The crypto market is undoubtedly a volatile one. This is attributed to the volume and speed at which crypto can lose value unexpectedly. So while the potential to make money from crypto exists, the risk of losing all one’s money investing in crypto is high. Very high. Saying that some cryptos have been singled out for their potential in 2024. Let’s discuss.
Cryptos said to explode in 2024
Well, according to Forbes, 6 of the top cryptocurrencies to pay attention to this coming year include:
No 1 Bitcoin (BTC)
Introduced in 2009, Bitcoin is arguably the most infamous cryptocurrency in the world. With a market capitalization of just over $839 billion, Bitcoin is also the most valuable cryptocurrency globally. This virtual currency is created, distributed, traded, and stored on the blockchain. Two primary ways to purchase BTC are via Bitcoin wallet apps and cryptocurrency centralized exchanges (CEXs) that accept fiat currencies.
Notably, Yahoo Finance reports that “Bitcoin has been the standout crypto performer of 2023. Up more than 150% for the year, Bitcoin has completely reenergized the crypto market. With Bitcoin currently trading around $42,000, some investors are even speculating that Bitcoin could soar past the $100,000 mark next year.”
No 2 Ethereum Crypto (ETH)
With a market capitalization of $236.7 billion, Ethereum retains a top spot in the world of cryptocurrencies. Launched in 2015, today Ethereum has a circulating supply of 120.19 million, remaining a global favorite among crypto enthusiasts. According to this Forbes article, “Even if Ethereum is trading at one or two thousand dollars, analysts at VanEck use estimates of total ETH network revenue to make long-term price predictions. They forecast ETH network revenue to climb from $2.6 billion today to roughly $51 billion by 2030.”
No 3 Solana (SOL)
Solana has become a dominant global competitor in the cryptocurrency space, so much so in fact that in 2023, Solana is said to be 630%. The cryptocurrency is said to rival Ethereum by way of volume of transactions per second and lower transaction fees. Additionally, some have even gone so far as to make the case that Solana is “faster and more effective than Ethereum, with the implication that it may overtake Ethereum in the future” (Yahoo Finance). While the two cryptocurrencies continue to compete, they do possess commonalities. This includes smart contract capabilities and the use of a proof-of-stake consensus mechanism. The market capitalization of Solana sits at a resounding $31.6 billion.
No 4 Ripple (XRP)
Ripple is a blockchain-based digital payment network and protocol with a market capitalization of just under $33 billion. It has its cryptocurrency called XRP. Ripple seeks to accommodate secure, instant global transactions or transfer of money in any form, be this dollars, yen, euro, etc. It also uses XRP to facilitate fast currency conversions. Ripple considers itself a global payments network with banks and financial institutions among its clients. It can also process 1.5k transactions every second, which means greater scalability as compared to other cryptos, according to Forbes.
Interestingly, Yahoo Finance reports that Ripple has joined other “major industry firms and individuals, including Coinbase CEO Brian Armstrong, Tyler and Cameron Winklevoss, Circle, Coinbase, Kraken, Messari, and Andreessen Horowitz (a16z), have contributed $78 million to a substantial “war chest” to back candidates who advocate for American crypto and blockchain innovation, as well as responsible regulation, in the upcoming 2024 elections.” The article goes on to state that “Ripple CEO Brad Garlinghouse took to X to express his disapproval of regulatory overreach in the United States and emphasized that Ripple, along with other industry leaders, will “lead the charge” in supporting “pro-crypto” candidates during the 2024 United States election season.”
No 5 Cardano (ADA)
Cardano is a decentralized proof-of-stake blockchain founded in 2015 and launched in 2017 as a 3rd generation alternative to Ethereum. It is generally used to create dApps based on smart contracts. Its cryptocurrency is called ADA. A December 14th article by Coindesk states that “The total value locked (TVL) of all Cardano-based tokens jumped to over $440 million late earlier this week, crossing the previous peak of $330 million set in April.” The market capitalization of Cardano is currently at $20.422 billion.
No 6 Toncoin
According to TON.org, TON is described as a decentralized and open internet platform made up of different components including TON Blockchain, TON DNS, TON Storage, and TON Sites. Toncoin is TON’s native cryptocurrency which is used for transactions, network operations, games, or collectibles built on TON (The Open Network). According to TON, “On 31 October, the TON Blockchain set the world record as the fastest and most scalable blockchain.
Thanks to its unique architecture allowing infinite scaling to process millions of transactions per second from billions of users, TON sets the standard for the ultimate Web3 infrastructure. During the livestream hosted by the TON Foundation and audited by Certik, the TON Blockchain set a world record by achieving 104,715 transactions per second.”
Toncoin has a market capitalization of $1.535 billion. The cryptocurrency is said to have achieved steady growth throughout 2023, rising 12.5% from January through to November.
What makes digital currencies so appealing?
There are many reasons that traders will choose to invest in cryptocurrencies. Let’s explore some of the more popular ones:
- Transactions are typically executed more quickly and easily using digital currencies. This may be attributed to the fact that they are decentralised thereby removing the need for intermediaries.
- Cryptocurrencies are usually more accessible than traditional investments, and with internet connectivity permitting, practically anyone can participate in the cryptocurrency market. This means those persons living or working in areas that lack reliable banking infrastructures can use cryptocurrencies for financial transactions.
- While cryptocurrency trading is significantly volatile and may incur high capital losses due to unanticipated drops in values, they do offer a way for a trader to diversify their trading portfolio. Saying that adopting a proper risk management plan to safeguard one’s funds is incredibly vital. This plan should incorporate proper risk management tools, as well as align with the trader’s overall trading objectives, budget, and risk tolerance.
- Blockchain technology is considered incredibly secure because of its use of consensus, cryptography, and decentralization. Measures are taken to reduce the risk of fraud, identity theft, and hacking.
- Digital currencies may offer a way to hedge against market volatilities that occur as a result of inflation, currency devaluation, etc.
Why become a T4Trade crypto trader?
T4Trade is a leading broker that offers global traders access to 300+ financial instruments across 6 asset classes. This includes stocks, forex, futures, metals, commodities, and indices. Traders can also enjoy competitive spreads, flexible leverage, quick withdrawals and deposits, and fast execution of trades. The T4Trade MT4 trading platform provides traders with a flexible, user-friendly trading environment, packed to the brim with useful tools and functionalities, to optimize their trades, and increase the potential for maximizing profits.
The T4Trade Academy also provides traders with a wealth of trading-related educational resources covering a variety of different topics such as CFD trading fundamentals, key forex terms, tips, strategies, and insights. This includes e-books, blogs, videos-on-demand, podcasts, seminars, and even Live TV. An experienced, multilingual customer support team is also on hand to provide expert guidance on many of the most popular challenges that traders are faced with.
Disklaimer: This material is for general informational and educational purposes only and should not be considered investment advice or an investment recommendation. T4Trade is not responsible for any data provided by third parties referenced or hyperlinked in this communication.
