Cloud Hosting

Bitcoin seems to grab the majority of headlines, but its far from the only sensible crypto. In fact, a more wide-ranging list could include dozens of altcoins. But to try and keep things simple, we are just going to go over the five best altcoins that have gotten our attention.

Since you landed on this article, you probably already know what an altcoin is. But just in case, an altcoin is any cryptocurrency that isnt Bitcoin And just so you know, that describes more than 4,000 cryptocurrencies. So there really are a lot to choose from. However, a whole lot of them are junk. Lots of them have little to no trading volume. And lots of them will fail to make any sort of impact before fading into oblivion (taking investors money into the void with them).

Based on this, its imperative to dig into a crypto thats captured your attention before investing in it. That being said, this also depends on what kind of investor you are

Since the beginning of the year, crypto has (mostly) been on fire. Its been minting millionaires left and right this year. Even meme coins like Dogecoin and its meme-of-a-meme spinoff Shiba Inu Coin have turned a few hundred bucks into tens of thousands if not millions of dollars. But this was blind speculation that just happened to pay off. Thats not investing so much as gambling. And if thats your strategy, might I direct you to Telcoin? Or perhaps Yummy Coin?

But if youre looking for the best altcoins to invest in, here are our five favorites.

Were starting our list with the second biggest cryptocurrency out there. This is one of the best altcoins available for two major reasons. One: it has the second largest market cap of any crypto on the market. This shows that it has market power in the crypto world. And it also means that popularity and adoption are wide spread. The second feature that makes this one of the best altcoins is that it powers a dominant percentage of the NFT marketplace. And that dominance has helped it outperform most of its largest competitors.

So far this year, Ethereum is up around 250%. And thats despite a nearly 40% decline in price after news resurfaced of a China crypto ban. We expect Ethereum to bounce back from this flash crash in a major way by the end of the year. All of this makes Ethereum one of if not the best altcoin available right now.

This is one of the oldest altcoins on the market. But dont let its age fool you. It was founded by a former Google and Coinbase engineer that knows the power of utility. And this is what this crypto was based on. This coin was established as a Bitcoin fork. But its not trying to compete with it. Rather its been described as silver to Bitcoins gold.

Another thing that separates Litecoin from its larger competitors is ease to mine. Theres no need for specialized equipment to get in on the mining action. Consumer-grade hardware is enough for most folks.

But perhaps its strongest asset is transaction speed. Transaction times are nearly instant. Whats more, its fees are among the lowest in the cryptosphere. This all adds up to the ability to send Litecoin around the world in less than three minutes. And because its been around so long, you can find it in just about any exchange you choose. Its available in consumer-friendly apps like Robinhood and Webull. You can easily find it in one of our favorite exchanges, Coinbase. And most recently, PayPals (Nasdaq: PYPL) crypto checkout began allowing Litecoin as one of the cryptos it accepts. After all these years, Litecoin is still growing in popularity. And that clearly makes it one of the best altcoins out there.

This altcoin has also seen a staggering increase in value this year. Starting at just $38 a token, its ballooned to near $700 this year. Even though it declined in May (like just about every other altcoin) its not poised to stay down for long. Its simply too valuable because of the essential role it plays in many other altcoins ability to be traded.

Your big centralized exchanges like Coinbase, Binance, Kraken and the like cant list every altcoin out there. Theres just too many. And listing every new initial coin offering ICO wouldnt be good for their image or their customer base. They want to be able to verify the validity of the coins they list. Because not every new crypto is developed with the best intention in mind. But getting listed there can take time. And for new cryptos looking to build up momentum and interest, they need operate via different channels. This is where the Binance Coin plays a major role

Lets say you wanted to invest in SafeMoon when it first came out. Well, before it started getting listed on larger exchanges, the only place you could find it was on the decentralized exchange PancakeSwap. And you cant just go there and exchange dollars for crypto. For the most part you need to start with some Binance Coin in your wallet and exchange it for the altcoin of your choice. Based on this utility alone, Binance will remain one of the best altcoins on the market to invest it.

Stellar Lumens started out the year trading for less than $0.15 a pop. Its since climbed a lot closer to the $1 mark. Part of its increase in value is its growing popularity as an alternative to traditional banking. With more than half of the world living without a banking account, that spells huge opportunity for this altcoin.

Stellar Lumens is the crypto for Stellar a blockchain protocol built for payments systems. This is intended for folks that dont have bank accounts. The goal here is to be able to offer the bankless access to financial products. The team behind it has been making successful strides to connect financial institutions to its blockchain and allow cheap transactions in developing markets.

It also happens to be one of the more environmentally friendly altcoins. Stellar uses a proof-of-stake system as opposed to the proof-of-work model. This means that there is no electricity intense mining associated with Stellar Lumens. Of the total 50 billion Stellar Lumens in creation, roughly 20 billion have been sold into the market. The rest currently sit in the Stellar Lumens Development Foundation. As adoption in emerging markets continues in places like Zimbabwe, Nigeria and Argentina, Stellar Lumens is likely to increase in value. If nothing else, its altruistic nature makes Stellar Lumens one of the best altcoins to keep an eye on this year.

This altcoin is a little different than the rest. Tether is a stablecoin. And its the largest one of its kind by a wide margin. This isnt a crypto to bank on in order to make you rich. This one is a means of diversifying your crypto portfolio with a little stability.

When it first launched in 2014, it was backed 1:1 with U.S. dollars. And even though this is no longer the case, its proven to be an effective store of value.Today, Tether is backed by Tether reserves. And the team behind it has made every attempt to remain transparent about what that means. This transparency and stability have had a huge impact on usage. It currently makes up more than half of the stablecoin market. And adoption is still rising. Now that its on-chain volume has surpassed $1 trillion on a yearly basis, Tether is clearly the most promising stablecoin. And that makes it a powerful example of one of the best altcoins on the market today.

Altcoins have proven to be an amazing way to invest your money this year. And naturally, there have been some hiccups along the way. The rollercoaster rides that cryptos offer is part of their charm to some. But thats also part of the reason some investors remain skeptical. So, to paraphrase the old adage, never invest more than you can afford to lose. However, if you stick with it long enough riding out the volatility will become second nature.

Even the best altcoins will continue to see dips in value. But over time, the highs are proving to get higher. And the lows have been nowhere near as low as they have been in the past.

If youd like to learn about more about the best altcoins and what the future holds for them, we suggest signing up for the Manward Financial Digest e-letter. Founder and crypto expert Andy Snyder has been showing readers how to find the best altcoins on the market for ages. And hes got the stellar track record to prove it. To follow his advice, just drop your email address in the box below.

Continued here:
The Five Best Altcoins to Invest in and Start Building a Crypto Fortune - Investment U