We know the world of crypto changes rapidly. It’s very easy to get swept up in FOMO for the next new meme coin or project that everyone is buzzing about. Investors looking for more than just short-term potential need to read between the lines. They need to identify projects that have strong developer communities, disruptive technology, and compelling use cases. BlockchainShock is your guide to cut through the noise and find the cryptos that are built to last. This article will briefly cover five cryptocurrencies that demonstrate impressive staying power. We’ll even shine a light on one awesome new presale with big-time, explosive potential.

Examining the Foundations of Lasting Crypto

Before we get into which cryptocurrencies to buy, it’s worth taking a moment to discuss what kind of crypto project is likely to succeed in the long-term. Several factors contribute to a project's longevity, including:

  • Strong Technology: Projects with innovative and well-designed technology are more likely to adapt to changing market conditions and maintain their relevance.
  • Real-World Use Cases: Cryptocurrencies with practical applications that solve real-world problems are more likely to gain adoption and maintain value.
  • Active Community: A vibrant and engaged community can provide support, feedback, and promotion for a project, contributing to its long-term success.
  • Dedicated Development Team: The development team is responsible for maintaining and improving the technology behind the project.
  • Market Sentiment: It is important to understand the market's take on the project, to see if the project has the potential to grow.

These elements are crucial to any cryptocurrency seeking long-term viability. BlockchainShock prioritizes these characteristics when evaluating projects.

Five Cryptocurrencies with Staying Power

Here are five cryptocurrencies that showcase the qualities needed for long-term success:

Bitcoin (BTC)

At its most basic, Bitcoin’s major innovation is a decentralized, peer-to-peer transaction system. It relies on a system of cryptographic assurance to ensure the validity of transactions and the creation of new units. Bitcoin, the first and most popular cryptocurrency, is still widely considered the king of the market. Its initial adoption story was as a peer-to-peer decentralized digital currency for transacting in exchange for goods and services. It’s designed to fix the problem that legacy payment systems are slow, costly, and opaque – not inclusive enough to serve everyone.

Bitcoin’s advantages are its name recognition, network effect/infrastructure and fixed supply. Its drawbacks are greater, leading to slower transaction speeds and larger fees in comparison to newer cryptocurrencies. Yet for all these serious limitations, Bitcoin can still make the case that it remains the best store of value. Its growing acceptance by institutional investors cements Bitcoin’s status as a long-term player in the crypto space.

Ethereum (ETH)

Ethereum’s biggest innovation was the creation of smart contracts. These smart contracts enable developers to build decentralized applications (dApps) and decentralized finance (DeFi) protocols on top of them. Ethereum has changed the landscape of the blockchain space entirely with its unique smart contract functionality. This functionality lets developers create complex decentralized apps (dApps) and DeFi protocols on the Ethereum blockchain.

Ethereum has the largest, most engaged developer community in the world. It boasts the most solid ecosystem of dApps and DeFi protocols, all under the hood of its roadmap to a greater scaling and eco-friendly proof-of-stake consensus protocol. Ethereum has difficulties with scalability and high transaction fees, though upgrades in progress are expected to remedy these concerns.

BNB Chain (BNB)

BNB Chain's key innovation is its compatibility with the Ethereum Virtual Machine (EVM), which enables seamless interaction with Ethereum-based applications and assets. BNB Chain (formerly Binance Smart Chain) has recently established itself as the most successful alternative to Ethereum. It is notable due to its much quicker transaction times and reduced costs. Its major innovation has been its compatibility with the Ethereum Virtual Machine (EVM). This native Ethereum compatibility enables easy interaction with Ethereum-based apps and assets.

BNB Chain's strengths lie in its strong backing from Binance, one of the world's largest cryptocurrency exchanges, its growing ecosystem of dApps and DeFi protocols, and its focus on scalability and affordability. Nonetheless, BNB Chain has been accused of centralization for the high degree of centralization in its dependence on only 21 validators.

Cardano (ADA)

Cardano’s most significant innovation is its Layer 1 solution. Done right, this strategy significantly strengthens the blockchain’s core layer, greatly increasing scalability, security, and functionality. Cardano is a decentralized proof-of-stake blockchain platform that’s focused on achieving the highest levels of security and scalability. Cardano’s primary innovation is found in Cardano’s Layer 1 solution. This strategy makes the base layer of the blockchain ecosystem more efficient, scalable, secure and versatile.

