Cryptocurrency trading came into inception in 2009 with Bitcoin being the first decentralized cryptocurrency.
Satoshi Nakamoto, a developer who goes by the moniker Satoshi Nakamoto, invented Bitcoin. Its proof-of-work technique made use of the SHA-256 cryptographic hash function, which is a kind of hash function. Interestingly, cryptocurrencies have grown in popularity over the last two years, with many individuals around the world now holding cryptocurrencies.
Since the launch of Bitcoin, there have been a plethora of other cryptocurrencies released into the cryptocurrency industry. Cryptocurrencies have increased in popularity to the point that they are now one of the most frequently searched keywords on the Google search engine.
Since the cryptocurrency market is so diverse, it may be difficult for prospective hodlers to pick which coins to buy. Bitcoin, Ethereum, Cardano, Solana, Ripple, Dogecoin, and a slew of other cryptocurrencies are among the most popular in the cryptoverse.
During the last two years, cryptocurrency prices have plummeted, with Bitcoin breaking the $68,000 barrier and the introduction of the first exchange-traded funds to provide investors with exposure to it, non-fungible tokens of bored apes have sold for utterly ridiculous sums of money, and decentralized autonomous organizations have sprung up.
Despite the fact that cryptocurrencies are among the most frequently searched terms on the Google search engine, many individuals are still unsure of what cryptocurrency actually means. In that case, let me give you a brief explanation of what cryptocurrencies are.
A cryptocurrency (sometimes known as a “crypto”) is a digital currency that may be used to purchase goods and services online, but which relies on an online ledger protected by strong encryption to ensure the security of online transactions. It’s worth remembering that not all cryptocurrencies are equal in value.
If you’ve been wondering about what cryptocurrencies to buy in 2022, waste no more time as this article will guide you on the 8 best cryptocurrencies to buy in 2022.
8 Best Cryptocurrencies to buy in 2022
The list below was well-curated to help guide you in making the right decision when it comes to crypto investing. Here are the 8 best cryptocurrencies to buy in 2022.
1. Bitcoin (Total Cryptocurrency Market Cap: $2,377,400,345,248)
Bitcoin is the most valuable cryptocurrency in terms of market capitalization, according to CoinMarketCap, and it is the top on my list.
Bitcoin is the most valuable cryptocurrency in terms of market capitalization, according to CoinMarketCap, and it is the top on my list. In contrast to government-issued currencies, Bitcoin is an electronic money that is not issued by a single organization and does not have its transactions processed by a single agency, as implied by its name.
Is it worthwhile to invest in Bitcoin?
The value of a $1,000 investment in Bitcoin a year ago is $1,886.36 now (Crypto Calculator Dec 27, 2021). The fact that bitcoin can be exchanged electronically, peer-to-peer, without the involvement of a centralized third party, is what gives it its value. However, in the near term, it exhibits wild swings in value, making it a good long-term investment.
During the last three months, Bitcoin’s long-term price activity has seen a climb from $23K to a high of $64K in April, then a low of $30K in May, then an even higher surge from $47K to a high of $69K followed by a regression of $49K for a net gain of almost 3%.
The announcement by Elon Musk that Tesla would purchase bitcoin and accept it for payments before later ceasing to do so, El Salvador becoming the first country in the world to recognize bitcoin as legal tender, the Chinese government banning financial institutions and minors from mining or owning Bitcoin, and the introduction of the first Bitcoin futures exchange-traded fund (ETF) are all noteworthy events from the past year.
The SEC’s approval of a Bitcoin spot ETF for trading in the United States, as well as the possible acceptance of Bitcoin as legal cash in more countries such as Paraguay and Panama, might be the most significant catalysts for bitcoin in 2022.
Increased tapering by the United States Federal Reserve to manage inflation while also increasing Bitcoin, in the long run, is a threat to bitcoin in 2022, according to the Federal Reserve.
This will have an impact on it in the short term, and there is also the possibility of future restrictions from China or other countries, as well as a significant decrease in Bitcoin supremacy as investors shift their assets to other cryptocurrencies in order to earn higher returns later in the cycle.
Despite the possibility of more crashes such as the one that occurred in May 2021, if the market overheats again, I believe Bitcoin will continue to rise in 2022 and reach a high of over 120k next year, representing a significant return. So, if you’re considering purchasing a cryptocurrency to hold as a long-term investment, you might want to consider purchasing Bitcoin, which is, in my opinion, a worthwhile purchase for a long-term investment.
In contrast to government-issued currencies, bitcoin is electronic money that is not issued by a single organization and does not have its transactions processed by a single agency, as implied by its name.
2. Ethereum (Total Cryptocurrency Market Cap: $483,858,577,570.70)
Ethereum is our second pick as the best 10 cryptocurrencies to buy in 2022. If you had invested $1,000 in Ethereum a year ago, you would have received $5,873.49 (Crypto Calculator Dec 27, 2021) as returns.
