There are hundreds of thousands of cryptocurrencies, from Bitcoin to Ether to ShiBu Inu. Nearly 19,000 different cryptocurrencies are traded on CoinMarketCap.com, a market research website.
The cryptocurrency market is peculiar to the traditional financial environment, and you can be overwhelmed as a novice.
To help you cruise through, I have highlighted below, the top cryptocurrencies to buy now.
Among them are some of the most popular cryptocurrencies and bitcoin alternatives that you can invest money below $1.
But first, let’s talk about some of the notable differences between cryptocurrencies and traditional finance.
Differences Between Cryptocurrencies Finance Market and Traditional Finance Market
|Cryptocurrency Finance Market||Traditional Finance Market|
|Transfers happen in minutes||Transfers can take days to complete|
|You hold your money||Your money is kept with financial institutions|
|Market is always open||Market is not always open|
|Transactions can be done anonymous or pseudonymous||Requires the use of personal information.|
|Built on high security and transparency||Financial institutions are a closed book.|
So with these in mind, lets set the ball rolling
What are the best and hot cryptocurrencies to invest for the short or long term.
1. Bitcoin (BTC)
Bitcoin has established its reputation as the marketer leader among cryptocurrencies since making its debut in 2009.
It has an estimated market cap of about $800 billion, the highest in the cryptocurrency market.
As of 6 May 2022, 1 bitcoin was value at $36,357.20. Five year ago, one bitcoin was selling at $1,792.73, a percent increase of 1,928.04% as at today.
2. Ethereum (ETH)
Ethereum, called Ether or ETH for short has become the second most dominant cryptocurrency. It is both a cryptocurrency and a blockchain platform with market cap of $332 billion.
Ethereum was launched in 2015 as a platform for smart contracts and decentralized finance (DeFi).
Its token, Ether or ETH has seen substantial growth from $10 in 2016 to $2,730 as at May 5, 2022, a substantial increase of over 24,000%.
3. XRP (XRP)
XRP was developed by some the founders of Ripple digital payment network. It can be used for global digital payments in many different currencies.
The market cap of XRP is about $29 billion. In early 2017, the price of XRP was $0.006. As at today, it is about $0.59 showing a rise of more than 9,800% in “profit”.
4. Tether (USDT)
Tether is a stablecoin, thus its value is pegged to fiat currencies like the U.S. dollars and the Euro. USDT is less volatile, and more consistent as its price is anchored at $1 per coin.
Tether has a market cap of $83 billion, making it the largest stablecoin by market capitalization.
5. Solana (SOL)
Solana is one of the newer altcoins among the best cryptocurrencies to buy now. Although launched in just 2020, Solana is considered the biggest rival of Ether in decentralized finance and smarts contract processing.
SOL’s price was $0.77 when it was launched. In early May, 2022, its price was around $90 with a profit of more than 11,000%.
6. Binance Coin (BNB)
Binance coin is a dollar-backed stablecoin that runs on the Ethereum blockchain. It can be used for trading or making payments on Binance.
In early May, 2022, BNB’s price was $382, rising about 350,000% from $0.10 in 2017. Today, BNB has a market of $62 billion.
7. Cardano (ADA)
Cardano is one of the late entrants into the crypto scene but has become popular because of the use of proof-of-stake validation. It uses the native coin ADA, to power smart contracts and decentralized applications.
It has a market value of $27 billion. The token price of Cardano has grown from $0.02 in 2017 to $0.78 in early May, 2022 gaining an increase of about 3,755%.
Polkadot was created to facilitate interoperability among different blockchains, allowing them to exchange transactions and information.
As of May 6, 2022, Polkadot has a market cap of $14 billion and one DOT trades at $14.80.
9. Stellar (XLM)
Lumen(XLM) is the cryptocurrency of Stellar. It was designed as an opened blockchain network for creating, sending and trading digital currencies.
Stellar Lumens has a market cap of approximately $4.3 billion and valued at $0.17 cents as of May 6, 2022.
10. USD Dollar Coin (USDC)
USD coin is also a stablecoin that is powered by Ethereum and tied to the U.S. dollars. Just like Tether, USDC is less volatile, and more consistent as its price is aimed for a $1 to 1 USDC ratio. It can be used to make global transaction and payments.
11. Dogecoin (DOGE)
Started as a social media meme joke and pun, Dogecoin has surge in value and popularity.
Unlike bitcoin and other cryptocurrencies whose prices are determined by demand and supply, DOGE thrives on trends, influencers and community buy-in.
When Dogecoin hit the crypto scene in 2013, it was just a meme. Today, it has grown to nearly $30 billion in market cap and a DOGE is now priced at $0.13.
12. TerraUSD (UST)
Just like USDC, BNB and Tether, TerraUSD is also a stablecoin tied to a fiat currency, in this case, the U.S. dollar.
It runs on both Ethereum and Solana blockchains, and boasts of a high scalability and interoperability between blockchains. TerraUSD has a market cap of $19 billion.
Tips before investing in cryptocurrencies
To invest in cryptocurrencies, you must be ready to stomach volatility as the rise and dip can be intense sometimes. For this reason, most novice and risk averse investors favor stablecoins for a start.
Therefore, never invest more money than you can afford to lose, not even in stablecoins.