According to Binance, 2024 has been a pretty interesting year for crypto so far. The approval of the first spot Bitcoin ETFs by the U.S. Securities and Exchange Commission, Bitcoin hitting a new record high, crypto prices soaring across the board, and Ethereum rolling out another highly-anticipated upgrade aimed at improving the network’s security and scalability are some of the most notable developments that have taken place in the crypto space since January.
The remaining months of the year promise to be equally thrilling and exciting with spot Ether ETFs next in line for SEC’s approval and the Bitcoin halving expected to set the stage for a new bull run, and inject a fresh wave of optimism into the market. Given the positive context, more people will be looking to dip their toes in the crypto market, and unsurprisingly most will be inclined to buy Bitcoin as a first step in their crypto investing journey.
Bitcoin and beyond
Bitcoin is the most valuable and established coin in the market, so it makes perfect sense that newcomers are drawn to it as it’s generally regarded as a safer and more reliable investment option compared to other digital assets that haven’t been around for that long. With a price of $63,254 market cap of $1,245B at the time of writing, adding Bitcoin to your portfolio can be a smart move, especially if you’re planning to hold onto your crypto funds for a longer period of time.
Nowadays, after demonstrating its potential for long-term growth over the years, Bitcoin is mostly used as a store of value, so it might be more viable to purchase it now and wait patiently for its value to appreciate instead of trying to time the market and deal with the risk of volatility. However, Bitcoin is not the only coin that is worthy of your attention. Numerous other crypto projects have emerged in its wake and some of them have great prospects for the future.
Don’t forget that diversification is one of the golden rules of investing. If you put all your money into one asset, you can lose it all in one fell swoop if things don’t go according to plan and the asset fails to bring you the expected returns. But by spreading your money over multiple types of investments, you create a safety net and avoid having a single point of failure. Therefore, you need to look beyond Bitcoin and search for other crypto assets that can help you diversify your portfolio.
Ethereum
Ethereum stands out from other cryptocurrencies for several reasons, the first being its groundbreaking smart contract functionality that makes it the go-to platform for the development of a wide range of decentralized applications and non-fungible tokens (NFTs).
Ethereum’s innovative nature and constant focus on improvement managed to catch the attention of investors and developers alike and powered the quick appreciation of its native token, Ether, until it became the leader of the altcoin gang – a position it still holds today. Looking back at its price history, we can see that Ethereum has performed fairly well over the years, despite the successive boom and bust cycles.
The asset currently stands at $3,089 and has a market capitalization of $ 371B, after a gain of over 40% since the beginning of the year. With rumors of a potential approval of spot Ether ETFs by the US SEC, Ethereum’s price is poised to move higher, making it a very appealing investment option at the moment.
Binance Coin
Launched in 2017, Binance Coin (BNB) is the utility token that powers the well-known eponymous crypto exchange. BNB was primarily used to facilitate transactions and pay trading fees on the Binance platform. However, its use cases have expanded over the years and now it can serve as a trading vehicle as well as a payment method covering a range of products and services.
Apart from being linked to one of the largest crypto exchanges in the world, BNB’s price also experienced a rapid surge, going from $0.10 back in 2017 to $541 at press time and recording a 73% year-to-date gain. This places BNB among the leading crypto assets of the moment, underscoring its potential as an investment option.
Tether
Tether is one of the veterans of the crypto space, making its debut in 2014. Tether’s appeal goes beyond its endurance and ability to stand the test of time. Its strong suit derives from it being a stablecoin – a specific type of cryptocurrency whose value is pegged to that of another asset in order to mitigate volatility and maintain a steadier price, as the name implies.
What’s more, Tether is not just a random stablecoin, but the largest one in the crypto ecosystem. At press time, Tether was trading at $1 and had a market cap of $107.79B. From an investment perspective, Tether might not be able to provide any substantial returns, but its consistent value makes it a perfect asset for investors with low-risk tolerance.
Solana
Another entry on the top crypto list that many are already familiar with, Solana continues to be a favorite among crypto investors. Launched in 2020, Solana was designed to perform the same functions as the Ethereum blockchain, namely support smart contract functionality and facilitate the deployment of decentralized apps.
The platform utilizes a hybrid consensus mechanism of proof-of-stake (PoS) and proof-of-history (PoH) to enable transactions and has SOL as its native token. In just a few short years, SOL rose from $0.77 to a current price of $133, boasting a market cap of $59.60B. Many believe Solana will follow in Ethereum’s footsteps and even overcome the altcoin leader one day, which should be reason enough to keep it on your radar.
Obviously, the crypto market is populated by many other interesting projects, but if you’re interested in the biggest winners, these are the coins you need to focus on.
