An important year for crypto investments was 2024. But what will happen in 2024? Over the past year, Bitcoin prices have reached several new all-time highs, followed by steep losses, and increased institutional investment from significant firms. Late last year, Ethereum, the second-largest cryptocurrency, also set a brand-new record. While this has been going on, interest in cryptocurrencies has risen dramatically; it’s a hot issue not just among investors but also in popular culture.
2024 was a “breakthrough” in a lot of ways. The cryptocurrency business is receiving a lot of attention and interest. So, is it worthwhile to make a crypto investment in this dip? Let’s find out! What is the best cryptocurrency to invest in 2024 and what are the reasons behind the analysis of investment benefits.
Cryptocurrency Regulation In The US
In particular, U.S. officials have expressed an interest in stable coin regulation. Attempts are being made by lawmakers in Washington, D.C., and other countries to adopt rules and regulations that would make cryptocurrencies safer for investors and less desirable to hackers. The elimination of “a big obstacle for bitcoin” would result from clear regulation.
Provisions for crypto tax reporting are included in the $1.2 trillion bipartisan infrastructure package, which may make it simpler for the IRS to monitor bitcoin activities. Experts advise investors to preserve records of any financial gains or losses on their crypto investments even in the absence of new regulations.
Crypto ETF Approval
Significant development has already been made in this area, as the first Bitcoin ETF debuted on the New York Stock Exchange in October of last year. The BITO Bitcoin ETF enables investors to purchase cryptocurrencies directly via conventional financial brokerages, such as Fidelity or Vanguard, with whom they may already have an account.
In principle, more individuals might invest in and have an impact on the cryptocurrency market the more accessible bitcoin assets are through conventional financial products. You may add bitcoin to your portfolio straight from the same brokerage with which you already have a retirement or other traditional investing account.
Broader Institutional Cryptocurrency Adoption
In 2021, mainstream businesses from several sectors began to show interest in cryptocurrencies and blockchain. For instance, AMC said that by the year-end, it would be ready to take Bitcoin payments. By enabling customers to purchase on their platforms, fintech businesses like PayPal and Square are also placing a bet on cryptocurrencies. Despite having billions of dollars worth of cryptocurrency holdings, Tesla keeps changing its mind about accepting Bitcoin payments. Experts anticipate an increase in this buy-in.
Top 10 Cryptocurrencies To Invest In
Bitcoin (BTC) – Market cap: Over $846 billion
Bitcoin (BTC) is the first cryptocurrency, having been established in 2009 under the alias Satoshi Nakamoto. BTC operates on a blockchain, which is a ledger that records transactions and is shared over a network of thousands of computers, like the majority of other cryptocurrencies. Bitcoin is maintained secure and protected from fraudsters because updates to the distributed ledgers have to be validated by cracking a cryptographic puzzle, a procedure known as proof of work. Approximately $500 could be spent on a Bitcoin in May 2016. The cost of a single Bitcoin was above $44,000 on March 1st, 2022. That is an increase of nearly 7,800%.
Ethereum (ETH) – Market cap: Over $361 billion
Because of its potential uses, including so-called “smart contracts” that automatically execute when certain conditions are fulfilled and non-fungible tokens, Ethereum—which is both a cryptocurrency and a blockchain platform—is a darling among programmers (NFTs). Ethereum has also grown quite fast. Its price increased by more than 27,000 percent from around $11 to over $3,000 between April 2016 and the beginning of March 2022.
Tether (USDT) – Market cap: Over $79 billion
Tether is a stablecoin, which means it is backed by fiat currencies like U.S. dollars and the Euro and theoretically maintains a value equal to one of those denominations, in contrast to some other types of cryptocurrencies. As a result, investors who are cautious of the severe volatility of other coins choose Tether since its value is theoretically expected to be more stable than that of other cryptocurrencies.
Binance Coin (BNB) – Market cap: Over $68 billion
Binance Coin has grown since it was introduced in 2017, and it now does more than just enable transactions on Binance’s exchange platform. Now, it may be utilised for trading, processing payments, or even making trip plans. Additionally, it may be sold or converted into other cryptocurrencies like Ethereum or Bitcoin. In 2017, BNB cost only $0.10. Its price increased to nearly $413 by the start of March 2022, a gain of around 410,000%.
XRP (XRP) – Market cap: Over $37 billion
XRP is a cryptocurrency that may be used on that network to allow trades of many currency kinds, including fiat currencies and other significant cryptocurrencies. It was developed by some of the same founders as Ripple, digital technology and payment processing firm. XRP was worth $0.006 at the start of the year 2017. By March 2022, it had increased in price to $0.80, a gain of more than 12,600%.
Terra (LUNA) – Market cap: Over $34 billion
Terra is a stablecoin blockchain payment network that depends on maintaining a balance between two different cryptocurrencies. Stablecoins backed by Terra, like TerraUSD, is correlated to the value of real money. The Terra platform is run by its counterbalance, Luna, and new Terra stablecoins are minted using Luna. From Jan. 3, 2021, when it cost $0.64, to the start of March 2022, Luna’s price has increased by more than 14,200% to $92.
Cardano (ADA) – Market cap: Over $33 billion
Cardano is noteworthy for using proof-of-stake validation early while entering the crypto industry somewhat later. By eliminating the competitive, problem-solving part of transaction verification seen in systems like Bitcoin, this approach reduces energy consumption, increases transaction speed, and has a smaller negative impact on the environment. In comparison to other significant crypto investments, the rise of the Cardano ADA token has been somewhat muted. The cost of ADA was $0.02 in 2017. Its cost was $0.99 on March 1st, 2022. This is an increase of 4,850%.
Solana (SOL) – Market cap: Over $33 billion
Solana was created to support the usage of decentralised finance (Defi), decentralised applications (DApps), and smart contracts. It operates on a special hybrid proof-of-stake and proof-of-history system that aids in the speedy and safe processing of transactions. The platform is run by the native token of Solana, SOL. SOL’s pricing started at $0.77 when it debuted in 2020. By March 1, 2022, it had increased in value by around 13,000 percent, to about $101.
Polkadot (DOT) – Market Cap: Over $22 billion
The 2016-founded Polkadot (DOT) blockchain interoperability protocol was created to link several chains together. Additionally, it enables secure data exchange and transaction processing for parachains, or parallel blockchains. Developers may use the Polkadot security to build their blockchains. The price of Polkadot peaked in May 2020 at $6.30 and then reached an all-time high of $55.11 in May 2021.
Litecoin (LTC) – Market Cap: Over $9 billion
Charlie Lee, a former software developer for cryptocurrency exchange Coinbase, invented the open-source blockchain project Litecoin (LTC), which was introduced in 2011. Despite similarities to Bitcoin, it is designed to have a quicker confirmation time for transactions. It may be used as a method of direct payment to anyone anywhere around the globe. The term “silver to Bitcoin’s gold” is widely used to describe LTC. The overall round-off supply of Litecoin is 84 million coins. It reached an all-time high of $413.47 in May 2021 but then fell by more than 50%.
The Future of Crypto Investments
The fact is that crypto investment is still new and speculative with no historical data to base forecasts. We may guess what value bitcoin may have for investors in the future months and years. No of what a particular expert believes or claims, nobody truly knows. For long-term wealth creation, it is crucial to only invest what you are willing to lose and to stay with more traditional assets. Keep your investments modest, and never prioritise cryptocurrencies over other financial objectives like retirement savings and debt repayment with high-interest rates.
