stability, it is often favored by investors who are cautious of the volatility in other altcoins.

Tether has a market capitalization of over $78 Billion.

Cardano (ADA)

Last but not least, Cardano presents a solid case for being a part of your crypto investments in 2022. It is renowned for its early acceptance of the proof-of-stake validation. This method decreases transaction, energy usage, and environmental impact by removing the cumbersome aspect of transaction verification.

Just like Ehtereum, Cardano also works at eliminating financial intermediaries and gatekeepers. ADA, its native coin, powers it.

Cardano

Cost$0.306575

The cost increased by-3.62%

Buy Cardano

Cardano has had a relatively modest growth as compared to other altcoins. It started in 2017 with a price of $0.02, and its price as of Jan 3, 2022, was $1.34. A growth rate of 6,600%

Cardano has a market capitalization of over $44 Billion.

How to Buy Altcoins

Now that you know exactly what altcoins you need to buy, it’s time to figure out how actually to go about the exchange process. There are several quality cryptocurrency exchange programs that you choose to start your crypto investment journey.

Before we go around checking the different mediums available, it is crucial to understand the whole process of starting your investments in altcoins. Here is a prototype series of steps you need to follow to register with an exchange platform and start investing:

Choose a Broker or Crypto Exchange Platform

The first thing you need to start buying altcoins is to select a broker or a crypto exchange. Both of them enable you to buy crypto; however, there are some differences that should be kept in mind.

Cryptocurrency Exchange

It is a place where buyers and sellers meet each other to facilitate the exchange of cryptocurrencies. These exchanges have low transaction fees, but they have complicated charts that can intimidate you if you’re a new investor.

Some of the best cryptocurrency exchanges in the market include the likes of Gemini, Coinbase and Binance U.S. The simple interface of these exchange platforms is great for beginners as they offer user-friendly and easy purchase options.

Cryptocurrency Broker

A broker takes the complexity out of the whole process of buying and selling altcoins. Some may charge high transaction fees, whereas others may claim to be free. However, these free brokers might make money by selling information about you and other traders to big brokers.

Robinhood and SoFi are the most famous cryptocurrency brokers in the market. These brokers undoubtedly offer a great deal of convenience, but you might face restrictions on moving your altcoins from the platform.

Create an Account

Once you’ve decided on a crypto exchange or broker, you need to open an account. Depending upon your chosen broker, you’ll have to provide and verify certain information required to create an account. This verification is necessary to meet the federal and legal guidelines.

The verification process may take 1 to 3 days, depending upon your chosen broker or exchange.

Deposit Amount

After the account verification, the next step is to deposit the money that you’ll be using to buy altcoins in your account. You can deposit funds in your account by linking your bank account or using debit or credit cards.

 

Please Note: While the broker and exchanges allow you to deposit funds using credit cards, it is highly unadvisable to do so. The reason is that credit card companies register cryptocurrency purchases with a credit card as cash advances. It means that you’ll have to pay high-interest rates and cash advance fees on such transactions.

Place Your Order

This is when you decide which altcoin to buy.

Once you’ve made up the mind of buying an altcoin, you need to enter its ticker symbol. Most brokers and exchanges allow you the facility of buying fractional shares of an altcoin. Meaning, that you can buy a sliver of highly-priced coins like Ethereum and Solana.

Select a Storage Method

Cryptocurrencies are not backed by central security and are subject to the risk of theft and hacking. You can lose your funds if you forget the code to your account. Therefore, it is vital to have a secure storage method for your funds.

If you buy your altcoins from a broker, you have no control over storing your funds. However, if you buy your altcoins from an exchange, you may have specific options:

  • Leave the altcoins in the crypto wallet provided by your exchange
  • Use Hot Wallets that are connected to the internet
  • Use Cold Wallets that are not connected to the internet

Upsurge in Prices Observed for Altcoins

The Altcoin market has been observing a lot of surges and momentum in prices for the past couple of days. It started with Bitcoin, which went above $37,000, whereas BTC also went beyond the $38,000 resistance and then went down again. It is currently being traded near $38,000.

Altcoin images 1Source: Twitter

Similarly, other popular Altcoins like Ethereum, Binance, Solana, and Cardano also had their prices increased.

Ethereum Price Surge

This popular Altcoin started with a price surge of over the $2,700 level, significantly moving beyond the $2,800 resistance level. So, it rallied 8% and outshined BTC.

Market reports suggest that the subsequent key resistance is near the $2,880 level. Beyond this level, the prices may rise to $3,000, a significant increase.

Ethereum

Cost$1,172.92

The cost increased by-3.52%

Buy Ethereum

Price Increments in Other Altcoins

Cardano’s (ADA) price was traded between $1 and $1.12 for around two weeks inching towards a consolidation. Then, on February 5th, Cardano produced a swing high that went over $1.12.

At present, market analysts feel that the major hurdles in front of Cardano are at $1.20 and $1.24. There is another obstacle at $1.24, which is called the 50-day Simple Moving Average. It is expected that there might not be an upswing.

Here are other Altcoins that are also making the news.

Binance observed an increase beyond the $380 resistance level, where the next resistance is near $388. There might be a surge over the $388 level, which will test the $400 barrier. In addition, the Altcoin might again reach the $355 support.

Solana’s price increase started with moving beyond the $100 resistance level. It is being created at about $105, and the price is up by 8%. Solana has its next crucial resistance, around $112.

DODGE’s price is also increasing and getting closer to the $0.145 resistance. While the primary resistance is near $0.150, the $0.135 level is its main support. However, if its price goes beyond the main resistance level, it may surge beyond $0.168.

Dogecoin

Cost$0.095589

The cost increased by-1.44%

Buy Dogecoin

Final Words

With new investment methods coming in regularly, altcoin can be the super investment that provides you with exponential returns. The crypto market has been in ascendency for the last years and the coins mentioned in this article act as its torchbearers.

If you’re looking to find a new source of investment, then the altcoin market provides you with a happening and exciting option. With the advent of stable coins and security tokens, the altcoin market is even making up for the extreme volatility that might refrain you from investing in this market.

On top of everything, the current bearish market can just be the perfect catalyst that can make you look at altcoin investment as a long-term option.

All the benefits aside, it is vital to brief yourself with the terms and conditions of all the altcoins you’re planning to invest your money in.

It is time to diversify your portfolio with altcoins.

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