5 Top Altcoins That Will Explode in 2022

Cryptocurrency is a concept known to virtually every human on the face of the earth. From the launch of the first cryptocurrency, Bitcoin, it has gradually become an acceptable financial concept that has the potential to take over from the traditional fiat currency. Apart from Bitcoin, which is widely known as the most popular and valuable cryptocurrency, there are other cryptocurrencies you can trade. The other types of cryptocurrencies are known as altcoins.

Altcoins are derived from Bitcoin, therefore, they have similar characteristics to Bitcoin with differentiating factors from Bitcoin. Some of these differentiating factors include their consensus mechanisms used in validating transactions, low-price volatility, and smart contracts. Because of their similarity with Bitcoin, altcoin prices tend to mimic Bitcoin price movements.

Examples of altcoins include stable coins, utility tokens, security tokens, and mining-based cryptocurrencies. In 2021 alone, it has been established that there are about 9,000 cryptocurrencies and altcoins alone account for 40%. Bitcoin and Ethereum were the largest cryptocurrencies by market capitalization in the first quarter of 2021.

5 Of The Best Altcoins In 2022

It can be said that altcoins have now established their own market and they have been able to create an alternative to Bitcoin and other major cryptocurrencies which many investors are beginning to profit from. The best altcoins in 2022 can be found in the blockchain space. There are now more decentralized finance (DeFi) and smart contracts which have given more ground to altcoins in the crypto space. Here is a list of the 5 best altcoins in 2022. These altcoins are expected to gain more traction in the crypto space as time goes on.

CHAINLINK (LINK)

Chainlink, which was launched in 2017, is a decentralized blockchain oracle network that can be said to be one of the best altcoins in 2021. It has a total supply of 1,000,000,000 with a total of 438,509,553 in circulation.

Chainlink is a smart contract application and is regarded as one of the best altcoins in 2021 with the potential to be the best. The major function of Chainlink is that it bridges the gap between smart contracts on blockchain and oracles that send real-world data. Chainlink solves the problem of individual oracles gathering data for smart contracts on a decentralized blockchain.

A typical benefit of Chainlink is that it allows a farmer to hedge against a bad position when trading. Some other perks of Chainlink are that it pays insurance claims to users if the value in a smart contract such as temperature or share price does not meet a certain standard. The potential of Chainlink has made it indispensable to DeFi companies who pay huge amounts to use it on their platform.

Price History

When it was launched in 2017, LINK token was trading just a little above a cent. This remained until mid-2020 when a LINK token was valued at $4. It enjoyed its all-time price increase as it was valued at $37 per token. However, due to the recent market dip, a LINK token is valued at $17, which is relatively affordable. Chainlink is predicted to be worth at least $31 by 2025.

How To Buy

Just like any other cryptocurrency, you can buy Chainlink on various crypto exchanges such as Coinbase, Binance, and Kraken. Chainlink is referred to as LINK tokens in currency name and you can exchange them for any existing cryptocurrency you have and vice versa. You can also purchase LINK tokens with fiat currency.

Just like any other cryptocurrency and altcoins, investing in Chainlink has its risks and rewards. For investors, the altcoin had shown promising signs just before the major market dip in the second quarter of 2021. This is proof that Chainlink may be worth the risk. In the practical aspect, you can use Chainlink’s smart contract features for your trading.   

ETHEREUM

Ethereum is another type of altcoin that is globally known as the next cryptocurrency after Bitcoin. It is the most actively used blockchain technology with smart contract features. It has a market capitalization of $235,116,408,260 with a total and circulating supply of 116,674,376.

Ethereum is decentralized finance technology that allows cryptocurrency users to transact without the aid of third-party brokers. Bitcoin and many other cryptocurrencies use the Ethereum blockchain technology. The potential of Ethereum is not in doubt and the fact that it gives users more control by eliminating intermediaries with smart contracts makes it a viable investment worth investing in.

With the major Ethereum upgrade project that was launched in December 2020 and tagged Ethereum 2.0, it is only a matter of time before the value of Ethereum triples and leaves investors smiling all the way to the bank. The project is aimed at upgrading on Ethereum 1.0 which handles about 15 transactions per second and gives it the capacity to handle more than tens of thousands of transactions per second.

A lot of DeFi projects are built on the Ethereum network which has allowed it to gain more traction in the crypto space. Ethereum also allows the use of Non-Fungible Tokens (NFT). The Ethereum technology is widely accepted because of its efficiency which is evidenced in December 2016 when Ethereum technology exceeded 1 million transactions in a single day.

Price History

When Ethereum was launched in 2015, it traded a little under 70 cents and it maintained a steady rise up until 2017 when it experienced a hike in price to the tune of $343.42. It hit $1,405.21 in 2018 but dropped drastically to $83 by the end of 2018. in the first quarter of 2021, Ethereum was valued near the $2,000 mark before the crypto market dip happened. There are positive signs that the value of Ethereum will keep surging and coupled with the upgrade project that was launched in 2020, it will be a worthwhile investment. Experts predict that Ethereum will be worth $4,000 in the year 2025. 

