The Top Cryptocurrencies Today and How To Invest in Them

With the recent rise in the popularity of cryptocurrencies, people who have recently heard about it may think it’s new to the digital market. In fact, cryptocurrency has already been around for a couple of years. It was already introduced to the digital market back then, and it already has garnered tons of investors. One of the first known cryptocurrencies way back was Bitcoin. It is one of the first currencies that people think of when it comes to the crypto world.

During the growth of cryptocurrency, different types of currencies sprung along the way. Today, there are already thousands of cryptocurrencies that are being traded in the market. If you are new to cryptocurrencies and one day decide to invest in them, one of the first things you should do is familiarise yourself with different cryptocurrencies in the market. In this article, we will show you some of the best cryptocurrencies you could invest in.

What is cryptocurrency?

Before you start investing, you should clearly understand what you are about to spend your money on. For starters, cryptocurrency is decentralised digital money. It is commonly used as a currency to exchange goods and avail services on the market.Others see cryptocurrency as an asset for investment, just like how you would see in the stock market.

One of the features that highlight cryptocurrency is that it’s encrypted and decentralized. Meaning says, the transactions that involve cryptocurrency are all recorded and verified through a form of technology called a blockchain. A blockchain is a ledger that is present in all transactions made across different computers worldwide. Technically, ongoing and completed transactions are all recorded in blocks linked through a series of past crypto transactions.

Bitcoin

Bitcoin is one of the first currencies that has been introduced to the market. Since then, it became one of the most dominant currencies that you will find. It continued to grow over the past few years, and it still plays a critical role amongst investors today. It’s difficult to determine whether Bitcoin’s price will be favourable or not since it’s gone up remarkably, but it’s gone back down again. Though, bitcoin’s price instability is not something you should worry about since there’s still a good chance that its price will rise again.

Ethereum

Falling closely behind Bitcoin is Etheruem. It is also one of the first cryptocurrencies that came to the digital market and it has a big percentage of capitalization when it comes to the cryptocurrency market. It might not be as close to Bitcoin but it also has an impact on the market. It is technically called ether on many platforms, but it is most commonly referred to as Ethereum. Added to that, Ethereum also has tons of benefits and advantages, making it one of the most exciting platforms to invest in.

One of the noticeable qualities of Ethereum is that it is possible to cut out third parties such as banks. The continuous use of DeFi or decentralised finance makes it easier to complete transactions through this platform which then gives way to new opportunities for many investors.

Dogecoin

Dogecoin has also played its part in the cryptocurrency market. Some people might not take dogecoin seriously due to its history as an internet meme but dogecoin’s behaviour in the market is something that you should not overlook. This year alone made dogecoin the eighth most prominent cryptocurrency in the market. Its market price has remarkably increased a few months back, but it’s gone back down again. One of the qualities that make dogecoin one of the best is that its price remains below a dollar since its circulation is wider and it has no capacity for mining.

Investing in cryptocurrency

To start investing in cryptocurrencies, there are tons of platforms that you can use to help you manage your investments well and potentially help them grow. Before you start investing in cryptocurrency, you should already have learned about it. Give yourself some time to learn and conduct research as to how it would benefit you. There’s a stake in investing, so make sure that you choose a good platform that can help you do so.

Conclusion

Deciding which cryptocurrency you should go for is entirely up to you. If you have good knowledge about the field of cryptocurrency and an excellent platform to use, your investment in cryptocurrency is set to go in a good direction.