Stories of Bitcoin millionaires and extreme price fluctuations make cryptocurrencies an intriguing asset for many. Numerous digital assets have followed after Bitcoin and gone from 0 to extremely high USD values relatively quickly. If you want to benefit from this and get rich with crypto, it would seem as if the key is entering early.
There are endless “what if” case studies in crypto. Perhaps the biggest one is something like, “What if I had bought Bitcoin in 2014?” The thing is that there are plenty of people who have made huge returns with other digital currencies as well.
Cryptocurrencies are a very volatile asset class. You should always remember that all investments come with risk, especially in crypto. But for people who are more accepting of risk in the pursuit of extraordinary returns, getting into specific cryptos early in their bull markets seems to be the way to go. To help with that, this article will cover:
- Price predictions for crypto in 2022
- The top cryptocurrencies to watch in 2022
- Potential winners going forward
- How to buy cryptocurrencies
Invest in over 30 cryptocurrencies from your checking account with no trading fees with the Current mobile app crypto feature.
Titan is an investment platform with a team of experts actively managing your portfolio based on your chosen strategy, including cryptocurrencies.
Alto IRA allows you to invest in stocks, bonds, mutual funds, ETFs, real estate, cryptocurrencies, and even gold for your retirement.
What Are the Predictions for Cryptocurrencies in 2022
Every recent year, including 2021, has been a very active and exciting year in crypto. Bitcoin and Ethereum, the two largest cryptocurrencies, both broke new record highs. It does not seem like anything will slow down in 2022.
Experts in the space still generally regard the crypto markets as being in a state of infancy. The market is young, and significant price increases are usually followed by big dips. It isn’t easy to make predictions for the coming years, but looking to the next few months, there are a few things to note.
Increased Regulation
In November 2021, the US President signed a $1.2 trillion bipartisan infrastructure bill. The bill included tax reporting provisions for cryptocurrency traders and investors. The result will be easier IRS tracking of Americans’ cryptocurrency activities.
Alongside this bill, attempts to bring crypto into the mainstream have been and will continue to be advanced. This means a few things for you:
- You should start more carefully recording your crypto transactions
- Your crypto assets’ prices should become more stable
This isn’t to say you should view cryptocurrencies as any less volatile at this point. The experts’ 5% portfolio allocation recommendation for crypto is still a recommended standard. However, as public confidence in crypto increases, the market should benefit from the increased trust. This may mean greater stability, including more stable price rises.
Crypto ETFs?
Exchange-traded funds (ETFs) have long been popular as a relatively reliable asset class for long-term passive (low-risk) growth. While Bitcoin ETFs will likely be quite different from their traditional counterparts, you can expect the result to be a boost in confidence and value for popular cryptos.
The first Bitcoin ETF entered the New York Stock Exchange in October 2021. This enabled investors to purchase Bitcoin in funds directly from the investment brokerages they are more familiar with.
These “crypto ETFs” also don’t reduce the inherent risks and volatility in cryptocurrency investing. However, they do give more conservative investors a more comfortable path into crypto investments. It’s a bit soon to make serious predictions, but greater access and more investors tend to positively impact the affected cryptocurrencies. In this case, many more conservative investors will have more access to cryptos within the same accounts they use for retirement and other investments.
Traditional Institutional Adoption
In 2021, more traditional institutions took interest and invested in crypto. AMC, PayPal, and Square are some of the more impactful examples. Then, some companies such as Tesla have been flirting with Bitcoin adoption but have been hesitant to commit.
It looks like, in 2022, this trend will only continue and at a faster pace. Paying for things with cryptocurrencies is still not a very popular option for most people, but the pace of change is fast. As more retailers and payment service providers, in particular, start to accept major cryptos, crypto prices are impacted.
Overall, the impact of these factors on cryptocurrency prices is positive. As cryptos become more accepted and more widely used, they tend to increase in price. More demand means greater value, which means prices should rise.
Invest in over 30 cryptocurrencies from your checking account with no trading fees with the Current mobile app crypto feature.