How To Buy

Ethereum is the second most popular cryptocurrency after Bitcoin. It is sold on virtually every crypto exchange you can find. It can be exchanged for any existing cryptocurrency and can also be bought either by using an existing cryptocurrency or fiat currency.

STELLAR LUMENS (XLM)

Stellar, as it is popularly called, is an open-source decentralized technology that allows the low-cost transfers of digital currencies to fiat money. It has a wide range of currencies that can be traded both locally and across borders. It is a DeFi project which experts have predicted to come back stronger from the general crypto market dip.

XLM has a total supply of 50 billion with 23 billion in circulation. Its market capitalization is pegged at $5 billion. This makes it the fifth-largest cryptocurrency in terms of market cap. It is described as compelling and disruptive and has the potential of increasing in value in the shortest possible time. The signs are encouraging and it will not be considered a bad investment if you decide to trade in XLM.

It is in fact considered one of the best altcoins of 2021 as it has a high correlation rate with the almighty Bitcoin and that is no easy feat. The developers of this digital currency are working round the clock to increase its relevance in the crypto space. Just recently, in the first quarter of 2021, Steller reached an agreement with the Ukrainian government which will ensure that its central bank uses the Stellar blockchain to host their Central Bank Digital Currency. This gave it a spike in value in the first quarter. with the news that Stellar is working to reach this same agreement with the government of other countries. If it continues at this rate, Stellar will fulfil its potential as one of the best altcoins in 2021.

Price History

Stellar has been trading at under a dollar since its launch. In 2021, it started trading at $17 and rose to an impressive rate of $70 before being hit back by the crypto market dip. One singular Stellar now goes for $27. Overall, it is classified as one of the best altcoins in 2021, and experts believe it will live up to the hype.

Where To Buy Lumens

Lumens is on different crypto exchanges today. you can buy Lumens from any part of the globe with other digital currencies or fiat currency. You can buy Lumens on Binance, coin base, Kraken, and many more.

LITECOIN

Litecoin is peer-to-peer and open-source cryptocurrency software that was launched in 2011 by a former Google employee as an alternative to Bitcoin. It is affordable and executes transactions at a faster rate than Bitcoin.

Litecoin has a total supply of 66 million which are all in supply and a market capitalization of $8 billion. It is identical to Bitcoin and has faced stiff competition from Bitcoin and other altcoins but has been able to hold its own all these years. This validates its potential as one of the best altcoins in 2021. The aim of Litecoin is to process transactions faster than Bitcoin and this makes it cryptocurrency to watch out for. For investors, Litecoin is a viable option to invest in as it has shown promise to increase in value with time. Check out our full guide on Bitcoin vs Litecoin.

Price History

Litecoin was valued at a $3 high in the first two years it was launched. It reached a $50 high in 2013 but fell back to $1 in the first quarter of 2015. In the last quarter of 2017, the value of Litecoin was as high as $80 before it reached its all-time high in December 2018 at $371. It crashed back to $25 in 2018. The value of Litecoin rose to $400 in May 2021 but has since dipped. However, there are positives from the performance of Litecoin in the crypto space. It has the potential to be one of the best altcoins in the crypto space. Litecoin is predicted to be valued at $168 at least by the year 2025.

Where To Buy Litecoin

Litecoin is the second cryptocurrency to be created and is available on various cryptocurrency exchanges. You can use other cryptocurrencies or fiat money to exchange for Litecoin and ultimately buy LTC.

UNISWAP

Another top altcoin in 2021 is Uniswap. It was launched in 2018 and it is known for providing and using liquidity. In the first quarter of 2021, Uniswap generated fees of about $2 to 3 million daily for liquidity providers. It is a decentralized DeFi protocol used to exchange cryptocurrencies. It aids cryptocurrency transactions on the Ethereum blockchain through the use of smart contracts. Uniswap has a lot of potentials as it is the largest decentralized exchange and the fourth-largest cryptocurrency exchange overall by daily trading volume. This makes a viable altcoin to invest in.

Price History Of Uniswap

Uniswap was trading around $4 when it was launched. Uniswap has gradually gained ground, especially in 2021, making it one of the best altcoins in 2021. There are positive signs that this altcoin will start gaining ground in the months to come as it returned 588.02% year to date in 2021. It rose to a historic high of $33 in the first quarter of 2021. The altcoin seems to be performing well at the moment and now will be the right time to invest in it. Its extensive usage is a positive sign that it will live up to its full potentials. There is also version 3 which is being developed at the moment and is said to be 4,000 times more efficient than version 2. Experts predict that Uniswap will be valued at $224 by the year 2026.

Conclusion

These altcoins are the best altcoins in 2021 so far and they have the potentials to be more. Investing in them at the moment will be a move in the right direction. These altcoins have proven to be a profitable alternative investment option for crypto investors. Some of the other top altcoins in 2021 include Dogecoin, Cardano, and AAVE. These altcoins are available in various altcoin exchanges where you can trade them according to the terms and conditions of your preferred altcoin exchange. You can buy these altcoins and hold them in your altcoin wallet for when they appreciate in value in the nearest future.