Ethereum is valuable because it enables a diverse variety of complicated financial and non-financial operations, such as lending and borrowing. Not only that, it accomplishes this through the use of smart contracts, which automatically carry out programmed activities when certain criteria are satisfied.
The more than 300% increase in the size of the decentralized finance market in 2021, along with the rise of non-fungible tokens and other decentralized applications, or dApps, pushed Ethereum to plan a transition switch from proof-of-work (PoW) validation, where mining computers ensure the integrity of the crypto, to the more energy-efficient proof-of-stake (PoS) model, and owners put up their tokens as collateral to validate the blockchain data.
Is buying Ethereum a good fit?
If you were buying a property, a smart contract would transfer ownership to you as soon as the seller received your payments. This eliminates the need for an expensive intermediary, such as a bank, to facilitate the transaction.
Except for a huge sell-off in May, Ethereum has climbed from $643 to nearly $4k in the last year. Ethereum has been one of the more steady cryptocurrencies this year, rising almost 17% in the last three months. The most important events for Ethereum in 2021 were its hard forks in Berlin and London, which stabilized fees and increased network speed.
Furthermore, it has the potential to be deflationary in the long run, as well as see a dramatic rise in user numbers due to the growing popularity of NFTs. Despite making significant progress this year, Ethereum delayed several enhancements for ETH 2.0; further delays might result in Ethereum being surpassed by quicker, cheaper alternatives.
I feel that $10k to $12k is a reasonable aim for Ethereum in 2022 since I believe that the one trillion dollar barrier will be a difficult resistance level for Ethereum this cycle.
3. Binance Coin (Total Cryptocurrency Market Cap: $91,177,766,480)
Binance (BNB) is a cryptocurrency that is used to trade on Binance, one of the major cryptocurrency exchanges in the world, as well as to pay for transaction and transaction fees. If you invested $1k a year ago, you’ll be getting $5,873.49
Trading, payment processing, and even arranging trip reservations are all possible with the coin since its inception in 2017. One of the top ten digital currencies that will govern the world in 2022 and beyond, is Binance.
Though When it comes to cryptocurrency exchanges, BNB and CRO are very similar in that they are both connected to Binance Exchange, which is by far the largest and most liquid of them all.
What makes Binance Coin unique?
Transaction fees, vacation bookings, and financial services, such as investing in stocks and exchange-traded funds, are now among the many applications for the Binance Coin, which has now been expanded to cover them.
In order to provide greater possibilities to developers and open up the possibility of smart contracts, the Binance Smart Chain (BSC) was created as a distinct yet parallel to the Binance Chain. Compared to other tokens, BNB has shown more consistent growth in 2021, with the most significant increases occurring in March and April of that year.
Following the disclosure by the Justice Department and the Internal Revenue Service of an investigation into alleged money laundering in May, the token’s value plummeted by half in two weeks.
4. Cardano (Total Cryptocurrency Market Cap $48.895B)
Cardano is an open-source blockchain similar to Ethereum, and it is currently the biggest cryptocurrency employing the proof-of-stake methodology.
If you had invested $1,000 in Cardano a year ago, you would now have $9,234.49 (Crypto Calculator Dec 27, 2021). Before a policy change that allowed smart contracts using the Plutus smart contract language and financial contracts using the Marlowe language, meant for nonprogrammers in the financial industry, Cardano saw its biggest growth in August.
The price of the ADA token has declined by more than half since its peak in early September, and it is currently trading in the same range as it was between February and July 2021.
Would Cardano out-perform Ethereum?
Cardano aspires to be more decentralized, quicker, and less expensive than Ethereum and Bitcoin. It bases its procedure on peer-reviewed studies. The primary difference between Cortana and Ethereum right now is that it is proof-of-stake, which means it employs a different technique to validate transactions, making them cheaper and faster.
Instead of utilizing GPUs to solve mathematical problems, proof-of-stake allows anybody to validate transactions based on how many coins they own. This is akin to putting the individuals who have the most money in the bank in charge of security because they stand to lose the most if it goes bad.
Cardano’s long-term price behaviour has witnessed a massive climb from 16 to over $3 in the last year. Cardano’s short-term price behaviour was negative earlier this year, plummeting over 50% from 2.40 to a low of 1.30 today. The implementation of Cardano’s Alonso update, which allows basic smart contracts to be written on the network, has been the greatest event for the cryptocurrency in the last three months.
Cardano is predicted to be able to handle more complicated smart contracts next year than other blockchains due to the acceptance of the Cardano blockchain in various African nations such as Ethiopia and the debut of ADA on major trading platforms such as Coinbase.
