Cryptocurrency is officially one of the biggest investments that everyday people love. Its mainstream nature has attracted those with a high risk tolerance for many years, and some people have made millions by hedging their bets on cryptocurrency. If you’re looking to join their ranks and embrace risk for the sake of reward, it’s important to do some research on the crypto market. Here, we’re going to discuss where this industry is at in 2024 and what the best crypto to invest in now is.
Read on to heighten your growth potential when expanding your portfolio to include cryptocurrency.
The State of the 2024 Crypto Market
Experts project that cryptocurrency will continue to progress in 2024. Growth has been slow but steady so far, and it’s projected to skyrocket this year because enterprises are embracing digital currency at an increased rate.
Ethereum specifically has gained massive popularity, and though it may eventually hit capacity limits and cause high fees, it’s getting closer to mainstream currency every day. Ethereum and other cryptocurrencies are becoming more similar to fiat cash in their popularity and utility, and we’re going to be able to spend it in stores and online more and more easily.
The same experts predict that enterprises in a wide range of industries will be more likely to work with crypto. Some have left digital assets in the past because of fear of exchange scandals and scams. However, these memories will fade over time and new and innovative ways to protect businesses will emerge.
Hopefully, these shifts will cause large industrial enterprises and corporations to give crypto another chance even if they abandoned it in the past.
Facts and Figures
As of January 2024, the global cryptocurrency market cap is $1.79 trillion. This is an 89.71% increase from one year ago. This figure comes from a global assessment across 974 different cryptocurrency exchanges.
The cryptocurrency is therefore very profitable in the long term because of steady value increases. However, it’s also critical to note that the market is volatile and will fluctuate by losing 4% of its value on a given day sometimes. This is meaningless since crypto volatility has 10% daily swings while still gaining long-term value.
Bitcoin (BTC) is also still the most popular available cryptocurrency by far. While Ethereum and Solana are also skyrocketing, Bitcoin’s value grew by over 150% in the past year despite short-term fluctuations. As of January 2024, it represents about 47.86% of the crypto market with a cap of $859 billion.
What Does This Mean for New Investors?
The short-term volatility of crypto makes it a poor short-term investment. If you purchase digital assets today, their value could be down by 10% tomorrow. Selling them within a short timeframe is imprudent and can result in a lot of lost value.
Investors should consider Bitcoin and other cryptocurrencies as long-term investments. They’re profitable over time, so they’re great for those saving for retirement. Make sure that you monitor market trends and determine when to sell at the highest possible profit.
Predetermined Sale Amounts
Some people buy crypto and put off selling it even when they should. They feel like holding out longer will increase the value of the cryptocurrency. Unfortunately, short-term fluctuations mean that this does not always happen, and waiting beyond a certain market peak increases risk.
Before you even purchase your cryptocurrency, talk with a TrueCode Capital professional as well as others in your crypto investor network. Come up with a set amount of money you’re looking to make in returns. Sell your cryptocurrency the moment that its value reaches your pre-set goal.
Portfolio Diversification Is Key
A single type of cryptocurrency should never be the only item in an investor portfolio. It often has a high return, but it’s also a high-risk investment that you need to hedge against. This means diversifying your portfolio with multiple crypto investments as well as stocks, bonds, precious metals, and real estate.
As a crypto investor, the best possible thing to do is to diversify with other cryptocurrency tokens. Adding large-cap currencies like Bitcoin to portfolios with new and emerging crypto types creates a hedge. If you only own small-caps, adding Bitcoin or Ethereum (ETH) will give you something to fall back on if growing small-caps fail.
You also need to diversify by purchasing tokens across multiple sectors. Some crypto is meant for file storage while others are meant for finance. There are also different types of tokens like stablecoins and governance tokens to consider.
You also may want to invest in an initial coin offering (ICO). An ICO is extremely risky because you’re literally buying the first crypto tokens of a specific emerging small-cap. However, it also has a lot of reward potential since you’ll be buying something new at a very low price.