Cardano’s advanced design places the highest priority on security and scalability. Its innovative Ouroboros proof-of-stake consensus mechanism makes the network scalable and secure, supporting a global ecosystem of decentralized applications and programmable smart contracts. Despite its many endeavors, Cardano has often been criticized for its slower development pace than other blockchain platforms.

Bitcoin Ordinals

Bitcoin Ordinals' key innovation is the creation of NFTs on top of the Bitcoin Blockchain, which improves the smart contract layer and enables new use cases. Bitcoin Ordinals are pretty remarkable, incredibly popular, and the latest phenomenon of innovation on Bitcoin. Bitcoin Ordinals is an exciting new Bitcoin innovation that has allowed anybody to create NFTs on the Bitcoin Blockchain. This development significantly improves the smart contract layer, unlocking compelling new use cases in the process.

Ordinals pave the way to minting NFTs natively, right on the Bitcoin blockchain. Usage This innovation creates compelling opportunities for digital art, collectibles, and many other unique use cases. While Bitcoin Ordinals are still young, their potential is tremendous. When done right, they can add tremendous value and catalyze true innovation within the Bitcoin ecosystem.

A Note on Presales: Qubetics and High-Risk, High-Reward Opportunities

More established cryptocurrencies like Bitcoin and Ethereum offer some degree of stability. Presales can provide opportunities for massive returns — high reward — but they are very risky. Qubetics, which is currently in its presale phase, is another great project showcasing the evolution of crypto right now. Presales give investors the opportunity to buy tokens at a lower price before they’re released on public exchanges.

This is what makes investing in presales one of the most profitable endeavors around, provided the project does well. It's crucial to understand the risks involved:

  • High Risk of Failure: Many presale projects fail to deliver on their promises, and investors may lose their entire investment.
  • Lack of Liquidity: Presale tokens are typically locked up for a period of time, making it difficult to sell them if the project underperforms.
  • Potential for Scams: The presale space is rife with scams, so it's essential to do thorough research before investing in any project.

Qubetics, like any presale, carries these risks. Investors must do their own due diligence on a project’s whitepaper, team, and roadmap before investing. You should never invest capital in presales that you cannot afford to lose.

Navigating the Risks of Cryptocurrency Investing

Please note that investing in cryptocurrencies, whether they’re well-known coins like Ethereum or new presales like RUBY, is very risky. Whatever the avoidance incentive, it’s important to understand these risks and take action to address them.

Common Risks

  • Volatility: The value of a cryptocurrency can fluctuate rapidly, with an investment worth thousands of dollars today potentially being worth only hundreds tomorrow.
  • Scams and Fraudulent Activities: Bad actors often entice new investors with promises of safe, lucrative, and guaranteed returns, and there are various types of cryptocurrency scams.
  • Lack of Insurance and Protection: Holdings in online “wallets” are not insured by the government like U.S. bank deposits are, and theft or loss by third-party services can result in losing one's entire investment.
  • Unregulated and Uncertain Legal Status: The legal status of cryptocurrencies creates implications for their use in daily transactions and trading, and regulatory agencies are still catching up with the industry.
  • Security Risks: Cryptocurrency transfers between two transacting parties can be faster than standard money transfers, but they also carry the risk of being hacked or stolen.

Risk Mitigation Strategies

  • Diversification and Allocation: Limit crypto exposure to less than 5% of the total portfolio and invest an amount of capital that can be fully lost if the market takes a downturn.
  • Dollar-Cost Averaging (DCA): Spread investments over a predetermined timeline, regularly investing a fixed amount on a specific day and time, to reduce the impact of market volatility.
  • Moving Averages: Apply two moving averages to a chart, one short-term and one long-term, to identify potential trend changes, such as a "golden cross" (buy signal) or "death cross" (sell signal).
  • Relative Strength Index (RSI): Use the RSI indicator to identify overbought or oversold positions, with a lower percentage indicating an oversold position and a higher percentage reflecting an overbought position.
  • News-Based Trading: Buy cryptocurrencies when positive news is announced and short them when negative news comes out.

Conclusion

Spotting the cryptos with lasting potential takes a level of diligence and a deep understanding of the marketplace. More established cryptocurrencies such as Bitcoin, Ethereum, BNB Chain and Cardano offer some measure of stabilizing factors. Yet, novel projects like Bitcoin Ordinals and BTC presales like Qubetics make available opportunities with high upside potential, but high risk. With proper risk management, investors can explore the crypto landscape with confidence. Through the adoption of smart risk management practices, they are creating a path to sustainable growth. BlockchainShock is dedicated to delivering the intelligence and analysis that will allow you to make more intelligent investment decisions.