Since the beginning of the year, the prices of most cryptocurrencies have dropped significantly, and the whole market is currently in a bearish trend. But should that stop you from cryptocurrency investments, especially if you feel that some of them have the potential to grow in the next year? Definitely not!
In this article, on my affiliate programs blog, we’ll give you an overview of the best cryptocurrencies that we feel have the potential to explode in 2023. So, let’s get started!
WHAT TO LOOK FOR WHEN CHOOSING A CRYPTOCURRENCY TO INVEST IN?
However, before we get to the list of cryptocurrencies themselves, let’s look at some basic criteria for choosing a digital asset to invest in.
Of course, following these criteria is important, but it does not guarantee you imminent success, and since the world of cryptocurrencies continues to be a rather unpredictable place, where memcoins can have more value than currencies with real-world usage scenarios, you can expect anything.
Nevertheless, if you want to minimize risk and have a certain level of certainty, you should always consider the following criteria.
UTILITY AND TOKENOMICS
Tokenomics refers to the economics behind a project. Tokenomics is one of the main reasons investors and traders buy, hold, sell at a profit, and then buy at a peak.
This, in turn, refers to the realistic use case that the project has. Digital assets that have real life benefits have a much better chance of succeeding, attracting investor money and growing in value over time.
Those digital assets that can innovate or have unique technologies that can solve existing cryptocurrency problems have a better chance of becoming successful and thriving in the future than those coins that cannot offer anything new to the crypto world.
If a project cannot compete with its rivals, which have much more advanced technologies and realistic use cases, how can it attract attention and survive in the long run?
THE DEVELOPMENT TEAM AND THEIR PROJECTS
Since the cryptocurrency industry is still somewhat “green” and emerging, this option may sometimes be out of reach. Some teams and developers may have no previous projects, and sometimes the entire team prefers to remain anonymous, making it impossible to determine who is behind the project.
However, if the project comes from an experienced team that has proven itself capable of doing things right, that should definitely be a green flag for investors.
WHITE PAPER AND ROADMAP
A white paper and a project roadmap are important components in determining the long-term value of a coin or token. A solid and reliable crypto project always has a detailed and well-structured white paper and roadmap.
A proper white paper should contain technical information about the project concept so that you can assess its potential merits, and the roadmap should describe how the cryptoproject intends to evolve in the future.
INVESTORS AND PARTNERSHIPS
If possible, determine if the project has investors. If there are, find out more about who they are. It is a good sign if well-known investment companies or large investors have already invested in the project. This means they have done their due diligence and believe in the success of the project.
Moreover, prospects also have partnerships with big brands and technology companies from “traditional” financial institutions. This can also provide an additional level of credibility.
THE BEST COINS TO BUY IN 2023
This list of digital assets may give you some ideas if you’re looking for a cryptocurrency that could potentially rise in value in 2023. Some of these cryptocurrencies have already proven to be reliable and successful to date (with ups and downs, of course).
With that in mind, here are 7 projects we think you should consider.
BITCOIN – THE BEST CRYPTOCURRENCY TO INVEST IN 2023
How could we start our list without the world’s number one cryptocurrency? With its market capitalization higher than any other cryptocurrency, it is obvious why Bitcoin leads the way.
The last ten years have shown that Bitcoin is only getting stronger. Although thousands of new coins have been developed over the past decade, Bitcoin’s position has not changed and its future still looks promising.
Even though bitcoin has lost value due to the ongoing bearish trend, it is still the number one cryptocurrency and no other digital asset can boast of such results. In addition, the fact that bitcoin has been around for more than a decade makes it a more reliable investment than recently created projects that have yet to gain investor confidence.
Bitcoin still owns about 40% of the total market capitalization, so it remains the main driver of the cryptocurrency market due to its complete dominance.
ETHEREUM – THE BEST CRYPTOCURRENCY TO INVEST IN 2023
Ethereum, like Bitcoin, needs no introduction as this blockchain network has become a staple for developers of decentralized applications throughout the cryptocurrency world. Since Ethereum was designed as an open-source platform, anyone who knows how to write can develop their own DApps, from DEX, such as Sushiswap, to GameFi, such as Axie Infinity.
Ethereum is currently the second largest cryptocurrency by market capitalization, and it is the most popular platform for all types of DeFi projects, from cryptocurrencies to NFTs.
Considering Ethereum’s use possibilities and its massive growth, Ethereum is undoubtedly one of the hottest cryptocurrencies to buy right now.
While Ethereum’s gas charges have been a big headache for traders and investors for years, things have changed for the better thanks to a recent update called Ethereum 2.0.
The Ethereum Merge update, which took place in late 2022, moved Ethereum to a share proof protocol. This greatly improved the blockchain’s ability to scale and reduced costs. This update could lead to an increase in the number of people deciding to buy Ethereum in the coming months.
XRP – THE BEST CRYPTOCURRENCY TO INVEST IN 2023
XRP is a peer-to-peer, open-source, decentralized platform that allows any type of money, from cryptocurrency to traditional fiat currencies such as euros and dollars, to be transferred quickly and seamlessly. Thus, in terms of technology and use cases, Ripple has more than enough potential to make great strides.