ICOs are risky and don’t pay off sometimes, so it’s important that you and an adviser work to offset those risks. However, it’s a great way to get a foot in the door of multiple markets.
And who knows? Maybe you’ll strike it big.
Algorithmic Trade: A New Way to Invest
Everyone wants to hit a jackpot when investing, but this isn’t something that often happens randomly. You need to make smart investments in order to mitigate risks and reap the highest possible reward over time.
As technology becomes more adept at reading fluctuating markets, an algorithmic investment increases your chances of a high ROI. Experts at TrueCode Capital utilize this technology so that clients don’t lose out on opportunities or succumb to large, inexperience-related losses.
Instead, we select a diverse basket of different cryptocurrencies. The aim here is to pace your portfolio’s growth with that of the overall crypto market. You won’t be making one emotional investment in a single type of cryptocurrency that will fail on a small scale.
Then, we apply an algorithmic trading system that manages your portfolio throughout its lifespan. This preserves your capital during drawdowns. Finally, we allocate capital proportionally to the best assets in your portfolio so that you’re more likely to turn a higher return.
The Best Crypto to Invest in Now
Algorithmically-selected cryptocurrency preserves client capital effectively. In fact, as of July 2022, our funds returned +13% of value. This is a stark contrast to Bitcoin’s (at the time) -37%.
This success lies partly in selecting the right cryptocurrency for our clients to invest in. In 2024, we predict that Bitcoin still has one of the highest potentials for growth.
Bitcoin is currently at its highest trading level since 2022, and those who want to make a tried-and-true investment can’t go wrong with it. It’s the most widely-known cryptocurrency out there, and it’s developing many industrial and organizational uses among enterprises in different markets.
Because of its growing utility, the value of Bitcoin is also going up. Many investors believe that a single Bitcoin may be worth over $100,000 by the end of 2024.
Solana (SOL)
Solana is another cryptocurrency to watch for in 2024. Unlike Bitcoin, it has no cap on the number of tokens available. It was previously a small-cap cryptocurrency that went up in value by about 1000% at the end of 2023. It was basically dead before this spike, but this growth now makes it the fourth-biggest crypto across the globe.
Solana’s comeback means that it shows signs of even overtaking Ethereum (ETH) in popularity. It’s at least a serious competitor, especially considering ETH’s $284 billion market cap. Solana may be worth about $3200 by the end of 2030, making it a massive global behemoth.
Ethereum (ETH)
Ethereum is perfect for steadfast investors who shy away from emotional and spur-of-the-moment decision-making. SOL is in its earlier, newer stages of growth. While it’s a great investment, some people still prefer the peace of mind that a tried-and-true token would offer.
Despite its short-term fluctuations, the Ethereum market has been on a massive incline since October 2023. Expert analytics predict that its average price in 2024 will be about $3,404.19. The highest price it will reach in 2024 is $3,917.58.
However, this will only go up in subsequent years. Current experts project that the average price of ETH will be $4,851.27 in 2025; in 2026, this will increase to $7,186.61. Since Ethereum is a long-term investment like other cryptocurrencies, holding onto it until 2050 could make you an average of $180,763.29.
Other Cryptocurrencies to Consider
Tether (USDT) is an inexpensive, new type of cryptocurrency that you can buy today for only $1. In fact, you can always buy it for $1. Its aim is not to be affected by short-term market volatility, so you will be able to trade one USDT for one dollar regardless of market climate.
While stable and reliable, though, Tether won’t afford much payoff right now. It’s good for diversification.
To get more payoff, consider diversifying with assets like Chainlink, Beam, and the AI token yPredict. Professionals can help you iron out the details, but do your research and consider multiple options.
Maximize Your Growth Potential With Cryptocurrency
Now that you know some of the best crypto to invest in now, it’s time to diversify your 2024 portfolio the right way. Our team is committed to helping individuals and wealth managers select the right cryptocurrency investments to meet their specific goals.
We provide a professional assessment of the market, how it fits into your objectives, and how much you’re projected to make off a given investment. Reach out to TrueCode Capital to learn more about risk management and invest in digital assets ASAP.
