Best cryptocurrencies to buy 2022

Last updated: 09.03.2022
Paul Langham
Author:
Paul Langham
Adviser
CFD & Trading
Experience
> 30 years

Are you planning to invest in cryptocurrencies this year? With thousands of cryptocurrencies available in a market worth over $100 billion USD, which cryptocurrencies are the best to buy in 2022? That’s why we are here to help you buy cryptocurrency!

While there is no one cryptocurrency that can be awarded as the single best choice for 2021, we have selected 7 of the best cryptocurrencies to buy right now. Our list of the best cryptocurrencies to buy are expected to see substantial growth by year’s end and are expected to show continued growth in the future.

❗ Disclaimer: Currently, at nextmarkets you can only trade CFDs on Bitcoin, Ethereum, Litecoin and Bitcoin Cash!

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nextmarkets investors

  • What is cryptocurrency?
  • Which cryptocurrencies to buy in 2022
  • Bitcoin (BTC)
  • Cardano (ADA)
  • EOS (EOS)
  • Binance Coin (BNB)
  • Basic Attention Token (BAT)
  • Litecoin (LTC)
  • Final thoughts

What is cryptocurrency?

So, what is cryptocurrency? Cryptocurrency is a decentralized form of digital currency, free from government interference and regulation. The digital asset leverages advanced blockchain technology to keep an irrefutable leger of transactions that provides transparency and security. Cryptocurrency payment systems are based upon cryptographic proof, in the form of blockchain verification, rather than trust.

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Which cryptocurrencies to buy in 2022

To date, there are over 6,000 cryptocurrencies available at several cryptocurrency exchanges online – which is how you can buy cryptocurrency. Cryptocurrency tokens are stored in specialized digital or physical wallets that can be accessed by various methods. Digital cryptocurrency assets can be owned or speculatively traded as a CFD. You’ll find no better platform to trade CFDs than nextmarkets.

In 2021, major cryptocurrencies, such as bitcoin, can be used at online casinos, to buy goods and services at online retailers, and a growing number of physical retailers are accepting crypto payments.

Now that you know what is cryptocurrency and how to buy cryptocurrency, it is time to check out the best cryptocurrency to buy now. But which cryptocurrencies to buy in 2022 are the absolute best value? With over 6000 cryptocurrencies available at many different cryptocurrency exchanges, it is tough to know what to look for. These are the best cryptocurrencies to buy in 2022.

Bitcoin (BTC)

You can’t really check out any trading or finance news in 2021 without seeing something new about the utterly insane Bitcoin bull run. The very first cryptocurrency, launched in 2009 as a facilitator of instant payments, free from government interference, has certainly undergone some highs and lows. Back in 2017, there was an incredible bull run on bitcoin that netted crypto investors a 1350% return. Then in 2018, it went south when the value of Bitcoin plummeted 70% – a bearish market that would continue for another year.

Bitcoin has formed the basis for all other cryptocurrencies – to be a global, peer-to-peer payment system, free from any government oversight or regulation. Bitcoin numbers are hard to deny. In 13 years, bitcoin has gone from a valuation of $0.08 USD to a monstrous $50,000 USD (29 March 2021).

Why buy Bitcoin?

There are certainly a few reasons why you should buy bitcoin and why bitcoin is one of the best cryptocurrencies to buy right now.

Increased Adoption – You can’t miss the fact that more retailers and businesses around the world are adopting bitcoin as a payment method. Online casinos have been accepting cryptocurrencies, mostly bitcoin, for some time now and earlier this year Tesla Motors adopted bitcoin as a payment option for their products.

Wall Street Acceptance – Once considerably regarded as a bubble, Bitcoin was the best performing asset in 2020. More and more investment funds and business firms are taking to Bitcoin – PayPal, JP Morgan, and even Visa, all offer crypto services in 2021. The current total market value of Bitcoin is over $1 trillion USD and institutional demand is high.

Macro-Climate Ready – Like gold in the 1970’s, bitcoin represents a change in the monetary regime. Bitcoin was born out of a Global Financial Crisis that saw government bailouts and bank failures. Once more, in 2021 we are seeing incredibly low interest rates and more bailouts. However, the adoption of bitcoin by retail investors and major financial institutions proves that the value proposition of bitcoin is perfectly suited to the current macro environment.

Bitcoin is possibly the hottest topic on the lips of every crypto trader around the world. A bullish run since late 2020 that has seen bitcoin surge over 500% is a number that is impossible to ignore. Predictions vary quite a bit but the general consensus seems to suggest that bitcoin could end 2021 with a valuation of over $100,000 USD.

