5 Crypto Coins That Are Likely To Grow In 2020
As far as investments are concerned, cryptocurrencies is the way to go. But, how can you be sure that by investing in crypto coins through platforms like bitcoin evolution you will not be committing a huge mistake? The truth is that some crypto coins appear to have really great prospects for investment this year. Judging a crypto coin by its current rate may not be wise since this index is volatile and capable of changing dramatically in a few weeks’ time.
To choose crypto coins to invest in you have to consider two factors namely, market cap and liquidity. Market cap refers to value of the issues coins and a high market cap implies a larger volume of the coins involved in active transactions. This automatically indicates higher interest amongst investors. Liquidity level when higher indicates that a crypto coin can be sold out at market price. For instance, Bitcoin, Ripple, and Ethereum have high liquidity rates.
5 Cryptocurrencies That Can Grow In 2020:
- Bitcoin:This May, the Bitcoin “halving” event will take place as scheduled, and the rewards will be reduced from 12.5 BTC to 6.25 BTC. But, at the same time, the market cap is likely to go up and this is going to affect its value. The use of the Lightning Network is also expected to herald positive changes for the Bitcoin ecosystem. This will allow implementation of Bitcoins in Dapps, e-commerce platforms, and for micro-payments.
- Ethereum:This crypto coin depends on smart contracts which many projects are using for digital transactions. With a rise in demand for blockchain technology, the value may go up. Upcoming fork updates, use of PoS or Proof-of-Stake algorithm will play a key role in Ethereum success or failure.
- NEO:This project has been enlisted in crypto investment ratings for 2020. This crypto coin breaks stereotypes and is an open-source token released in China. This crypto asset claims to change the conventional financial system via a combination of real and digital assets. It has a Superconduct trading system allowing users to put their funds in a decentralized platform.
- Tezos [XTZ]:This has been launched by France and is growing into a key player in the crypto world. It focuses on the security and strength of programming mode. So, XTZ holders will decide what improvements to make to the protocol. Security is backed by a Proof-of-Stake algorithm allowing XTZ investors to get money in a few clicks. This crypto asset did really well last year and there were hardly a handful of occasions when they under-performed. It is a competitor of Ethereum and it may be hard to topple it.
- Cosmos (ATOM):This project is called “the internet of blockchains” and aims to solve a common problem faced by digital assets. This is the problem of securely exchanging tokens belonging to different blockchains. So, they want to set up network of blockchains where the blockchains are termed “zones”. Inter-operability of these blockchains is something that can prove to be very useful. But, Cosmos is in its infancy still and currently experimenting. But technically speaking, it is a complex and ambitious project and if it is successful, the value of this crypto asset will go up considerably.