Yahoo Finance Forget Meme Coins: Here Are 3 Cryptocurrencies You’ll Have Confidence Buying for the Long Haul
Written by Daniel Da Costa at The Motley Fool Canada
The cryptocurrency industry is well known to be highly volatile. It has been this way for years, and even recently, as the volatility has become less severe, there is still the possibility of assets losing a major fraction of their value in a matter of hours. Despite this drawback of the cryptocurrency industry and all the speculating that goes on with meme coins, it’s also well known to offer incredible opportunities for investors to earn significant returns.
However, some investors have been drawn to the space with interest in highly risky meme coins, such as Shiba Inu and Dogecoin.
The issue is, the industry is already highly volatile. So, that makes speculating on cryptocurrencies that are already highly risky even more of a dangerous endeavour.
Instead of speculating on highly risky assets, the best way to go about investing in cryptocurrencies is to find high-potential projects that you can have confidence owning for the long haul. There is already a tonne of potential to earn massive returns. So, you don’t have to speculate on super-high-risk assets in order to give yourself a shot at earning these incredible returns.
Therefore, if you’re interested in gaining more exposure to cryptocurrencies, I’d forget meme coins. Instead, here are three of the best investments you can make today.
I’d look to buy high-quality Ethereum substitutes over meme coins
One of the best investments you can make right now is in Ethereum compatible blockchains. Until Ethereum can finally implement its upgrades in 2022, and it finally costs less Ether (its native token) every time you want to do a transaction, then Ethereum substitutes will continue to offer incredible opportunities.
One of the best cryptocurrencies I could recommend for investors is AVAX, the native token of the Avalanche blockchain.
The coin already seeing a strong rally, as the Avalanche blockchain continues to become more popular. And in recent weeks, Avalanche has passed both meme coins, Shiba Inu and Dogecoin, to move into the top 10 cryptocurrencies by market cap.
So, as the cryptocurrency industry continues to gain popularity, and investors are drawn to the exciting innovations, such as DeFi, Avalanche stands to continue to see an increase in popularity.
Therefore, I’d forget about speculating on meme coins and find high-quality investments like Avalanche that you can have confidence owning for years.
Exchange tokens can be great investments too
As the industry continues to gain popularity, naturally, more investors will be drawn to the space. This means that the popularity of exchanges and onboarding platforms will continue to grow.
So, another excellent investment to consider are the tokens of popular exchanges or cryptocurrency platforms, such as the Crypto.com coin CRO, which has grown in value extremely quickly over the last few months to become the 15th most popular cryptocurrency.
Another excellent option would be the Binance coin BNB, which has long been the third most valuable cryptocurrency and continues to rally, as more investors use Binance’s smart chain.
I’d recommended CRO over Dogecoin a little over a month ago, and since then, CRO has gained about 5% through the selloff in the cryptocurrency sector the last month, whereas meme coins like DOGE have fared much worse. In that stretch of time, Dogecoin has lost almost 20% of its value.
These native tokens of popular exchanges are rallying, because they have a lot more use cases for investors. Therefore, the demand to buy these cryptocurrencies will continue to increase over time.
So, rather than speculating on meme coins with little use cases, I’d look for high-quality cryptocurrencies that you’ll be happy to own for years.
The post Forget Meme Coins: Here Are 3 Cryptocurrencies You’ll Have Confidence Buying for the Long Haul appeared first on The Motley Fool Canada.
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Fool contributor Daniel Da Costa owns Binance Coin and Ethereum. The Motley Fool owns and recommends Ethereum.
2021