Ethereum (ETH)

Despite being on the lips of every crypto trader in the world, bitcoin is not the most influential cryptocurrency. No, without a doubt Ethereum is the far more influential crypto, owing to a blockchain that allows anyone to build a variety of business applications. Ethereum is pioneering the Decentralized Finance (DeFi) industry through a series of applications (dApps) and protocols built on the Ethereum blockchain.

Despite a smaller market cap and less global recognition than bitcoin, Ethereum is still the 2nd largest cryptocurrency by a considerable market value margin. While not going to catch bitcoin anytime soon, Ethereum is greatly benefiting from the substantial investments being made into DeFi projects. The native Ethereum crypto asset is known as Ether, and as well as being a digital currency, Ether offers several functions including a fuel for the creation of dApps.

The possibilities of the Ethereum 2.0 platform and the need for Ether tokens to support smart contracts and other dApps make Ether a very valuable digital asset in the upcoming years.

Why buy Ethereum?

Ethereum’s market cap exploded last year by more than 60% and the crypto continues to be great value for money. You’ll never have an issue buying or selling Ethereum as it has the 2nd highest liquidity of any crypto asset. Where bitcoin is facing scalability issues, Ethereum will be less likely to follow suit since there are significantly more Ether in existence.

Ethereum currently trades at around $1,800 CAD (29 March 2021) and is expected to reach somewhere between $4,000 and $4,800 USD by year end. Clearly, there are plenty of reasons to buy Ethereum in 2021.

Cardano (ADA)

Cardano has been considered by many to have always been a promising crypto coin and now one of the best cryptocurrencies to buy in 2022. Launched in 2017, as a major Ethereum competitor, the Cardano blockchains Proof of Stake (PoS) technology proved to validate transactions at a lower cost than the Proof of Work (PoW) system used by Bitcoin.

The system, devised by a team of pioneering academics and engineers, offers tremendous transaction speeds that appear to be capable of handling up to a million transactions per second! With a market cap in the realm of $49 billion CAD in March 2021, there are still another 14 billion coins remaining in the supply cap.

Why is Cardano one of the best cryptocurrencies to buy right now? To get in on the massive momentum. Cardano initially reserved 5 Billion coins for their development teams – in only a few short years, those coins have moved from a value of $149 Million USD to a staggering $6 Billion. The development team have put that increased funding to good use, aiming to launch a smart contract ability this year, set to capitalise on the NFT movement, currently dominated by Ethereum.

If you consider the high costs of minting new NFTs in Ethereum, then the low transaction costs of Cardano, make the crypto a serious contender to Ethereum’s dominance in the NFT realm.

Why buy Cardano?

Old coins, that offer little in technological advancement offer many reasons to be skeptical. That is why a technological leader, like Cardano, poses a genuine threat to traditional banking systems. ADA is a very low-cost crypto and further adoption is increasing. Currently trading at a little over $1.00 USD, analysts expect the advanced crypto to soon hit $2.00 USD, with some forecasters predicting the bullish trend to peak at $10.00 USD by the end of the year.

EOS (EOS)

Released in 2018, EOS is a decentralized platform enabling the use of smart contracts and other dApps on a blockchain network. Ethereum may be king of blockchain technologies and leading the charge in DeFi applications, but EOS are gaining investors by overcoming the shortcomings of Ethereum.

Sometimes nicknamed ‘The Ethereum Killer’, EOS have overcome some pretty significant barriers associated with Ethereum, such as how Ethereum requires coding knowledge in Solidarity, in order to build dApps. EOS already provides account management and database services, that require no programming knowledge, to businesses.

The technological advancements don’t stop there either:

  • Fast and Scalable – Investors love the fact that EOS is faster than both Ethereum and Bitcoin and is far more scalable too.
  • Easier Development – Since EOS developments are built using the widely adopted C++, rather than a unique programming language like solidarity, it is much easier to adopt.
  • Advanced Smart Contracts – EOS smart contracts have a significant advantage over those provided by Ethereum. Whilst Ethereum smart contracts are immutable, unable to be stopped once active, EOS smart contracts allow users to make updates.
  • User-Friendly – A really important factor when trying to grow the use of dApps and cryptocurrencies. EOS is far more user-friendly than major rivals like Ethereum.
  • More Decentralization – Bitcoin is controlled by 4 mining pools and Ethereum by 2 which means these few groups hold all the power of control. However, EOS has 21 block-creators that divide the power far more significantly and creates a far more decentralization.

Why buy EOS?

A very successful token sale, that acquired significant capital to further develop over the coming years, makes EOS one of the best cryptocurrencies to buy. Most market predictions of EOS in 2021 put the cryptocurrency at a fantastic potential low of $1.00 USD and a possibly immense high of $22 USD.