Similar to ethereum, further partnerships with African and South American countries are expected. Cardano’s biggest danger is the fact that essential features like the ERC20 token converter, which was supposed to be deployed in September, have been delayed. More delays might cause investors to look for alternatives if they lose faith that they will fulfil their deadline despite the delays.
Launches on the testnet, which are due to launch on the main net early next year, appear to be putting the pieces together for complete smart contracts. I believe that ADA has been oversold in recent months and that if these enhancements are implemented, the price of ADA will rise to about $5 – $7 as liquidity dries up and FOMO resumes.
5. Crypto.com Chain (Total Cryptocurrency Market Cap: $16,419,495,837)
Crypto.com coin, or CRO, is the native token of the Crypto.com chain, which is run by the same-named cryptocurrency exchange.
I’m sure you’ve heard of this currency because it’s risen over 300% in less than a month, but it’s essentially a controlled exchange where you can buy and sell crypto as well as to conduct a variety of other things. As a result, this may be compared to Coinbase or Binance. You might be wondering what makes Crypto.com currency so unique.
Crypto.com is unique in that they spend a lot of money on marketing, and I honestly believe they have a limitless marketing budget. They just acquired the rights to the name of the LA Lakers stadium, so instead of being known as Staples Center, it will now be known as Crypto.com Arena, and they spent about $700 million on it.
Not only that, but they let you have their advertisements appear on banners, YouTube ads, and Google ads, so anywhere you go, you can expect to see a crypto.com. Several other sponsorship deals, including those with the UFC, Formula One, and the Philadelphia 76ers, as well as the addition of Matt Damon as a brand ambassador, helped the token reach new heights in late November before plummeting.
They’re not only well-known, but they’re also at the forefront of everything that’s going on in the crypto world. Whenever there is a big crypto update trend, the crypto community is generally the first to report it.
When NFTs were popular, they quickly launched their own marketplace; if a meme currency became popular, they would list it and sell it on krypto.com. Whatever you can think of in the crypto world, Crypto.com is already doing it or plans to do it in the near future.
They’ve also recently entered the D5 space, so while Binance has their own smart chain, Crypto.com has Chronos, which is where all of their default transactions will take place. Crypto.com is at the forefront of everything that happens in the crypto world, which is one of the reasons why the price of bitcoin has risen so dramatically in the last month.
With all of these updates and who knows what new things they have in store for us this upcoming year, I wouldn’t be surprised if CRO coin passes $1 this year. Plus, with all of their marketing, people are always looking them up and searching for what it is, and with the new arena name in LA, we’ll be hearing more about Crypto.com.
6. Axie Infinity (Total Cryptocurrency Market Cap: $7,326,181,598)
Axe infinity, or AXS, is a coin that you may already be familiar with since a lot of people have been talking about it, or you may be absolutely unfamiliar with it.
Axie Infinity isn’t like most other cryptos in that it’s truly a game. A monster combat game, to be precise, in which you own these adorable little monsters known as Axes and use them to battle other players online for prizes that may be converted back to real money.
You may now make money with Axiomfinity in a variety of ways: you can compete in battles and win prizes, you can breed Axes and sell them on the marketplace, you can acquire rare Axes, you can harvest love potions, and so much more. The game is based on something we’ve undoubtedly all played as kids: Pokemon.
Are NFTs worth the hype?
It operates on the Ethereum network with the aid of Ronin, which is a side chain that helps reduce transaction costs and delays. You may also breed your Axes, allowing you to create more powerful teams and providing you with extra NFTs to employ in your team or sell on the market.
Some Axie NFTs have sold for over 300 Etherpiece, which is approximately $600K, indicating that there is obviously a demand for all of this. Take notice that you may utilize these Axes not just to play, but also to earn prizes. Each participant gets SLPs, or Small Love Potions, at the end of each match, which serve as the game’s experience points.
So, utilizing SLPs, players may breed their Axes to generate more, which they can then utilize in future battles or sell on the market for profit. The problem is that you’ll need three Axie NFTs to begin playing the game, and the most inexpensive Axes on the market right now are between $200 and $250, so a beginner squad would set you back roughly $700.
That’s more than a PS5 or an Xbox, but keep in mind that these Axes are investments that can be resold, and they also generate rewards throughout the game, so the initial cost will be a major deterrent for many players, but it’s a game that rewards players for the amount of time and effort they put in.
Axiom Phoenix currency is now trading at roughly $107, according to the price activity. The Axe infinity community has raised almost $450,000 for typhoon relief efforts in the Philippines, demonstrating how close the community is. They raised $450,000 through a game to aid humanitarian efforts in the Philippines. That says a lot about the neighbourhood.
If this game truly takes off, which it already has because a lot of people are playing it, its price may skyrocket. I mean, people make a career off of playing these games.
I’ve read articles where people in the Philippines are quitting their jobs or don’t even have jobs, but they’re able to make money by playing this game because they can withdraw whatever they earn and use it for their day-to-day lives, and I’m pretty sure this is the only coin and game that’s doing this at such a high level within the crypto space.
