The public interest in cryptocurrencies has increased drastically over the past couple of years. While most people focus on Bitcoin, the dominant cryptocurrency, a lot of other people are considering the possibility of investing in altcoins, such as Ripple, Bitcoin Cash, etc.
Do you want to know which are the most promising altcoins for 2019? For new investors, it could be challenging to distinguish potential winner altcoins, because there are thousands of cryptocurrencies out there. In fact, the size of the cryptocurrency market is now $409.47 billion!
As many cryptocurrencies have entered the market, the number of scam coins has increased as well. In this article, I will share with you which coins have a higher probability of future gains and are trustworthy. Knowing which altcoins are an attractive opportunity for investment, you have better chances of planning a cryptocurrency investment strategy.
So, let’s not waste time and get started with the review of two of the most reliable altcoins for this year.
Launched in July 2015, Ethereum has a current market capitalization of $33 billion and is the second most valued cryptocurrency after Bitcoin. Its market cap peaked at almost $140billion when Ethereum reached an all-time high of $1,400 per ETH.
Ethereum is an open-source platform for decentralized applications, such as cryptocurrency wallets, financial applications, decentralized markets, games, and much more. Vitalik Buterin, the founder of Ethereum, describes the decentralized apps as applications that run on a P2P network of computers.
The world’s leading programmable blockchain provides a platform where developers can build blockchain-based smart contracts and decentralized apps. And speaking of contracts, Ethereum was the first cryptocurrency to offer smart contracts.
These contracts give people from all over the world the ability to interact and exchange value without the need for third parties such as a centralized authority. This makes all transactions not only cheaper, but due to the automation of blockchain transactions, they are much faster.
Ethereum also offers the EVM (Ethereum Virtual Machine), which allows developers to test and execute code. They can create applications and smart contracts and assess them on the EVM. This way, developers can identify errors and bugs.
Also, all transactions on the Ethereum blockchain are permanent, which makes it impossible to hack. Once the data is written, even the uploader cannot modify it. They are also cryptographically secured. In fact, Ethereum has three times more nodes than Bitcoin when verifying its transactions.
Litecoin is one of the oldest altcoins and has the same agenda as Bitcoin – to offer an alternative to currencies like USD, EUR, etc. It has a current market capitalization of $7 Billion, and one Litecoin is currently $116.
Charlie Lee, an ex-Google employee, created this cryptocurrency in 2011. One of the main reasons why Mr. Lee decided to develop Litecoin was to overcome some of the disadvantages of Bitcoin, such as the slow transaction speed.
It has made considerable improvements in Bitcoins’ technology. For example, while Bitcoin uses the SHA-256 hashing algorithm, Litecoin uses a script hashing algorithm. This makes Litecoin easier for miners to access and allows it to be more efficient in many ways.
Also, Litecoin uses open source code, is fully decentralized, and transactions have a minimum commission. All transactions are available to everyone and not confined to a single server. It works by peer-to-peer connections. Moreover, the entire information is permanently stored in the ledges and cannot be modified or deleted.
Transaction fees are much cheaper compared to other altcoins and Bitcoin. Transactions are much faster and safer than with any other cryptocurrency. Some crypto experts compare Litecoin transactions to be as easy and as quick as sending a text message.
However, investing in one or only two cryptocurrencies is way more dangerous than investing in more. Creating a well-diversified portfolio is a much safer way to increase ones wealth.
For example, if you invest all your money in only one cryptocurrency and it goes down, you will lose money. If you invest your money on the side in more than one cryptocurrency, then you have better chances of earning money depending on the market movements.
That’s why I want to share with you other reliably altcoins:
- Binance Coin
- Cardano (ADA)
- Monero (XMR)
The Bottom Line
All these altcoins are out there in the market, and, luckily for investors, there is a lot of information on the Internet about the history, technology, the upcoming events, and upgrades of each of these cryptocurrencies.
Learning more about the cryptocurrencies is crucial if you want to increase your wealth and not lose it by investing in a scam coin. Warren Buffet was right when he said, and I quote, “The best investment you can make is an investment in yourself… The more you learn, the more you’ll earn.”