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3 cryptocurrencies to consider instead
While Bitcoin remains undoubtedly one of the best cryptocurrencies to buy and hold for the long term, it’s hard to ignore the fact that the oldest name in the cryptocurrency world hasn’t done much recently. Bitcoin has largely been trading sideways over the past couple of months and doesn’t show many signs of going into beast mode anytime soon.
With this in mind, it may be time to forget about Bitcoin for a while and find other cryptocurrencies that have strong catalysts right now. The three cryptocurrencies that are on my radar right now are Ethereum (CRYPTO: ETH), Recover.ai (CRYPTO: FET) e Chain shirt (CRYPTO: LINK).
Ethereum
The obvious non-Bitcoin choice right now is Ethereum, and that has everything to do with the SEC’s recent pre-approval of new Spot ETF on Ethereum. Once these ETFs begin trading, perhaps as early as this summer, they could lead to a massive influx of new money from investors into Ethereum, which could drive its price higher in the near future. Current thinking from JP Morgan Chase is that these ETFs could see an inflow of $3 billion in 2024.
We saw the same pattern with Bitcoin as soon as the new one came out Spot Bitcoin ETF started trading. Massive new inflows led Bitcoin to hit a new all-time high of $73,750 in March before settling into the current trading range. Could we then see the same thing with Ethereum, which is only 22% below its all-time high of $4,891? Ethereum super-bulls are already predicting that the ETF investing narrative could be enough to send this cryptocurrency soaring above $5,000.
Recover.ai
If we really want to forget about Bitcoin, then we need to find a crypto alternative with truly stratospheric upside. This alternative is Fetch.ai, which is currently one of the most popular AI crypto tokens in the world. Over the year, Fetch.ai has grown 195%, and the upward trajectory could continue as long as investors are interested in all things AI.
Image source: Getty Images.
What makes Fetch.ai particularly interesting right now is that it is becoming part of a new “AI super alliance” that includes two other popular AI crypto tokens: SingularityNET (CRYPTO: AGIX) e Ocean Protocol (CRYPTO: OCEAN). Starting June 11, Fetch.ai will be rebranded as Artificial Super Intelligence (ASI) Token, and FET tokens will be converted into new ASI tokens on a 1:1 basis.
From my perspective, the creation of a new “super-token” makes the task of investing in AI crypto tokens much more attractive, because you essentially get three tokens for the price of one. Fetch.ai will become an integrated AI crypto token that combines the assets and intellectual property of three distinct AI projects. If you combined the market caps of these three tokens right now, you would get a value of almost $3.5 billion, good enough to rank among the top 30 cryptocurrencies in terms of market cap.
The story continues
Chain shirt
Finally, there is Chainlink. Long-time cryptocurrency investors probably remember this so-called oracle coin from the previous cryptocurrency bull market cycle, when its value absolutely exploded. Back then, the investment thesis was about decentralized finance (DeFi) and how Chainlink was becoming an integral part of this exciting new blockchain niche.
Fast forward to 2024, the new investment thesis for Chainlink is about real-world asset tokenization. Often simply referred to as RWA tokenization, it describes the process of transforming real-world assets (such as stocks and bonds) into digital assets that can be traded on a blockchain.
RWA tokenization is one of the hottest topics on Wall Street right now and a pet project of Black rock, the world’s largest asset manager. According to Larry Fink, CEO of BlackRock, tokenization of real-world assets could be the next big thing after the introduction of Bitcoin spot ETFs.
So it’s definitely worth trying to understand how this powerful new trend could revolutionize Wall Street. According to a growing number of experts, Chainlink could play a very important role in the development of this trend. For example, its new CCIP (Cross-Chain Interoperability Protocol) platform was designed specifically with the transfer of tokenized assets across blockchain in mind. In September 2023, a test case involving ANZ Bank in Australia showed how this could be done using stablecoins.
Is it really possible to forget Bitcoin?
So there you have it: three big trends and three cryptocurrencies that may be well positioned to take advantage of those trends. While it’s nearly impossible to forget about Bitcoin (which should be part of your cryptocurrency portfolio if it isn’t already), these three cryptocurrencies likely have much stronger tailwinds heading into the second half of 2024. Adding a light sprinkling of these cryptocurrencies to your overall portfolio could be the key to boosting the year’s returns.
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JPMorgan Chase is an advertising partner of The Ascent, a Motley Fool company. Domenico Basulto has positions in Bitcoin, Ethereum and Fetch. The Motley Fool has positions and recommends Bitcoin, Chainlink, Ethereum, Fetch, and JPMorgan Chase. The Motley Fool has a disclosure policy.
Forget Bitcoin: 3 Cryptocurrencies to Consider Instead was originally published by The Motley Fool