Top 5 Best Cryptocurrencies To Invest In 2020
The beginning of this year was marked by a coronavirus pandemic around the world. The overall situation has left a big mark on the economy in many countries, many companies have closed, and many people have lost their jobs. And in the world of cryptocurrency, it is the same.
In February 2020, there was an unprecedented decline in the value of gold and cryptocurrencies. However, gold recovered very quickly and reached its highest value so far, while cryptocurrencies still have a 30% lower value than they had before the pandemic was declared. Despite this, we are witnessing cryptocurrencies rising like a phoenix from the ashes. Moreover, many predict that this will be the year of crypto investments. If we look at the statistics, we will notice that, after a sharp drop in February 2020, the value of cryptocurrencies has been constantly growing.
Before we decide to invest in any of the cryptocurrencies, it is important to have a clear plan on how to achieve the desired goal. We mostly mean on beginners and those for whom this is an additional source of income and do not want to sacrifice time planned for the family. Everyone needs help at the beginning, and some find it in brokers, but there are still a large number of those who decide to buy software that will completely take over all the work. Tests have shown that software, using artificial intelligence, notices changes in the market faster. Software like TheNewSpy will react 0.03 seconds before the fastest trader, which will bring you a great advantage and chance for earning. There are many other advantages of using it – you can withdraw your money whenever you want, it can be applied on any device, the initial deposit is only $ 250, and so on.
There are over 5,000 types of currencies in the world, and choosing the right one is not always an easy task. Therefore, to make the choice easier for yourself, it is important to consider a few things.
- Liquidity level – In simple words, as the higher it is, the faster cryptocurrency can be sold. Cryptocurrencies such as Bitcoin, Ethereum, and Ripple, have a high liquidity rate. The advantage of crypto trading is it works 24/7, so you can trade, buy, and sell whenever you want.
- Diversification – many investors lose their investments due to not diversifying their investment portfolio. This will mitigate risks.
- Transparency – we already know that the blockchain records all transactions and provides transparent information to investors
- Amount- the lowest investment value is available to everyone and is about $ 250.
Among the many cryptocurrencies, we bring you a list of the most popular.
1. Bitcoin (BTC)
When we say cryptocurrency, the first association is Bitcoin. Of course, with a good reason. Since its creation, the currency has been growing almost constantly. If we go back to 2009, when it was released, its value was almost zero ($ 0.003). Today, 1 bitcoin is worth $ 18,914.43. Amazing, isn’t it? This currency was created by a group of people hiding under the pseudonym Satoshi Nakamoto. With Bitcoin, you can do almost anything, as with ordinary money. The only difference is that cryptocurrencies are not printed, but are in digital form and that there is no central authority – it is decentralized. However, if you need to pay for a vacation, tuition for your child, a plane ticket, or even pay for dinner at a luxury restaurant, know that you can do all that and much more with this digital money. As for the investments themselves, they invest equally in trading and mining, depending on what you, as a customer, are more inclined to do.
2. Ethereum (ETH)
In our list of the most popular cryptocurrencies, Ethereum is near the top for a reason. Analysts claim that it lies precisely in this currency. Although it is still far lower in value than bitcoin ($ 381.88), many predict a bright future for it. Ethereum takes liquidity, just below Bitcoin, which means that you will have no difficulty selling or buying this currency. It is considered a smart investment for beginners. In the period when Ethereum was released, its price was $ 1-3. Shortly after it, it is stabilized at around $ 1. The reason for believing that it will remain stable and solid in the future is also confirmed by the fact that this currency has a loyal community. Ethereum is programable, which means developers can use it to develop new kinds of applications. This currency is considered to be one of the best to invest in mining.
3. Ripple (XRP)
It is useful for cheap transactions and many call it a “joker” because it can easily change any currency with a small commission. For those who are in search of smart investments below $ 1, this currency is a perfect choice. We can say that Ripple is a company that allows companies to make a direct transaction across state borders. The list of companies that use XRP services is growing day by day and it is predicted that its price will rise as a result.
This currency is often identified with Bitcoin and was created to complement silver with Bitcoin gold. Litecoin is a peer-to-peer currency that uses two encryption techniques to regulate the generation of Litecoin units and verify fund transfers. Although it is similar to Bitcoin in many ways, it differs in that it provides fast confirmation, uses a different hashtag algorithm, and will put four times more currency units into circulation than the Bitcoin network can.
This currency is known as the Chinese Ethereum and is focused on a decentralized blockchain. It is predicted that this currency will take the lead in the Asian market. The advantage of this currency over others is that if you invest in NEO, you get GAS. You can earn about 0.03411 gas per year by keeping 100 NEOs in your crypto wallet. NEO is a highly liquid asset, which is confirmed by the fact that it is among the top 20 on CoinMarketCup.