Numerous predictions about a long cryptozyme did not come true. Yes, the digital coin market has not returned to the peak values of late 2021-early 2022. Nevertheless, its capitalization is holding firm at $1-1.2 trillion. This chart from Statista shows it very well.
The top three have not changed either. As summarized by Forbes the other day, the circle of flagship coins is stable and includes:
- BTC with $570 billion
- ETH with $220 bln
- USDT with $83 bln
Investing in them is an investment in cryptocurrency itself. These assets will go up and down in sync with the entire niche of digital coins, and USDT is pegged to the dollar. Therefore, it is problematic to win really big with them. Unless the whole market warms up and goes up for a while. In fact, it is just a part of the portfolio, which can be used to hedge risks.
Only altcoins can offer interesting prospects. About cryptocurrencies with such potential for the near future, above all the purchase of Grimace Coin, is described below.
Top cryptocurrencies in terms of potential returns for August and September 2023
There are three promising coins in the current market conditions. They have high growth potential this year and are attracting more and more attention from investors.
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Why buy Grimace Coin ($GRIMACE)
This is by far the champion. Launched in the spring of 2023, $GRIMACE has gained momentum sharply. At launch, the coin traded for $4, and by the end of August, its price tag exceeded $40. Curiously, the Doge-based token originally appeared as a joke, a meme from Musk’s correspondence with McDonald’s. That hasn’t stopped it from becoming perhaps the most promising one right now. It should definitely be looked at, for example, here.
Key facts:
- Basis: PoS blockchain (originally was Dogechain, then there was a switch to Arbitrum to increase liquidity and allow for more advanced development tools).
- Limit: 1 million coins.
- Community: over 46 thousand. At the same time, Grimace Coin holders are very active on the web.
In particular, the Telegram channel of the project CEO under the nickname “Odysseus” has 40 thousand subscribers, asking questions and participating in discussions about the future of the coin. By the way, he recently launched a petition. Look, if it gains 66 thousand signatures, he will buy tokens for a million dollars! And users with a desire to help others can also participate in the G.O.D. – Grimace Odyssey Donations initiative. All in all, life is boiling.
Growth Factors:
- Increasing daily trading volume, reaching up to $25 million.
- Price growth. For example, the rally from the bottom to record highs saw the asset rise 6.5 times in just a week and a half.
- Cult meme status, confirmed by a large number of followers in social networks.
- Over 60k transactions on the blockchain.
- Popular Play-to-Earn Paper Hands Arcade game utilizing cryptoasset.
- Regular activities to engage new owners and retain old ones, such as meme and video contests.
- Listing on trusted exchanges.
- Generally transparent token economics, confirmed by an independent audit.
Reasons to buy Solana
The Solana token serves as its own internal currency for the blockchain platform of the same name since March 2020. On its basis, Web3 engineers get access to a pool of tools and resources for developing decentralized applications (including DeFi), games, and NFT-projects. In fact, it is this entire ecosystem behind the coin that is supposed to support the crypto asset. It was worth around $258 at its peak, but has since sagged a lot and is trading around $20-25.
Key Facts:
- Basis: Combination of PoS and PoH on a proprietary blockchain (resembling ETH).
- Limit: No ceiling.
- Community: about 10 million.
Growth factors – the entire ecosystem powered by Solana. So far, the cryptoasset has reached a lower point and found the bottom. With further development of the system, the value should go up.
Purchase XRP? Why not
The XRP asset is linked to the Ripple platform used for fast and cheap payments and transfers on its own blockchain. It was originally launched in 2012. Interestingly, it does not involve mining. The amount of the asset seems to be limited forever.
Key facts:
- Basis: UNL
- Limit: 100 billion
- Community: about 4.5 million
The main growth factor is the possibility of low-cost transfers. Recently, the asset has been showing positive dynamics.
Cryptocurrency Market Forecast for Fall-Winter 2023
Having discussed three interesting, from our point of view, assets, let’s take a look at the situation for the whole cryptocurrency market until the end of the year. The market is by no means bullish, but stable. The lack of growth can be explained by 3 things:
- After the hype about further legalization of cryptocurrency and the wave of openness to it, regulators started to tighten the screws. This creates additional difficulties in handling digital assets and exchanging them for fiat.
- A string of high-profile crashes. The most memorable of them, of course, is the sad fate of FTX at the end of last year. But this is not an exceptional case. The abrupt collapse of Silicon Valley Bank as early as 2023 does not give optimism either.
- The general move into the fiat dollar. In a situation of uncertainty and the threat of a global recession, holders of money prefer to keep it in the U.S. currency, which seems to them the safest option available.
Simultaneously, these three downward forces are balanced by a stubborn fact. Despite the pressure, the cryptocurrency market is stable. Consequently, the community continues to believe in and hold their digital assets. So on a fundamental level, we can predict a conservative scenario with a hold on the current bar and minor fluctuations up and down.
In turn, this means that individual altcoins are quite capable of firing and bringing a big profit in a stable market. Especially if you buy them early enough.
Minimizing risks when investing in cryptocurrencies
No matter how profitable cryptocurrency may seem when investing in the moment, there are always risks. They depend on the investor, on the market as a whole, and on “black swans”. Here we could cite a number of obvious and yet empty tips for dealing with cryptocurrencies. Along the lines of, “read more guides”, “study the math”, “look at historical examples”, “don’t fall for scams”, and so on. They are all useful. But they are too vague.
We can give only 3 pieces of advice. It is necessary:
- Diversify your portfolio. You can not fix all the funds in a single coin. You need to diversify your investments. It is worth experimenting with altcoins, without ignoring the flagship coins. Such caution, of course, limits the growth potential, but it will “bed the straw”.
- Invest only the amount of funds that you are ready to lose without critical damage. Fresh projects are always subject to volatility, so you should not get too carried away.
- Put emotions behind brackets. In periods of general euphoria or cryptopanics, it is easy to make impulsive decisions. So it’s best to keep your head cool.
Grimace is the optimal option from all three sides. It can be held as an altcoin element of a portfolio, waiting for further growth. The entry threshold is not that high yet. Grimace is quite affordable in terms of non-critical spending. Finally, this asset is traded not on the basis of meme-hype, but on the basis of objective indicators. And the final remark is that you should work only on trusted exchanges and keep your personal information safe.
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Author: Saifedean Ammous, an expert in cryptocurrency economics.
