Top 2 cryptocurrencies to buy and hold for the long-term
- Cryptocurrencies have done better than traditional assets this year.
- Ethereum is the best cryptocurrency to buy and HODL because of its market share.
- Binance Coin is also a good coin to buy for the long term.
Cryptocurrency prices have generally done well this year. Bitcoin has risen by more than 80% this year, outperforming the Dow Jones and Nasdaq 100 index. Other coins like Ethereum, Ripple, and Solana have all more than doubled. However, cryptocurrencies are highly volatile coins. In this article, I will look at the three cryptocurrencies to buy and hold for a long time.
Ethereum (ETH/USD) is a blockchain project that enables developers to build applications like in DeFi and non-fungible tokens (NFTs). Ethereum can be viewed as Android, which is an open-source ecosystem that enables people to build mobile applications.
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Ethereum is widely used in the cryptocurrency industry today thanks to its smart contracts technology. For example, it dominates the decentralized finance (DeFi) industry. According to DeFi Llama, there are more than 200 DeFi apps built in Ethereum. These apps have a combined total value locked of more than $180 billion.
Ethereum has also been used to build other popular blockchain projects like Non-Fungible Tokens (NFTs) and metaverse. It powers NFT marketplaces like OpenSea and metaverse projects like Decentraland.
Ethereum is a good long-term investment for several reasons. First, it has a significant market share even with its many challenges like slow speed and higher costs. Second, it has a name recognition that many Ethereum-killers don’t.
Third, developers are working to make several improvements in the network. For example, they are transitioning it from a proof-of-work to a proof-of-stake, which will solve some of its biggest challenges.
Binance is the biggest blockchain in the world. The global Binance platform handles more than $25 billion worth of cryptocurrencies every day. On the other hand, the American version handles more than $1 billion cryptocurrencies each day. Therefore, the company is approximately double the size of Coinbase, a firm that is valued at more than $50 billion.
Binance Coin (BNB/USD) is the native token for the Binance Smart Chain (BSc). This is a platform that is similar to Ethereum in that it enables developers to build decentralized apps. Indeed, the BSc ecosystem is gaining significant popularity because of its association with Binance.
BSc has some features that are better than Ethereum. For example, it is based on proof-of-stake technology, which makes it relatively faster. The network handles about 80 transactions per second while Ethereum handles less than 20. Third, it is relatively cheaper and faster to use than Ethereum.
Binance Coin is also used widely in the Binance ecosystem itself. Therefore, all these makes it a good coin to buy and HODL.