At its peak, a single Bitcoin was worth more than $62,000! It was less than 10 years ago that you could buy a Bitcoin for less than $100. This is the incredible kind of growth that has made cryptocurrency investing so famous and made so many people millionaires and billionaires.
This is the kind of success that has led many people to ask what the best crypto to invest in is. There are a lot of schools of thought with regard to this question.
However, understanding a little bit more about why people favor certain coins over others can help you maximize the chance that you make a profitable investment.
So which crypto is the best option for you to invest in? Read on to learn all about the coins with the best chance of growing!
Bitcoin Investing May Be the Safest
You don’t have to ask for many investment tips before people start telling you to invest in Bitcoin. When it comes to blockchain assets, Bitcoin has the biggest success story in history. On top of that, Bitcoin enjoys something called a network effect.
A currency is only useful if people are willing to accept it in exchange for goods and services. The more people use a cryptocurrency, the more people there are who are willing to accept it as payment for these things.
More people use Bitcoin than any other cryptocurrency. As a result, investors who believe in network effects tend to invest in Bitcoin. That is what has helped keep Bitcoin on top despite having thousands of competitors. You can go here to find Bitcoin ATMs.
Invest in the Biggest Smart Contract Coin
The second-largest cryptocurrency in the world is Ethereum. Although it has not toppled Bitcoin, it has beaten every other competitor in the market. One of the biggest reasons this crypto is so successful is that it provides people with the opportunity to create NFTs and smart contracts.
Smart contracts have the amazing ability to enforce themselves without requiring any outside enforcement mechanism. Many people think that they will replace almost all contracts in the future. If they are right, then Ethereum might be the best crypto to invest in!
Invest in an Efficient Cryptocurrency
For a while, Cardano was the third-largest cryptocurrency in the world. In many ways, Cardano is like Ethereum and lets you make smart contracts. Although not as many people use Cardano, it is much more efficient than Ethereum.
Some people think that even if smart contracts are the way of the future, it is too expensive to create them on Ethereum. Cardano allows people to create smart contracts for much smaller fees.
Understand the Best Crypto to Invest In
If you have ever wondered what the best crypto to invest in is, we hope that this article has been educational. Although no one knows exactly which crypto coin will succeed the most in the future, the right analysis can help you maximize your chances of a profitable investment.
To learn more about the latest information in cryptocurrency, finance, and more, take a look at our other articles!
About the Author/s
The New Jersey Digest is a new jersey magazine that has chronicled daily life in the Garden State for over 10 years.