Cryptocurrencies have had a tough performance in 2022 as concerns about the tightening monetary conditions continued. In total, digital currencies have lost over $2 trillion in 2022 and most of them are trading at their lowest levels in years. So, here are some of the best coins to buy in the dip in 2022.
Ethereum
Ethereum is the second-biggest cryptocurrency in the world with a market cap of over $157 billion. Still, like all cryptocurrencies, its price has crashed by more than 60% in 2022. This happened as Fed hiked its interest rates by 300 basis points. Also, activity in its key markets like decentralized finance (DeFi), non-fungible tokens (NFT), and metaverse declined.
Still, Ethereum price will likely bounce back in the coming months as institutional investors come in due to the recent Merge. Merge helped to transition the coin from the dirtier proof-of-work to a cleaner proof-of-stake coin. As such, many ESG-focused investors will likely embrace ETH. In addition, future upgrades like sharding will likely draw more investors.
Bitcoin
Bitcoin is the biggest cryptocurrency in the world with a market cap of over $367 billion. In 2022, Bitcoin price crashed by more than 60%. In most cases, a BTC crash usually leads to a sell-off of other digital coins like ETH and XRP.
Bitcoin is a good cryptocurrency to buy in for two main reasons. First, BTC is usually the main catalyst for other cryptocurrencies. As such, when it falls, the other coins tend to retreat and vice versa. Second, as the biggest cryptocurrency in the world, Bitcoin is usually preferred by the leading investors who want to have an exposure to digital assets.
Ravencoin
Ravencoin is another cryptocurrency to buy the dip in in 2022. It is a small cryptocurrency that has a market cap of about $400 million. Ravencoin’s goal is to solve some of the challenges that Bitcoin has. For example, instead of a limit of 21 million coins, Ravencoin has a supply limit of 21 billion. It is also significantly faster than Bitcoin.
Ravencoin price has dropped by 58% in 2022. However, recently, it has made a strong recovery as its price has jumped by more than 150% from the lowest level this year. It has also formed an inverted head and shoulders pattern, signaling that the coin is a good buy.
Ethereum Classic
Ethereum Classic is a fork of the original Ethereum. It was formed after a team of Ethereum developers felt that it was heading in the wrong direction. Therefore, Ethereum Classic has become the main alternative to the Proof-of-Stake (PoS) Ethereum. This explains why ETC has outperformed ETH in 2022.
ETC price has dropped by just 20% this year and is currently about 130% above its lowest level in 2022. Therefore, there is a likelihood that Ethereum Classic price will continue doing well this year.
Uniswap
Uniswap is one of the top pioneers in decentralized finance (DeFi). It is a DEX that makes it possible for people to trade and invest in cryptocurrencies in a decentralized manner. At the same time, its protocol makes it possible for developers to build dApps like wallets and aggregators. Some of the top apps in its ecosystem are Rainbow Wallet, Brink Trade, and Nansen.
UNI price has dropped by more than 60% in 2021. Still, this trend could change as investors embrace DeFi blue chips. The idea is that many decentralized exchanges are actually safer than centralized exchanges like Coinbase and Binance. For one, while CEX companies like Voyager and Celsius collapsed, no major DEX collapsed in 2022.
XRP
XRP price has crashed by almost 50% this year due to the overall cryptocurrency sell-off and the ongoing SEC vs Ripple case in the United States. It has now risen by more than 50% from its lowest level this year as the litigation continues.
Ripple is a good cryptocurrency to buy the dip in because of the potential outcome of the case. Some analysts believe that Ripple has a good chance to win the case. Even if it loses, there is a likelihood that XRP will do well since the case will provide more clarity about the coin and the broader industry. For one, the worst-case scenario is where Ripple receives a big fine.
How to buy Ripple
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Bitstamp
Bitstamp is a leading cryptocurrency exchange which offers trading in fiat currencies or popular cryptocurrencies.
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Near Protocol
Near Protocol is a leading Ethereum rival that seeks to become a leading player in the smart contract industry. It is a proof-of-stake network that is known for its low carbon emissions and blazingly fast speeds. Also, the developers have launched a giant $100 million fund to incubate new projects.
Near Protocol price has crashed by 55% in 2022. Its key catalyst will be more project launches in its network and the ongoing sharding upgrade.
Sweat Economy
Sweat Economy is a new cryptocurrency that was launched in September of 2022. It is the native token for the Sweatcoin ecosystem. Sweatcoin is a leading application that rewards people for walking and doing manual activities like jogging and running. Most SWEAT tokens are generated by doing these activities while users can mine them by viewing ads in the network.
Sweat Economy price has crashed hard this year. However, there is a likelihood that the SWEAT coin will bounce back as the developers introduce new features in its ecosystem.
Cosmos
Cosmos price has crashed by more than 40% this year. In addition to the overall crash of cryptocurrencies, ATOM dropped because of the implosion of Terra Luna, a coin that was built using its platform,
Still, there is a likelihood that the ATOM price will bounce back since it is slowly becoming a key alternative to Ethereum. Indeed, more developers are moving to Cosmos SDK to take advantage of its ecosystem.
Binance Coin
Binance Coin price has also crashed hard in 2022. One reason for this is that apps in its ecosystem are not as vibrant as they were in 2022. As a result, BNB Chain has lost its market share to Tron. Still, there are reasons why BNB is a good coin to buy the dip in. For example, it has a strong market share in the blockchain industry. Also, it is owned by Binance, the biggest company in the industry.
How to buy Binance Coin
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Binance
Binance is one of the largest cryptocurrency exchanges in the world. It is better suited to more experienced investors and it offers a large number of cryptocurrencies to choose from, at over 600.
Binance is also known for having low trading fees and a multiple of trading options that its users can benefit from, such as; peer-to-peer trading, margin trading and spot trading.
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