Cyrptocurrency, the digital asset designed to work as a medium of exchange wherein individual coin ownership records are stored in a digital ledger or computerized database. We’ve all heard of it and to an extent the coin that started it all, Bitcoin! With the Bitcoin halving happening in a few days, there’s renewed interest in the Cryptocurrency space. The question that many people will likely have is how to buy bitcoin, what are the top cryptocurrency out there, or to an extent what cryptocurrency should they invest in?
I had a tough time with this myself. There’s over 4000 Cryptocurrency out there right now, and a lot of them are bad. So how do you decide which cryptocurrency to invest for the future? How do you determine the possible value of a digital asset and whether that value will grow over time? I mean right now, we’re in the stage of pure speculation. When you invest in Bitcoin, Ethereum, or any other altcoin, you’re basically speculating on its value in the future. It could go up, or it could come crashing down in a matter of minutes.
In my opinion, and please take this with a grain of salt as this is not financial advice and your capital is at risk, the best way to pick a cryptocurrency is to look at its market cap and assess its potential to solve a problem that is currently present. You see, right now there are no top 10 Cryptocurrency right now. No one knows what cryptocurrency is the top, the best, or will likely to see next week. When I was researching this myself, I quickly realized that most of these lists were based on bias and preferences. These lists held the view of the person who thinks these cryptocurrencies are going to dominate the world in the future. Every list had the usual Bitcoin and Ethereum, but after that, the list varied greatly. And oftentimes is based on popularity rather than fundamentals.
You can’t solely trust these lists is what I’m saying when it comes to choosing which altcoin to invest in, that why you won’t see any in this blog. Your best bet to make a decisive decision is to take a look at the top 20 popular cryptocurrency in the discussion right now and asses them one by one to determine which one you believe will solve the problems of today and possible tomorrow! Look, I know Bitcoin and cryptocurrency itself has a reputation of “get rich quick“, but cryptocurrency itself has the potential to solve a lot of problems that we see with FIAT! Try to look at cryptocurrency as a long-term investment and not a short-term trade. Once again, just my opinion.
Full disclosure, I personally own some cryptocurrency myself as I truly believe in the technology. It will change the world and the way we view and use money. I just wanted to write this for anyone who might be lost or doesn’t know how to asses the value of these coins. Do your due diligent research!