The most important thing is that you can make money by playing this game, and people will do anything for money, so now is the time to I believe that many people will get into this game or coin, causing the price of axiom infinity to increase.
7. Solana (Total Cryptocurrency Market Cap: $60,408,517,074)
Solana (SOL) has surged by 17,500% since its inception in 2021. As a result of its one-of-a-kind Proof of History idea, SOL has nothing to lose in the digital currency market.
Solana can compete with major cryptocurrencies like Bitcoin and Ethereum in the DeFi market due to its low transaction fees, robust ecosystem, and promising future in DeFi.
You would have $109,240 if you had put $1,000 in SOL a year ago. Solana claims that it is now the quickest blockchain in crypto, with transactions costing less than one penny.
Solana claims to be the fastest blockchain – How true?
This has resulted in a significant increase in the number of projects on its network, with over 400 on its layer one protocol in 2021. Solana has now achieved incredible speed by employing its Proof of History consensus process rather than competitors’ Proof of Work or Proof of Stake mechanisms.
Proof of History is presently the cheapest and quickest method available since it timestamps transactions and requires less energy. Overall, it’s a complex system that trades some decentralization in exchange for cheaper expenses and faster processing.
Solana’s longer-term price activity has been nothing short of stratospheric during the previous year, surging over 100x in the last three months. With a strong run, Solana has finished up practically precisely where it started. The eighth killer story, which led SOL’s price to rise from $40 in August to a high of nearly 250 just three months later, has been sandwiched between the largest narratives for Solana in 2021.
Due to the minimal costs, former first lady Melania Trump recently released her charity NFT collection on Solana. This is a trend that has been gaining traction in recent months as more celebrities and influencers choose Solana over Ethereum because of the low gas rates. Solana is one of the few cryptocurrencies that had significant price increases in 2021, largely due to its fundamentals, and it appears that this trend will continue into 2022.
Due to its extensive reliance on the Solana foundation, many people consider salaam to be the most centralized Layer 1. However, Solano will argue that, based on the Nakamoto coefficient, Solana is more decentralized than both Ethereum and Bitcoin.
However, if the SEC decides to pursue Solana, the stock’s price would be severely harmed in the immediate term. While Solana had a mediocre fourth quarter compared to other cryptocurrencies in the limelight, the network’s foundations continue to strengthen month after month as new projects are launched. In 2022, I anticipate Solana will hit a high of $1,000.
8. Avalanche (Total Cryptocurrency Market Cap: $28,396,956,769)
Avalanche, which offers faster smart contracts and has the most validators of any PoS protocol, is a promising alternative.
The capacity to scale while being safe and decentralized has been cited as a justification for the rising acceptance of blockchain technology by its supporters.
For every $1k you put into the stock a year ago, you would have $32,940 in today’s market value. During the last few months, Avalanche has seen an explosion in popularity as consumers seek quicker and more affordable alternatives to Ethereum’s growing gas prices, which have kept most ordinary investors out of the cryptocurrency market.
This is possible because Avalanche is a Proof-of-Stake blockchain that is compatible with the Ethereum virtual machine, which is used by software developers to construct DApps on the Ethereum blockchain.
Avalanche can handle 4500 transactions per second, but Ethereum can only process 15 transactions per second. This cryptocurrency has had an explosive surge over the past 12 months, rising from lows of roughly $3 to recent highs of more than $130. Layer one has been one of the few to post significant increases over the past several months, despite general market volatility, and it continues to exhibit strong price strength.
Avalanche is ready to take on the market
Recently, big investment rounds of $230 million from Polychain and Three Arrows Capital in September drew a lot of attention to the network. The revelation that Avalanche was forming its own $220 million funds to assist projects on the network also contributed to the network’s recent growth.
The possibility of Grayscale making a significant investment in Avalanche in 2022, as institutional interest in the platform continues to rise, is being discussed. If this occurs, you can be sure that the price of AVAX will benefit, as it has in the past following such announcements.
The most serious danger to Avalanche in 2022 is what will happen once the ETH 2.0 changes have been implemented, according to the company. Will this eliminate the requirement for solutions such as Avalanche? Alternatively, will the Avalanche network be sufficiently mature and have a distinct value proposition to offer?
However, while I anticipate that ETH 2.0 updates will reduce interest and Avalanche ETH 2.0 will not address all of its scaling difficulties, I believe that other blockchains and layer 2 scaling solutions will still be required. I also believe that the expansion of the avalanche ecosystem is projected to occur in 2022 as a result of the hundreds of millions of dollars in financing that will be made accessible.
Demand for the AVAX token will thus increase as a result, counteracting the fall in demand caused by the reduction in ETH gas taxes. In 2022, I believe the AVAX will hit a high of $350 to $400 per share.