The last 2021 year was great for cryptocurrencies, and it seems like 2022 will be even better. It’s becoming increasingly common for people to invest in digital assets, and Bitcoin has provided an abundance of wealth for those who know where to look.
With BTC earning over $40,000 and Shiba Inu (SHIB) demonstrating that Pupcoins is more than a joke, this year hasn’t been boring at all. The first and second quarters of 2022 are likely to be the busiest gem discovery. There is no question about that. The Metaverse is, of course, the setting.
Social media platforms like Instagram and Facebook will soon be flooded with cryptocurrency adverts due to Facebook’s Evolution to Meta.
Investment in early-stage companies is similar to venture capital investment in the crypto industry. In contrast, things are just beginning. In anticipation of a busy year in 2022, cryptocurrency investors are keen to make a purchase.
What can we anticipate in 2022?
The government’s policies will have a significant impact. The world’s largest crypto market, China, suspended all transactions in September. A growing number of commentators believe that China’s approach toward blockchain technology will only help isolate it from other countries.
In addition, the Indian government is drafting legislation to limit the sale and use of cryptocurrencies. Due to a dispute over agricultural legislation, the Cryptocurrency and Regulation of Official Digital Currency Bill were not tabled during Parliament’s winter session. The Declaration of Independence “All private cryptocurrencies are banned in India. To promote the underlying technology and its uses. Several exemptions are granted”.
Now, let’s talk about the top three most volatile cryptocurrencies to buy and invest in 2022.
Ethereum (ETH)
Ethereum, for a multitude of reasons, will surely take the world by storm in 2022. Since it has such a large market cap, it is one of the most secure investments you can make. An increase in market value demonstrates a well-known and financially secure corporation.
If you look at Ethereum’s plans for the next year, it’s hard to say that ETH won’t be a great investment in 2022. Ethereum is the best non-fungible cryptocurrency on the market at present. Almost all NFT sales are made over the network, accounting for 97% of all NFT transactions.
Compared to the other main blockchain networks with smart contract capabilities, this market share is astounding. So if you’re interested in capitalizing on the rising demand for NFTs, Ethereum is a logical choice.
Aside from the fact that it’s a hot topic, Ethereum has a lot more going for it. For example, more and more developers want to build their ideas on Ethereum’s decentralized apps (DApps), which have grown in popularity in recent months. As a result, it boasts the greatest active user population of any blockchain network in addition to a vast network of commodities.
To make matters worse, the Ethereum network will be dramatically enhanced over the next year. As a result, new features will be included in the Merge update, scheduled for 2022.
Integrate’s goal is to combine Ethereum’s “beacon chain” with the Ethereum blockchain. There is a slew of updates planned for the beacon in the next months. PoS consensus, for example, will reduce energy usage by a factor of ten, making PoW a thing of the past. You won’t have a problem finding a place to purchase Ethereum since it is widely available. You may find it at any reputable exchange.
Bitcoin (BTC)
You can’t go wrong if you just consider Bitcoin because of the high demand. But, in addition, the crypto market is a barometer for the whole sector, affecting the value of almost every other asset.
BTC is the most valuable cryptocurrency asset that can be purchased. It is estimated that Bitcoin accounts for around 40% of the total market capitalization of the crypto industry. As a result, it is more like a steering wheel than a market weather vane. An optimistic cryptocurrency market might be predicted if Bitcoin’s price rises. However, all bets are off if the value of the Bitcoin drops.
Earlier this summer, the value of Bitcoin and almost all other digital currencies plummeted, as seen by the above. When you invest in Bitcoin, you’re investing in the future of the whole industry, not just Bitcoin.
Finally, the price of Bitcoin has skyrocketed in recent months. Coin prices have grown from $30,000 to about $70,000 in the last year. In other words, it’s not slowing down in any manner at all. Several experts predict that Bitcoin will reach a new all-time high soon. It’s possible to buy Bitcoin from a Bitcoin ATM or just about any other place.
Uniswap (UNI)
In 2022, as interest in DeFi grows, UniSwap may become very popular. People in the financial industry are looking to make money passively while still utilizing their current assets. Due to various factors, some persons cannot open a bank account and hence cannot make a living.
The red tape and expenses associated with conventional banking deter some customers. A more independent and profitable alternative to conventional banking is offered by the company known as Uniswap. It is possible to make money without doing anything since Uniswap is a DeFi technology.
Coins and tokens may be staked on the Uniswap protocol for a better yearly percentage return than a regular savings account. Customers may also decide exactly when and how they want their money to be used. User schedules may be accommodated rather than the other way around using this strategy. Because of its decentralized exchange, Uniswap is well-known among the general public (DEX). An automated market maker (AMM) connects buyers and sellers to keep the market active at all times.
Since it’s decentralized, a custodian isn’t required, as with a centralized exchange. People concerned about the safety of their crypto holdings may find this useful. In addition, as the protocol grows and changes in response to the needs of its users, one of its most enticing features attracts new investors.
The protocol has been updated twice since the debut of its exchange in 2018. When Uniswap V3 went live in May 2021, it consolidated liquidity, improved transaction performance, and rewarded liquidity suppliers.
Of course, the Uniswap DEX is a great place to purchase UNI money. However, if you don’t already have any cryptocurrencies, you’ll need to get a stable coin from a third party. Because DEXs do not allow for the exchange of fiat cash, this is why.
Final thoughts
Like any other investment, cryptocurrencies have a risk factor too. However, if you choose to invest wisely in the aforementioned digital currencies, you will likely make a handsome return. Of course, as an investor, you should always keep a backup of funds to buy more assets when the prices slump.