However, XRP is still in a legal battle with the Securities and Exchange Commission (SEC), and it is unclear when it will end. The SEC began its legal battle in December 2020, and it resulted in XRP losing out to other tokens in the 2021 bull market. The coin was even pulled from exchanges such as Coinbase, and investors stayed away from it as a result.
XRP’s legal and executive teams have been very optimistic of late and seem to believe that the SEC can’t win this battle. If Ripple wins, we can expect significant growth in 2023.
XRP works with a number of well-known institutions, banks and companies. Here are just a few of its customers: Bank of America, American Express, Western Union, MoneyGram and Royal Bank of Canada.
From this fact alone, we can conclude that Ripple wants XRP to be used as widely as possible. And that means that the wider its reach, the more investors will be interested in buying it, which will increase its overall value.
HUOBI TOKEN – THE BEST CRYPTOCURRENCY TO INVEST IN 2023
You probably know that Binance has its own token, Binance Coin. However, Huobi also has its own token – Huobi Token (HT).
Huobi is a cryptocurrency exchange in the Seychelles, founded in 2013. At first the exchange was focused on the Chinese market, but now it is available worldwide. It is one of the oldest and largest cryptocurrency exchanges by trading volume.
The Huobi Token aims to improve the experience of Huobi exchange users by giving them new opportunities to reduce trading fees, gain access to new cryptocurrencies and vote when deciding on the future of the platform.
The Huobi Token is part of the Huobi ecochain, which in turn contains DeFi applications such as decentralized lending, cryptocurrency wallets, play-win games and loan platforms. In fact, Binance Smart Chain, a well-known exchange-based blockchain, and Eco Chain are relatively similar.
HT is an ERC-20 token, which on the backend functions much the same way as Binance Coin (BNB). It also uses tokenomics comparable to BNB’s redemption or coin-burning strategy. Using this strategy, Huobi uses 20% of the revenue generated from the contracts to buy HT off the network and remove them from circulation to increase their value. asset value
So far, it seems that Huobi Token, like Binance Coin, has every chance of becoming a major asset. However, its success is strictly tied to the overall success of the Huobi exchange, so if it continues to grow and develop, we can expect HT to grow as well.
CHAINLINK – THE BEST CRYPTOCURRENCY TO INVEST IN 2023
Chainlink is a decentralized blockchain oracle network built on Ethereum that has its own LINK currency, the ERC-677 token, which in turn is an extension of the ERC-20 standard.
The decentralized oracle network Chainlink is an open-source technology infrastructure that allows any blockchain to securely connect to off-chain data in a completely reliable, secure and efficient way. That’s why it’s called Chainlink: it allows chains to be connected.
Chainlink greatly extends the power of smart contracts by providing access to real-world data and off-chain computing, while still guaranteeing the security and reliability of blockchain technology. It is a major player in data processing with a large number of trusted partners.
There are currently more than 1,600 projects that have joined the Chainlink ecosystem and accelerated their adoption as a result.
BINANCE COIN – THE BEST CRYPTOCURRENCY TO INVEST IN 2023
Binance Coin, or BNB, is the proprietary token of Binance, the world’s largest cryptocurrency exchange. It is
The Binance ecosystem extends beyond the Binance exchange to include the Binance Chain, Binance Smart Chain (BSC), Binance Academy, Trust Wallet, Binance Research and Binance Launchpad projects.
One of the measures Binance is taking to increase the value of BNB is to reduce the number of tokens by buying back and burning an amount equal to 20% of profits each quarter.
The exchange will continue to reduce the number of BNBs until only 100 million remain. The value of the coin is already increasing as traders use it to pay trading and listing fees on the Binance exchange and services on other platforms.
THE SANDBOX – THE BEST CRYPTOCURRENCY TO INVEST IN 2023
The Sandbox game is a decentralized NFT game meta-universe based on Ethereum blockchain and has its own SAND token. Visually, it resembles Minecraft or Roblox, two extremely popular computer games whose virtual worlds are built from 3D blocks. The game is one of the largest and most well-known projects in the GameFi and metaverse space.
The Sandbox game is one of the GameFi projects in which the entire game universe and in-game content is created and maintained by players. You play the game and receive NFTs during gameplay, which you then exchange on the market for cryptocurrency.
The sandbox offers three unique features: VoxEdit, software that allows users to create their own NFTs and import them into the game; a marketplace where users can buy and sell lands, avatars and game assets; and game maker, software that allows users to create minigames using 3D voxel art created by the community.
A sandbox game can offer a very deep level of integration between user-generated content (UGC), game play, and economics, and it’s hard to find anything equivalent to it.
As is always the case in the cryptocurrency world, a thorough analysis of a cryptoproject requires a lot of time and patience, and no one can promise you a 100% return on your investment.
Even if it seems like crypto-winter will last forever, a bullish trend will eventually replace it. And when the bear is awake, it’s a great opportunity to add different projects to your portfolio, so when the market makes a reversal, you’ll be all set.