Which Altcoins to include in your portfolio in 2022?

Altcoins with the highest growth potential.

The main question for any cryptocurrency investor is how to choose from a variety of altcoins to choose the ones that have the best chances of growth and success. Moreover, each analyst has a list of favourites. After reviewing a variety of predictions and opinions, we identified five significant tokens shortlisted for altcoins with the highest growth potential in 2022.

Solana (SOL).

It launched Solana blockchain in 2019. Initially, it was considered a competitor to Ethereum, providing support for decentralized financing, smart contracts and dApps.

Solana blockchain uses a unique combination of Proof-of-Stake and Proof-of-History algorithms. As a result, it helps speed up, and safer processing of transactions and allows SOL holders to receive rewards for holding funds in their accounts. The rationale for such remuneration mechanisms is that having funds supports all blockchain operations, so the platform founders felt that it was worth encouraging such community activities.

Founders’ efforts paid off, and interest in Solana proliferated. As a result, the value of the SOL coin has increased a hundredfold over the past 12 months. At the beginning of 2021, SOL held only 0.01% of the market share and is now one of the five largest cryptocurrencies by market capitalization.

You can buy SOL coins, for example, on the Binance exchange, for $ 138-139.

In November alone, the inflow of liquidity to Solana funds exceeded $ 40 million. An additional incentive for this was Solana’s partnership with such a giant as the FTX exchange.

Cardano (ADA).

Cardano’s long-term growth potential is primarily based on the continuous work of the blockchain project team. In September, the network forked to launch ADA-based smart contracts. In October 2021, Cardano and Chainlink Labs announced their partnership for developing smart contracts for DeFi applications based on Cardano.

DeFi apps, smart contracts and other new features should enhance the usefulness of ADA and drive demand for the Cardano cryptocurrency. A significant milestone in this endeavour was the launch at the end of October of the ADACash project, which opens up the possibility of placing bets in Cardano to generate passive income. Its essence lies in the fact that 10% of the market turnover of all tokens is distributed among all ADACash holders every hour in proportion to the number of coins in their crypto wallets.

Two weeks after the project’s launch, its market capitalization exceeded $ 40 million, and users increased by 10 thousand. There is no doubt that ADACash’s high-speed climb will continue in the coming months.

For example, you can buy ADA coins in early 2022, on the Binance exchange, for $ 1.170.

Stellar (XLM).

Stellar is essentially a decentralized protocol for conducting low-cost transactions between different banking systems. It was created to unite the world’s financial systems and make financial services more accessible.

The Stellar network can be synchronized with blockchain and traditional banking systems and support any cryptocurrency. At the same time, the platform can process thousands of transactions per second, and the transaction confirmation time is less than five seconds.

Stellar cryptocurrency – Lumen (XLM) – has become one of the best performing altcoins in 2021, setting several price records. Some experts predict that the growth potential of XLM in the coming months will be 85%. In the long term, the Stellar network can become an excellent tool for providers of international loans and remittances, especially in countries with undeveloped banking systems.

You can buy XLM coins in early 2022, for example, on the Binance exchange, for $ 0.263.

Polkadot (DOT).

The Polkadot is designed to act as a bridge connecting the individual chains. Its main technological advantage is updating without hard forks or significant changes in the network.

Polkadot token (DOT) – takes about 1.5% of the market share. At the same time, the Polkadot system is increasing as various startups present products that can grab the attention of investors. Thus, experts see significant upside potential for DOT.

In early November 2021, the value of DOT hit its all-time high of $ 55. It happened after the announcement that the Polkadot council had approved the creation of Parachain, which is essentially a new Polkadot-based blockchain with its tokens.

For example, you can buy DOT coins in early 2022, on the Binance exchange, for $ 23-24.

Litecoin (LTC).

Litecoin is one of the elders of the cryptocurrency market. In October, the project celebrated its 10th anniversary. It uses the same technical fundamentals as Bitcoin but changes some parameters to improve performance. For example, when the Bitcoin network experiences congestion and sending funds with BTC results in long waiting times, LTC is used to make quick settlements that can be easily converted to Bitcoin later.

The token was very popular and had a lot of liquidity support. However, once it resolved the congestion problems of the BTC network entirely, interest in LTC plummeted. Nevertheless, the dynamics of its rate has always historically been closely related to the movement of the price of bitcoin, so on May 10, the value of Litecoin reached a record level of $ 412.96.

Some analysts believe that LTC is oversold and could rise significantly in the coming months. At the same time, estimates of the growth potential vary greatly. Additional arguments in favour of buying LTC are that it is one of the cryptocurrencies supported by PayPal. In addition, the most significant exchange Binance recently launched an LTC mining pool.

For example, you can buy LTC coins in early 2022, on the Binance exchange, for $ 130-131.

The most promising altcoin sector for 2022.

In 2022, a particular sector of altcoins will become the leader in the digital asset markets in terms of its strength and profitability.

A comparison of the Metaverse Index with Wrapped Ether (MVI/WETH) as an indicator of the profitability of the Metaverse system relative to the Ethereum ecosystem allows concluding that Metaverse is one of the few critical systems that has been constantly ahead of Ethereum in the last half a year.

Therefore, it is attractive to those investors who want to buy such assets at a discount. Since, every time, in the case of a price pullback, they have a “base for starting an upward movement”.

The Metaverse Index (MVI) includes a basket of leading tokens of the metaverse sector within a single trading instrument. Buying an MVI is a great way to gain access to the assets of the Metaverse. MVI is currently trading at $236.

The DeFi and NFT sectors are considered alternatives to MVI.

The metaverse sector is number one. DeFi and NFT occupy the following places. All three industries have excellent chances to continue showing the same good results in 2022 (especially against Ethereum). In any case, it is helpful to diversify, but to a greater extent, it is necessary to place bets, focusing only on what you are sure of.

Two platforms will show rapid growth in 2022.

In 2022, the time will come for the rapid growth of two platforms that were in the shadow of more famous competitors – Cosmos (ATOM) and Harmony (ONE).

The goal of Cosmos (ATOM) is to create an ecosystem of blockchains designed to scale and interact with each other.

First-level projects are still relevant, but Cosmos should come out of the shadow of the famous and still ahead of its cryptocurrency platforms Solana, Terra and Avalanche.

According to some experts, the market is already bored with altcoins SOL, LUNA and AVAX, and Cosmos (ATOM) may become a novelty for many. In simple words, ATOM is an asset promoted less than others.

There are several key ATOM levels worth watching. In terms of technical characteristics, ATOM, in pairs against BTC and USD, is above the key “resistance levels”. The asset looks strong, while the price levels of 0.00076 BTC and $28 remain unchanged as support.

The second project is the Harmony (ONE) open-source blockchain. It can run Ethereum applications faster and at a lower cost.

Some analysts are bullish on ONE. In their opinion, the same message can be applied for Harmony as for Cosmos, that the market is interested in something new and attractive.

Essential price levels for ONE are 360-529 Satoshi in a pair against BTC and about $0.3 in a pair against USD.

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