Titan is an investment platform with a team of experts actively managing your portfolio based on your chosen strategy, including cryptocurrencies.
Alto IRA allows you to invest in stocks, bonds, mutual funds, ETFs, real estate, cryptocurrencies, and even gold for your retirement.
Cryptocurrencies to Watch this Year
Here are the rising star crypto coins to watch in 2022.
Solana
Solana is a cryptocurrency and a blockchain platform with smart contract functionality. The platform offers scalable crypto-app development.
In some ways, Solana is similar to and perhaps an antagonist of Ethereum. Dubbed in some circles as the “Ethereum killer,” Solana offers a similar yet different value proposition. No one can be certain of the long-term viability of Solana, but the coin’s value soared over 12,000% since its creation in March 2020 (as of February 2022). This rising star is more than worth watching in 2022.
Ethereum
Ethereum is by far the oldest and most well-established crypto on this list. While the cryptocurrency and the smart contract-powered platform are older and have gone through many price cycles, it’s a quickly-evolving platform that has much promise from now on.
NDAX CEO Bilal Hammoud has predicted that ETH will break $10,000 by the end of 2022. Other experts predict increases of about 400% in 2022. There are a few reasons for Bilal’s and others’ optimism.
Ethereum is still going through a period of transition that is fundamentally changing its value proposition. The platform’s shift to a proof-of-stake protocol will play the largest role in its price changes going forward.
Ethereum is a star that has already risen, but it is now one that is being recreated. The ETH price changes in 2022 are something that should be watched closely, even if you are not ready to invest in it.
Shiba Inu
Shiba Inu is a young and rising cryptocurrency. So far, it is far from the most unique crypto, but it was one of the best-performing for 2021.
Between the beginning of 2021 and November 2021, Shiba Inu’s price rose by a mind-boggling 40,000,000%. It’s improbable that the coin can maintain anywhere near that kind of growth long-term, but it’s still a quickly growing cryptocurrency in terms of price and popularity alone.
You can now find Shiba Inu on almost all noteworthy crypto exchanges, as well as quite a few brokerages that just dabble in cryptocurrency.
Terra
Terra is a unique cryptocurrency in the way that it tends to react to bear markets. It has a strange way of outperforming them. In addition, it’s a rising star that has increased in value significantly since taking off in 2021. While the coin was launched in 2019, January 2021 saw its value multiply by over 20x before stabilizing. Since then, Terra has joined the list of rising stars worth keeping a close eye on in 2022.
Yearn.Finance
Yearn.Finance is another crypto that has been through the extreme price cycles characteristic of the most popular coins. In one five-month period, it rose by 320%.
While younger and less well-known than most cryptos on this list, it’s gained wider acceptance recently. You can find the coin on many exchanges and from some more traditional brokerages.
Luckyblock
Luckyblock has a unique role in the crypto world. The platform is attempting to revolutionize the lottery industry worldwide. The idea is that anyone can enjoy lottery games wherever they choose, with no need for a centralized center of operations. The platform brings blockchain technology and its own solutions to promote fairness, with smart contracts to govern all processes.
Luckyblock has also taken off in terms of price, although not as much as other coins on this list. However, it’s a very young rising star, and it will be exciting to see where it goes in 2022.
PancakeSwap
PancakeSwap is a large decentralized exchange platform. It’s currently the go-to exchange for new cryptos launched on the Binance Smart Chain. It’s also attracted many traders and investors to its platform, locking in billions of dollars in liquidity.
What Will the Next Big Cryptocurrency Be?
There have been many big cryptocurrencies popping up during the last few years. No one can predict with certainty what the next big one will be. However, we do now have a lot of historical data and broader lessons from the past to look to when thinking about the future.
One way to approach the following year in crypto would be to:
- Diversify your cryptocurrency portfolio
- Lean more on the expertise of others
Where You Can Buy Cryptocurrency
You can buy these cryptocurrencies and others from any of the crypto exchanges that offer them. This is the most common and simple way of acquiring them. Otherwise, if you know anyone who has the cryptos you want and is willing to sell them to you, you can deal with them directly.
