Cryptocurrencies: January update
Cryptocurrencies have been in the market for over 10 years and despite their volatility, they have done so well that some countries like Sweden and Denmark are considering introducing digital currency into their economy. The bank of England may also join this race to digitize currency according to recent news. The cryptocurrency market has grown into a multi-trillion dollar market despite its short year-ps in operation. Grindness, a bitcoin mining company has been set up in Malawi in Africa and the country has seen a great opportunity to grow its economy. The project taps into 50 kilowatts of stranded energy as a test for a major new mining site.
It is impossible to give correct long-term predictions of prices given the volatility of the market. The current prices however show that bitcoin is still the top pick to produce significant gains for investors.
In this article, we shall look at different top picks for cryptocurrency investment and analyze their prices.
Bitcoin
Bitcoin has hit its highest price since mid-last year. Cryptocurrency has a very volatile price which experiences periods of huge losses when it loses huge amounts in value and times of prosperity when it has great gains.
Last year, Bitcoin had a rough time and lost considerable value, it, however, rallied sharply from the beginning of 2023 to date and has increased by over 40% in value.
During the writing of this article, Bitcoin was trading at 23,045.30 U.S. dollars after a 1.70% spike today. Even though it experienced a -38.03% fall in 2022 it has more than compensated for it in the time from the start of 2023 to date by shooting by 38.78%. This translates to a 38% and 0.42% rise in the past month and six months respectively.
Bitcoin currently has a supply of 18,925,000 bitcoins and a block reward of 6.25 bitcoins.
Ethereum
Ethereum is a decentralized, open-source blockchain platform that makes it possible to make smart contracts and applications that run without a central server. Vitalik Buterin made it in 2013 and made it available to the public in July 2015.
Devcon, the largest conference for Ethereum developers, is set to take place again in 2023 though the location for it is yet to be named. The conference, which took place in Colombia in 2022, is a highlight among Ethereum fans and investors, who often meet in different corners of the world to share their thoughts and innovations for the second-largest blockchain.
During the time of writing, Ethereum was trading at 1,581.85 U.S. dollars after a drop of -1.20% today. In the past year and past six months, it has dropped by -31.83% and -3.33% respectively. It has however been on a recovery path with a 30.62% rise in the past month translating to a 31.83% rise since the beginning of this year to date.
Binance Coin
Binance exchange is among the world’s largest and most popular cryptocurrency exchange platforms. The Binance Coin is its native token. The cryptocurrency can be used to pay for trading fees on the exchange platform, and also earns its holders trading fees discounts on the platform. Analysts expect Binance Coin (BNB) to keep going up as the crypto market as a whole goes up.
Even though there was a scandal over the crash of FTX, users have continued to trust Binance and its products, such as Binance Coin (BNB), BUSD, the third-largest stablecoin, and a number of other offerings.
As of the time of writing, the Binance coin was trading at 305.55 U.S. dollars after a 0.29% spike in price. After a tough year, the coin fell by -21.63% last year, it however compensated for this by rising by 12.49% in the past six months. From 1st January 2023 to date, it has covered its losses and gone beyond with a 25.27% rise.
Investor’s Note
Last year was a very tough year for the cryptocurrency market which lost about 2 trillion U.S. dollars in the entire market. All crypto-tokens have a drop to show for last year’s hardships but most have been on a recovery trend from the last month of last year to date. Some seem to be coming back with more ferocity and are ready to take a leading position among the best in the market.
When investing in Cryptocurrency always ensure you choose the right broker or exchange platform and remember these are digital assets whose value is very volatile. When investing always put to consider how much you are willing to spend and not more than you can afford to lose. Before investing in any cryptocurrency ensure you are well informed on its past and future trajectory as well as the best exchange platform to use.