Are you planning on investing in cryptocurrencies this year? With more than 5000 cryptocurrencies out there, choosing which is the best cryptocurrencies to invest in is no easy task I tell you. But there should be no worries at all, we’ve put together a list of the top cryptocurrencies to invest in 2020.
Before we take a closer look at the best cryptocurrencies in 2020, let’s make sure you are aware of the reasons to invest in cryptocurrencies.
Why Should You Invest In Cryptocurrencies?
A whole number of people will argue that cryptocurrencies are the future of finance. While that future might be years away, it’s certainly not a crazy statement to utter in public.
Digital currencies offer multiple advantages compared to traditional fiat money, such as lower fees, transparency and transaction speed.
When looking at cryptocurrencies from an investor’s perspective and wonder “why should I invest in cryptocurrencies?”, there are mainly 5 reasons to consider:
- Fractional investment reduces the minimum investment barriers so that nearly everyone out there can purchase cryptocurrencies.
- Cryptocurrency exchanges are open 24/7 so that you trade, buy and cash out your assets anytime.
- The blockchain records all transactions, available to everyone around the world. This provides an ultimate level of transparency for investors.
- The large number of cryptocurrencies out there enables you to easily diversify your portfolio in order to mitigate risks.
- Digital currencies offer lower fees compared to traditional investments assets.
Which Cryptocurrency To Invest In?
Now that you understand the benefits of investing in cryptocurrencies, check out the list of the best cryptocurrencies to invest in 2020. This list is based on the potential of these cryptocurrencies to show sustainable growth in the months ahead.
Disclaimer: the following list does not include Crypterium’s token CRPT. While the price of CRPT has increased nearly 70% in 2019, legal reasons prevent us from advertising its purchase.
The list of best cryptocurrencies to invest in cannot start with a different cryptocurrency than Bitcoin — the world’s most popular cryptocurrency. In fact, the popularity of this digital currency is one of its biggest advantages against other players in the market.
As long as Bitcoin continues to dominate the cryptocurrency market, investors will always benefit from high liquidity levels. Even during periods of market uncertainty. Over the years, Bitcoin has shown a volatile yet consistent growth.
With the bitcoin also around the corner, the community expects Bitcoin to soon approach new historical peaks.
Ripple (XRP) – Best Affordable Cryptocurrency To Invest In
Third cryptocurrency by market capitalization but second in our ranking, Ripple (XRP) is among the most promising investments in this list. It’s solid technology and network are rapidly opening new opportunities in the field of international commerce, banking and payment networks.
Remittance giant MoneyGram has received over $11 million from Ripple in 2019 to use its blockchain technology for payment solutions. “MoneyGram continued to expand its strategic partnership with Ripple as the first money transfer company to scale the use of blockchain capabilities,” the company wrote in a press release.
MoneyGram heavily relies on Ripple’s On-Demand Liquidity, a product that runs on XRP. Institutional interest is a key factor behind the bullish XRP 2020 forecast.
In February 2020, European money transfer service Azimo announced it will also start using Ripple’s On-Demand Liquidity to increase the speed of customer transfers.
The list of companies using Ripple services goes on and on. Experts believe 2020 will result in a higher adoption of XRP and therefore its price will increase significantly.
Litecoin is another cryptocurrency that you shouldn’t ignore in 2020. LTC is one of the fastest and most affordable cryptocurrencies when it comes to payments. Its technology-forward profile has put this cryptocurrency on the third place by market capitalization.
Compared to Bitcoin and Ethereum, the only currencies above Litecoin, this cryptocurrency offers huge potential at much more affordable price level. Each LTC unit currently trades for less than $100, which gives a wider number of investors the opportunity to jump in.
In a similar way than Ripple, the price of Litecoin also largely depends on adoption. Hopefully for its supporters, the coin seems to be already on a great path. Litecoin has recently confirmed it will be integrated to regular ATMs in South Korea through a partnership with MeconCash.
Ethereum needs no introduction. Bitcoin might be the most popular cryptocurrency, but no one can deny Ethereum is by far the most influential one. The reason is simple: the Ethereum blockchain enables thousands of projects to develop on top of it.
Standing a little over $200, Ethereum remains a very accessible investment for those starting off in the cryptocurrency space. The strength of this currency is closely related to the strength of its network. The more decentralized applications and ecosystems relying on the Ethereum network, the more powerful ETH tokens will become. While it’s unlikely that Ethereum matches Bitcoin’s price, analysts still see huge potentials for this cryptocurrency in the months ahead.
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The cryptocurrency world remains a pretty small one. There are only a few names that truly ring a bell, and Da Hongei is certainly among them. He is the mind behind NEO — an open-source, community driven platform that leverages blockchain technology to optimize the digital economy.