Top Cheap Cryptos January2022
What Happened to the Smaller Cryptos in 2021?
Baby Cryptos That May Grow Up
“It has been an absolutely spectacular run”, said Matt Hougan of Bitwise Asset Management, regarding the summary of 2021 for Luna, the token belonging to the Terra blockchain and one of the lesser known cryptos to have gained attention last year. Luna currently holds the ninth spot in terms of market cap and hit its own milestone near the end of 2021, touching on $103, though it started the year with a price of less than $1. One of Terra’s special talents is in DeFi protocol, where it comes in second only to Ethereum.
The same could be said of many other smaller cryptocurrencies like Avalanche, Ripple, and more, which are starting to become more popular. Traders’ interest in the less expensive coins is growing, particularly because many of them possess unique characteristics that help them stand out from bigger names like Bitcoin. Let’s take a closer look at some of the top 10 cheap cryptocurrencies to trade in 2022. A must read if you plan to start to invest in crypto currencies with iFOREX as CFDs.
What’s so special about these altcoins?
The short answer: scalability and speed. Scalability means the ability of a blockchain to facilitate more transactions as it grows over time, and burgeoning altcoin Solana has plenty of it, with transaction costs kept below $0.01 for both users and developers. The Solana blockchain is also super-quick, offering block times of a tiny 400 milliseconds. On top of all this, this crypto is in line with global environmental goals. “Our carbon neutrality initiatives, paired with Solana’s high-performance, energy-efficient design, means the community can build a sustainable web3 future for many years to come”, says Dan Albert, Executive Director of the Solana Foundation. Solana started out at $0.7 in April 2020 and quicky shot up to $4.7 by August of that year. Afterwards, it cooled down to the region between $1 and $2, but early in 2021 it broke into a bull run, hitting $17 on February 24th and even finding itself at $49.6 by early May.
Avalanche spent 2021 improving its scalability, so its network can now handle 4,500 transactions per second. Avalanche has also set itself apart by pairing up with accounting firm Deloitte to help fund disaster relief. More than that, Bank of America has expressed its appreciation for the efficiency of the Avalanche network. The price of AVAX, the network’s native coin, surged up by 9% in a single day in mid-December 2021 to over $87. Peering toward 2022, CoinPriceForecast expects AVAX’s price to almost triple by the end of the year.
It’s interesting to compare coins like these with Dogecoin, because, despite the recent popularity of this crypto, some say it presently lacks the special features that give cryptocurrencies staying power. Dogecoin’s transaction fees are higher than almost all the other payment coins. Even though between November 2020 and May 2021 the value of a Dogecoin rocketed up by a massive 27,000%, by the end of the year the coin had lost 77% of its value. It remains to be seen what this network can pull out of the hat in 2022.
Polkadot Parachains & Ripple’s Return
If you did a Google search for the “top 10 cheap cryptocurrencies to trade in 2022”, you’d see that the 10th biggest crypto in the world is Polkadot. This network’s coin, DOT, reached a milestone of $55 on November 4th 2021 but then began to drop, touching $23.54 on December 20th. Thereafter, the price rebounded and analysts say that DOT’s recovery from this weak period may be sustainable because the network has been hosting a series of parachain auctions. A parachain is blockchain that leases space on the Polkadot network and operates on top of it. Every two weeks, a new parachain opens up on Polkadot, and this will continue until the number of 100 is reached.
The Ripple network, for its part, can claim speed, greenness, and cheapness. Its token XRP started out 2021 at $0.43 and ended the year at about $0.99. In fact, the coin’s value was up 20% in only a seven-day period in December. In 2021, Ripple Labs spent time developing a marketplace where cryptos can be safely traded, which gives an indication of their management’s pro-active attitude.
The Months Ahead
If you are going to start to invest in crypto currencies with iFOREX as CFDs, it’s important to stay informed about the latest innovations and improvements being introduced by all the big crypto networks. Networks that will prove themselves capable of performing useful tasks cheaply and greenly will have a better chance of sustainability. Be sure to take advantage of iFOREX’s easy-to-use educational materials so that your insight and trading savvy remain at their sharpest.
