With Bitcoin at 42 Lakh INR, here are three cryptocurrencies to buy in this dip
Over the past few years, cryptocurrencies have made some savvy investors a significant amount of money in 2021 as the market value of Bitcoin and other cryptocurrencies has soared.
According to some sources, the market value of Bitcoin has nearly surged 100% since the last year. The cryptocurrency reached an all-time high in November, trading at $67,000.
As Bitcoin is dipping at the moment, Bitcoin trading can potentially help you make a profit. Bitcoin trading might sound complicated and a steep learning curve, but websites like patterntrader.io provide information that is designed to take the difficulty out of Bitcoin trading.
However, after this all time, the store value of Bitcoin is continually dipping. As a result, people are suggesting to hold their assets in this dip.
According to some investors, you should invest some of your savings in cryptocurrencies to take advantage of profit potential. As well as Bitcoin, other cryptocurrencies like Ethereum, Solana and Cardano are also acquiring traction as digital gold.
Undeniably, Bitcoin influences the market value of altcoins, but these altcoins still in themselves offer tremendous earning opportunities to savvy holders and traders. And you can even stake these cryptocurrencies to earn a specific reward every year.
Ethereum, the second best cryptocurrency
Ethereum is known as the second most popular cryptocurrency. Vitalik Buterin, the founder of Ethereum, created the cryptocurrency as a blockchain-based model. Currently, the market cap of Ethereum is at a value of $400 billion, despite a cryptocurrency market crash a few months earlier.
Ethereum a has a token popularly known as ‘ether’. Ethereum is best known for its decentralized solicitation; everyone is familiar with most decentralized trading applications, wallets and models compiled on the Ethereum blockchain.
There are many other intelligent chains like Binance bright chain and Solana innovative chain. And while Bitcoin has increased in value by over 100% compared to the last year, Ethereum has surged over 400% when compared to the last year.
Ethereum might not be able to outpace Bitcoin in terms of the market value, but Ethereum has the potential of outplaying Bitcoin in terms of market cap. Bitcoin’s dominance in the cryptocurrency market in 2020 was 70%. However, Bitcoin is currently dominating only 48% of the crypto market, and the surge has played a massive role in declining the dominance of Bitcoin.
Cardano is considered by some to be the future of cryptocurrency
Both Bitcoin and Ethereum technology use the proof of work mechanism, whereas Cardano while the staking mechanism. Proof of stake makes Cardano a more attractive potential choice for the cryptocurrency trading platform, decentralized blockchain models and NFT games.
We know that mining gigantic cryptocurrencies like Ethereum and Bitcoin use an enormous amount of power, mainly electricity, and proof of work is a big reason for this.
On the other hand, proof of stake necessitates merely a 1% of electricity. While you need to mine Bitcoin, proof of stakes randomly choose a miner to verify the transaction and avail the block reward. And not just anyone can contribute to the mining process. So the gas fees of Cardano is significantly lower in contrast to other intelligent chains, such as Ethereum and Binance.
One other factor needs to be taken into account: the arrival of the Metaverse in the next few months. As the Metaverse will be based on the blockchain, this also places Cardano in a favourable position.
Solana is fast and scalable
Solana has been one of the biggest gainers as an altcoin in the cryptocurrency marketplace. Blockchain works as a database and has three features: fast pace, scalability, and political independence. For example, Bitcoin’s public distributed ledger is decentralized and scalable, but is exceedingly slow.
Solana fulfils all these three criteria as Solana is comparatively centralized, but one of the fastest and most scalable. In addition, the gas fees of the Solana blockchain is correspondingly nominal in contrast to other popular blockchains.
The speed of processing transactions on the Solana blockchain is also extremely fast. We know that Bitcoin has more than 10,000 nodes on its network to regulate every activity. Similar to Bitcoin, Solana has nearly 10,000 nodes or computing entities over its network. This helps contribute to the strength of Solana as an altcoin as well as a blockchain network.
In a nutshell, both Cardano and Solana are considered by some to be the future of the cryptocurrency industry. Already there are many NFL games based on the Solana and Cardano blockchain, and many developers will launch their NFT games on this blockchain.