There are around 20,000 different cryptocurrencies, and it is not a surprise that investors are also growing rapidly. Of course, it is not an easy task to find the right assets to invest in, either for the short or for the long term. As we know, cryptocurrencies are extremely volatile and are able to bring huge profits as well as big losses.
Today, we are looking at some of the best cryptocurrencies to invest in for the long term.
Bitcoin
Even now, when the price of Bitcoin has dropped significantly, it is still considered one of the best investment assets.
Bitcoin is the largest cryptocurrency by market cap and can be used for online and offline purchases. Moreover, it has become a great safe-haven investment, and investors believe it has a great future ahead.
Of course, if you track it day-to-day, you will notice its high volatility. The latest evidence is its price dip to under $18,000 from a high over $68,000. Anyway, for the last decade it was the best performing investment asset, and it is absolutely possible that it will become even more valuable in the future.
Ethereum
Ethereum is the second-largest crypto by market cap. The token is used as a store of value, but has also emerged as one of the best platforms for decentralized apps. Actually, it has become a popular and favorite platform among developers, because of its support for apps.
Furthermore, Ethereum is being upgraded, and the result will be greater scalability, security and sustainability of the network.
There are some experts, who don't believe this will have a huge effect on Ethereum, while there are others, who believe that it will double its price.
Of course, we will have to wait and see.
Cardano
Cardano (ADA) is another cryptocurrency believed to be a great investment for the long-term.
While Ethereum used an older proof-of-work protocol to verify transactions, Cardano uses a proof-of-stake protocol, serving a faster, cheaper and way more energy-efficient function.
Cardano has great popularity among decentralized apps developers, which could keep demand high for the ADA token.
Polkadot
Since its launch in 2020, Polkadot has become one of the most popular digital assets for long-term investment. Besides a cryptocurrency, it is a blockchain network, where developers can build innovative, decentralized systems.
Polkadot was created to connect independent blockchains into a single independent network. With that integration, users are able to access the proof-of-stake validation of security and transactions. It becomes easier to transfer digital assets across blockchains.
Of course, Polkadot has to compete with Ethereum and Cardano, it made an early entrance into smart contracts and analysts expect it to maintain.
Chainlink
Chainlink is another great long-term investing asset. It is an Ethereum-based network, launched in 2014, and providing real time data from off-blockchain to on-blockchain smart contracts. Its goal is to create the first blockchain oracle network.
Actually, oracles stand behind the most important blockchain technologies.
The upgrade of Chainling in 2021 was described to build off-chain networks, to reduce computational strain on the Ethereum main net, according to Benzinga.
The token, called LINK, facilitates transactions on the network and is placed among the 25 biggest cryptocurrencies.
Should we invest in cryptocurrencies for the long term?
Cryptocurrencies are highly volatile assets, but they are believed to have a great future. If we look back, we will see that they have come a long way and there are many reasons for investors to believe in their long-term value.
Cryptoarbi.com is an automated cryptocurrency trading platform. All you need to do is choose the right subscription plan, and we will do the work for you.