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Binance Coin (BNB)

If you’re an investor looking to diversify an already developed portfolio of major cryptocurrencies, then Binance Coin is certainly one of the best cryptocurrencies to buy now. Binance operate ones one of the biggest global cryptocurrency exchanges and its very own coin is considered a ‘utility coin’ owing to many uses.

The use of the token is where Binance Coin gets its value – and the great demand too. Much of the trust in Binance Coin is also derived from the excellent success of the Binance Coin exchange platform. Binance Coin has been highly liquid this year, and despite volatility, the asset has seen significant growth over the past year.

Why buy Binance Coin?

Binance Exchange is still one of the fastest growing cryptocurrency exchanges and all transactions on the platform use Binance Coin – Meaning a high trading volume that makes Binance Coin one of the fastest growing cryptocurrencies in the world too.

Market predictions are pointing to quite a bull run with speculation that Binance Coin could reach between $316 and $395 USD by the end of 2021.

Basic Attention Token (BAT)

Bat has remained one of the hottest digital assets over the last 5 years and that trend seems poised to continue right through 2021. BAT is yet another utility token, like Binance Coin, and is utilised by the free and open-source Brave Browser. Brave is a chromium-based web browser that blocks web tracks and ads, while also allowing for cryptocurrency contributions.

Content creation is a booming industry in 2021 and BAT tokens can be used to provide a tip to content creators online. If you deem someone helpful on the internet, you can send them a BAT tip via the Brave Browser. The web browser industry is massive, so you can imagine how lucrative this concept could be.

Why buy BAT?

BAT owes much of its trust to the fact that it has remained consistent while many other crypto coins have collapsed and faith in a development team headed by Mozilla Firefox co-founder and JavaScript co-creator, Brendan Eich.

If market trends continue, BAT value could increase by over 30% in 2021, making the utility token one of the best cryptocurrencies to buy right now.

Litecoin (LTC)

Looking for high liquidity and a large market cap? Considering the limited supply and lower mining block reward of bitcoin, Litecoin is poised to explode in 2021 with a huge coin supply and a block reward of 12.5 coins – A reward that is higher than many major cryptocurrencies.

Litecoin appears to be the miners crypto with the average time expected to mine a block being around 2 minutes. Litecoin still remains one of the most popular altcoins listed on major crypto exchanges such as Binance and Coinbase. One of the oldest cryptocurrencies still available on the market, Litecoin still has a large market cap of $5.9 billion USD.

Unlike many cryptocurrencies in the market, Litecoin is still enjoying an increase in adoption by a world embracing digitalization. As more merchants continue to adopt Litecoin, the demand for the crypto coin increases. Litecoin transactions are fast and it has been considered the “payments cryptocurrency” by merchants that accept the cryptocurrency.

The continued growth of other major cryptocurrencies is an important factor when determining demand for Litecoin. As one of the oldest cryptocurrencies, the performance of bitcoin is often tied to the performance of Litecoin – As bitcoin goes up, so often does Litecoin.

Why buy Litecoin?

Price predictions for Litecoin in 2021 are still quite good. While Litecoin is often quite volatile, there are speculations that Litecoin might return to a value over $300 USD – a number not seen since 2017.

Final thoughts

The above cryptocurrencies are all offering great potential as a trading option. They have all shown fantastic growth over the past year and much of 2021. When looking for the best cryptocurrencies to buy in 2022, you should look for a solid development team, a really strong and active community, and proven history.

There is clearly much potential in the cryptocurrency markets but your selection will, of course, depend on your trading goals. Whether diversifying your portfolio, or taking the first steps into the exciting world of crypto trading, these are the best cryptocurrencies to buy in 2022 at nextmarkets.

The best cryptocurrencies to buy FAQs

📱What is a Crypto Exchange?

In order to facilitate cryptocurrency trades in a marketplace with over 6000 unique digital assets, the cryptocurrency exchange became the business platform for crypto customers. There are several major cryptocurrency exchanges that accept various payment types in exchange for cryptocurrencies.  

💲How do I Buy Cryptocurrency?

There are many factors that influence a crypto trader’s decision to buy cryptocurrency or sell a digital asset. These factors are determined by your trading style, account capital, trading goals and will be unique to the individual crypto trader.  

👀Is Cryptocurrency a Short-term Investment?

The length of time a crypto trader chooses to buy cryptocurrency will entirely depend on their market speculation and trading goals. There are many tools available to crypto traders to assist in the speculation of price movements of a cryptocurrency.

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