It’s always an ambiguous task to predict the next top cryptocurrency that will explode in the coming year. There are almost 12000 cryptos in the market and developers keep on coming with their different versions.
We decided to research and come up with top-three cryptos that will spike in 2022.
In 2021, there has been competition between different cryptos. This seems like a new thing because bitcoin has always dominated 90% of the market in the past decade. BTC used to control the market, and any minor inflation could mess with the economy. During the second quarter, we also experienced a huge decentralized finance market. Prices rose to unimaginable levels.
According to the September statistics, DeFi had accumulated a revenue of $97.779 billion for Defi protocols. But recently, DeFi has been locked in almost $88.4 billion due to some undisclosed reasons.
Complicated issues from Elon Musk
Currently, a larger institution like Tesla has had a long interest in crypto. Elon musk decided to pump $1.5 billion in bitcoin as a way of buying some shares. But the tycoon has come back complaining about the issue of environmental pollution. At one point, Tesla cut off bitcoin as a payment method, but they later allowed it.
Ethereum also experienced strong competition from non-fungible tokens. The new ecosystem has made a huge sale this year as people invest in NFT artwork. People are eager to see what the NFT market will look like in 2022.
Here are among the top predictions of what could lead to market fluctuations:
- There will be an expansion in Central Bank Digital Currencies (CBDSs)
- An increase in the crypto market will depend slightly on the increase in the price of bitcoin.
- Some popular cryptocurrencies like Bitcoin and Litecoin could experience a drop in stakes.
- Many institutions will join DeFi hence an increase in interest.
- Regulators may increase their prices in the market for DeFi in 2022.
- The artist who works on NFT artwork will yearn to get more profit by raising the prices.
The top 3 Cryptocurrencies that will explode in 2022 are:
1. Ethereum
After bitcoin, Ethereum stands in the second position as the top cryptocurrency
Why Etheureum
This crypto has shown signs of Proof-of-stake(PoS). In December 2020, millions of people made PoS come through for Ethereum. The beginning of the process took a while, but it was worth the time. From history, turning crypto to PoS doesn’t happen in a day. The process has taken a long time, and the pandemic was one of the factors that dragged it back. The board thought the process would end in early November, but they will wait until January 2022.
Furthermore, thousands of people are working on various projects concerning Ethereum. They want to nature Ethereum. According to Investopedia, this crypto has completed almost 200,000 compatible tokens.
For investors, one should understand the DeFi projects under this crypto. It can either increase the market price or lead to inflation. Experts and financial professionals believe that Ethereum will super pass bitcoin in the next coming 10 years. Nigel Green, the CEO of deVere Group said that Ethereum could outperform bitcoin before 2026, a report by forbes.
The board member of Economy Watch, Connor Brooke, confirmed that Ethereum will be selling at $5000 per single coin. He proceeded, “The momentum the crypto has, plus the incredible technology, means this level is certainly likely in the near future”.
Top investors for Ethereum
According to the report by Forbes, 30% of the Ethereum shares belong to Mark Cuban, this is almost half the shares he owns in bitcoin. Other popular and experienced investors have also shown interest in investing more money than other cryptos. Cuban announced that he will expand the shares if the market becomes stable.
In addition, Ethereum does not have a restriction when it comes to the maximum supply of coins in the market. It can be created by experts. This makes it harder to visualize what investors in the business could earn in the future.
The Coinmonk chairman, Tom Holland, declared that they will become “Ethereum millionaires” with minor investment. He released a good example where if one stake was $25000, he would earn $250,000 in returns. This will only become possible if a single Ethereum coin sells at $10K. Such predictions make it the top cryptocurrency.
Many discussions have shown that the highest investors in Ethereum can own only 4 coins maximum.
2. Bitcoin
Many people refer to it as the real crypto investment in the whole world. For any new investor, you should pass through bitcoin before moving to the rest.It’s no secret that popular institutions are targeting bitcoin. Due to its better management, some have named it ‘the gold standard’ for the rest of digital coins. In general, it is the top cryptocurrency.
Why Bitcoin in 2022
Popular institutions have continued supporting and investing in the bitcoin business. Some are also creating new products out of the currencies to expose to other people who don’t understand what bitcoin means. Such items boost the market.
When compared among the list of risky cryptos, bitcoin appears in the top position. The FCA survey confirmed that bitcoin fluctuations in the market have decreased since the 2017 hazardous situation. Currently, it is popular even in the UK, where they use to discriminate against crypto.
A total of 46 million U.S. citizens own bitcoin. The number is expected to rise to almost 106 million across the world. As millions adopt crypto, the price of a single coin keeps on increasing. The liquidity revolving around offers a huge amount of profit in returns.
During the third quarter of 2021, BTC’s price increased to $64000. Connor Broke has predicted that the price will slightly rise to almost $70,000 in January 2022. Another prediction by Standard Chartered showed that BTC could be sold at $100,000 in the second quarter. During the last quarter, the price could be as high as $175,000.
The influential capitalist with a net worth of $2 billion, Tim Draper said the Bitcoin price will be $25000 in 2023. He once predicted that bitcoin could be sold at $10K, and it came to be true.
Top investors in bitcoin
Mark Cuban has an undisclosed but large percentage of shares in bitcoin. According to Forbes, Mark believes he made the perfect decision to invest in a market. We have many other investors who are on the plan to buy more shares.
3. Uniswap (UNI)
This is among the top DEX businesses to keep an eye on in 2022. It has the power to damage some centralized exchange coins like Binance.
Why Uniswap may explode in 2022
CoinMarketCap rated Uniswap as the second-largest DEX project. In the market cap, the coin is ranked as the 12th, which has made it appear among the top 10 cryptos across the world.
It has many competitors but its unique features have made it stand out as the best. Uniswap asset tokens are greatly expanding. Recently, the company decided to create a token list that could help them filter relevant assets.
In addition, Uniswap involves in liquidity operations pools where investors can make money through smart contracts. One can use Ethereum to apply for contracts and start earning. The fact that the DeFi market is growing at a higher rate, investors will be interested, a report by CNBC.
Some names like the Grascae Investment have made their way into Uniswap. They want to expand the digital Large Cap Fund portfolio before the end of 2021. The company also reduced its shares in bitcoin and Litecoin to diversify its investment plans. The block start booster, Jonathan Scott had this to say. “With the regulatory woes facing centralized exchanges, the demand for DEXs is expected to increase, which could trigger Uniswap’s growth in 2022”.
Binance has faced a lot of problems with the regulator’s board. This is a loophole where Unswap might take advantage and attract more traders. These characteristics will transform it into a top cryptocurrency.
Why Choose Uniswap
Mark Cuban advised individuals and institutions to only invest 10% of their portfolio in Uniswap. The reason is that the coin doesn’t qualify to be a real coin like bitcoin and Ethereum. Many investors have decided to risk their 1% of the portfolio into the business to test what will happen in the coming two quarters.
Grayscale and Mark Cuban have come up with the best investment plans for every investor. You could stake 60% in bitcoin, 30% in Ethereum, and only 1% in Uniswap. This leaves you with 9%.
Investors have the mandate to do research and invest the remaining amount in the best business of their choice. It can be good if one decides to pump the remaining amount in various DeFi Projects. Otherwise, they can decide to invest in totally different things rather than top cryptocurrency.
Many people are eager to see how Uniswap will run in the first quarter of 2022. Investing in a new business could bring positive and negative results. But it is always better to stay optimistic.
MORE:
- The 4 Best Security Tips Before You Safely Invest in Cryptocurrency
- Top 10 Cryptocurrencies Promising in 2022
