HomecryptoWhich cryptocurrencies will survive...

Which cryptocurrencies will survive a crash?

The cryptocurrency market saw an all-time price hike in 2021. It wouldn’t be wrong to say that crypto investors gained voluminous profits in 2021. But this trend changed in winter 2021. Market prices saw a huge decline in value. Bitcoin, a favorite amongst investors was quite easy to crash.

An important factor about cryptocurrency is its volatility. Investing in cryptocurrencies is unstable as the prices keep surging and declining. This hike and fall are attributed to many factors. For example, the price of bitcoin hit its peak when Tesla announced its interest in Bitcoin. Elon went a step ahead and announced that bitcoin is acceptable. Buyers can pick their automobile in exchange for bitcoins to use platforms like this Bitcoin system. This tweet caused a huge stir in the market.

There are also other market risks associated with investing in cryptocurrencies. Being an investor you need to consider market risks before investing. The total market capitalization of cryptocurrencies has reached 176% as of 2021. Despite these promising figures, experts think to watch out for market crash. There will be a major pullback of some popular names leaving only a few to exist by the end of 2022.

So, what causes the market crash?

  • Before understanding survival, let us understand the factors contributing to a market crash.
  • Rotation of investments
  • Introduction of regulations and third-party oversight during transactions
  • Market changes and countries banning crypto mining

The most recent crash in Dec and continuing in Jan attributes to two factors. The first is China banning all crypto transactions. The country has come out banning cryptos. There is a ban on data mining resulting in huge market fluctuation. This also contributed to prices surging to an all-time low. The impact was evident on many cryptos including Bitcoin, Ethereum, and Dogecoin.

The decision by Tesla on reversing their policy on bitcoin payment is another factor. Tesla came out with a clarification on their decision on crypto payments. The statement was released last week. The team clarified that there will be a study on environmental factors and hazards in data mining.

Which cryptos may survive the market crash?

We have understood the operating model of cryptos. Now let us also look and understand how and which cryptos have the potential to survive a market crash.

Bitcoin: This is the oldest and pioneer in the crypto industry. Since its launch in 2009, Bitcoin has seen many market crashes. For the past decade, Bitcoin has also been holding its number one position. While the market fluctuates upcoming policy changes and market crashes may not impact its market value. This crypto is not going to vanish from the market. But yes, there is an impact on your return on investment.

Ethereum: Launched in 2015, Ethereum also uses blockchain technology. This crypto holds many similarities to Bitcoins including decentralized finance and blockchain platform. Many financial institutions vouch for this crypto model. Next to Bitcoin, Ethereum is another crypto that will survive this upcoming crash.

Dash: This is open-source crypto. This crypto also utilizes the blockchain and other similar concepts of Bitcoin. This is popular amongst investors in Zimbabwe and other developed countries like Spain. Launched in 2014, this crypto has now gone one step ahead. It has announced its partnership with Microsoft China. Dash is also used as an exchange medium in Japan’s exchange ministry.

The coming years (2022 – 2025) will need investors to have a huge risk appetite. You need to keep a careful watch on market conditions to ensure the safety of your investment. There are many cryptos launched daily. You need to consider if these cryptos can survive the market crash. Investing in cryptos and Initial Coin Offerings is risky.

Do your research: We have already discussed that the crypto market is volatile and risky. You need to study the market nature of cryptos before investing. Ensure that you have gained adequate knowledge to invest. If you are still doubtful, then there are many investment experts whom you could consult. This will make sure your hard-earned money is taken care of and not invested in the wrong place. Also, choose an exchange that best suits your need. An exchange should be able to provide you a brief on the next 05-year market analysis.

Most Popular

LEAVE A REPLY

Please enter your comment!
Please enter your name here

More from Author

Daniel Craig’s Best Movies

Rugged Englishman Daniel Craig has become synonymous with the 007 handle...

When Will Bitcoin Reach 1 Million

The recent bitcoin CRYPTO: BTC is priced more than $35,000, which is...

Will Shiba Inu reach $1?

Shiba Inu is among the most precious cryptos having almost $19...

ZIL to USDT: What Should You Know?

A cryptocurrency trade platform or an exchange is a site that...

Read Now

Daniel Craig’s Best Movies

Rugged Englishman Daniel Craig has become synonymous with the 007 handle over the past 15 years. However, he had to fight off competition from bigger names, such as Hugh Jackman, to wear the coveted Bond suit. With the end of Pierce Brosnan’s reign as Bond, producers wanted to...

When Will Bitcoin Reach 1 Million

The recent bitcoin CRYPTO: BTC is priced more than $35,000, which is already a considerable amount for numerous analysts. They are inclined to indicate an absence of fundamental designed topics and appeals for the bitcoin system as evidence that the network is slightly extra than the Ponzi method....

Will Shiba Inu reach $1?

Shiba Inu is among the most precious cryptos having almost $19 billion as its market value. After it hit a low in 2020 November, the price of the token rose 60,000,000 %. It means a $17 investment in Shiba Inu in 2020 today will be $10 million...

ZIL to USDT: What Should You Know?

A cryptocurrency trade platform or an exchange is a site that lets you buy or sell digital assets. The pricing of cryptocurrencies here on exchanges is based on current market values. You may use exchanges to swap one cryptocurrency for another. For example, changing ZIL to USDT...

Decentraland (MANA) — Cryptocurrency, Project Review

Decentrlaland has developed and launched a virtual reality gaming platform on the Ethereum blockchain. The application allows the creation of any program. They can be used in the game's reality and monetized. The project has virtual land plots, called LAND, on which users build objects and live...

War of The Worlds season 3 release date: Renewal of Epix series

After the huge success of its season 2 that turned over Epix, the next big thing every fan wants to know is when War of The Worlds season 3 would arrive. And, when the popular network announced that they are bringing back the show for its next...

Invincible season 2 release date, Story everthing you need to know

The Invincible show is based on a comic series written by Robert Kirkman and the creator of many shows. Season 1 shows immense excitement among viewers due to its unique story of superheroism with darker and violent themes and portrays a pretty good sense of humor. And,...

The best motivational films for students based on actual events

In moments of heavy study load, you need to find ways to recharge your mind with energy and resources so that you can get back to productive work with renewed drive. One such way is to watch a good movie with the whole family.  In our selection, you...

Farmville2 country escape cheat codes list

FarmVille2 Country Escape is a cultivating test system game. The Game was created by Zynga Games and continues the popular game. FarmVille2 Country escape is presently intended for Android/iOS and Windows Mobile. This Game has more than 25 million players around the world. To utilize the hack apparatus...

Departure season 3 Release Date Confirmed on Not ??

Departure - A drama series enriched with mystery and created by Vince Shiao. The entire series follows Kendra Malley, a very talented investigator and a single mother who deals with pretty tough disaster investigations and can uncover all sorts of truth over every odd. This International series...

Demon Slayer Season 2 Everything to know so far about latest episodes

The most famous anime Demon Slayer: Kimetsu no Yaiba, popularly known for the short title Demon Slayer, captures the world at an alarming rate. After the immense fame of manga, this television adaptation became a quick hit in Japan and has achieved tremendous success in the U.S....

Redo Healer Season 2 Whole we know about; Release Date & Cast

Redo Healer, widely known as Kaifuka sushi noyarinaoshi. Redo Healer come under the Series of the light novel. It is more famous in Japan and novel to the genre of Dark Fantasy. However, the Anime adaptation of the Series is well-recognised world worldwide. Rui Tsukiyo penned the...