The world of cryptocurrencies moves very fast. For anyone looking to invest in this market, the breakneck speed that it moves at can prove daunting. Below are four of the most promising cryptos that traders should be watching in 2020.
How To Spot A Good Investment
Establishing a reliable method for identifying potential crypto investments is essential if you are hoping to turn cryptocurrency trading from a hobby into a bona fide career opportunity. While some traders have found success by basing their trading decisions purely on the numbers available to them, it is those that have the deepest understanding of the market that are able to make the biggest returns.
As this trading guide explains, setting yourself up to buy and sell crypto is easy. The difficult part is choosing the right cryptos to trade. When you are deciding whether a crypto is worth investing in or not, you need to consider the underlying technology and utility of the coin, not just how much it is currently trading for.
When you consider the technical details of each currency, as well as its market performance, there are some coins that clearly stand out as worthwhile investment targets.
Irrespective of anything else that happens, Bitcoin holds a unique position in the crypto world as the genesis of the entire concept. Without Bitcoin, there would be no cryptocurrency market. Bitcoin is the most common entry coin used by investors looking to invest some of their assets in cryptocurrencies.
There is a widespread misconception that Bitcoin is an anonymous payment method. In actual fact, as with most cryptocurrencies, Bitcoin is not inherently anonymous. If you want your Bitcoin transactions to be anonymous then you need to be prepared to use techniques like tumbling to ensure that your coins can’t be traced. However, Zcash is a coin that has been designed with privacy in mind. Zcash has rapidly emerged as one of the best privacy-focused coins available.
Ripple is an altcoin that has long shown a great deal of promise and is just now beginning to come into its own. Ripple allows financial institutions to make cross-border payments without having to incur the usual fees. This is achieved by using Ripple to reconcile transactions, with parties to an international transfer using Ripple as an intermediary store of value. Ripple has begun to receive the nod from a number of major financial institutions, which bodes well for its future.
Basic Attention Token (BAT)
BAT is a cryptocurrency that has enormous promise, especially if it is able to achieve the goals that its developers have set themselves. The basic premise of BAT is that the current online advertising model is broken. Most internet users will actively try to avoid adverts, despite marketers paying good money for them. BAT, and the associated Brave internet browser, enables users to receive BAT tokens for watching online ads. They can then use these tokens to donate directly to content creators.
These are the most significant cryptocurrencies for traders to watch in 2020. No one can say for sure what the future holds, but we are confident that these coins will play an important role in it.