The opening days of February 2022 have been quite profitable in the cryptocurrency market. After a redstart in the year for major coins, the market reclaimed the $2 trillion market capitalization it lost in January.
If you are looking at investing in the prospects of the various currencies this month, we are here to help you make the move early. With bitcoin and Ethereum leading the bull rally. Using retrospect and prospect analysis, below are the top 5 cryptocurrencies to invest in this February.
Ethereum
Ethereum has established itself as a great utility coin with numerous use cases in various blockchain-related areas: DeFi, NFTs, staking and others. At the time of writing this, Ethereum is trading at $3,092, down 36% since its ATH and up 42% since the lowest price point of 2022.
According to data provided by IntoTheBlock, Ethereum reached a new peak this month as retail traders own more ETH than ever. The growing number of relatively small wallets is one of many adoption indicators that could hint at Ethereum eventually becoming a widely used asset (probably more than bitcoin).
This gives credence to the fundamental growth of Ethereum and the projected price rally of the native asset in this month.
BNB
The Binance coin was launched in 2017. Five years down the line, BNB has firmly solidified itself as a top-5 digital asset in terms of market capitalization.
BNB is the primary currency used to fuel transactions on the Binance Smart Chain – an ‘Ethereum killer’ network that is now being utilized by thousands of projects. With the pace at which the BSC network is growing in influence and popularity, it is projected to overtake Ethereum this year.
Along with its use of making transactions on Binance exchange, investing in BNB this month would be a worthwhile risk.
Bitcoin
No matter the situation and circumstances, bitcoin is a worthy addition to any crypto portfolio. On Feb 1, 2022, Bitcoin’s price was around $38,000 and today it is trading at $43,433, with a 14.27% 7-day increase.
It traded as high as $45,293 on Wednesday. Bitcoin consistently rises to levels much higher than its previous peaks. Although Bitcoin comes with a higher price point that dents profitability in the short-term, adept pundits still consider it the oldest cryptocurrency and insightful bet for long-term holding.
‘The king of crypto’ is definitely one of the best coins to bet on for growth in Feb 2022.
Solana
Investor enthusiasm for Solana is starting to return. It was trading around $82.71 on Jan. 22, but as of the time of writing this, the market price is $106.16, up over 30% from that time, with a 24h volume increase of 31.60%.
This shows that SOL is clearly rebounding from its trough price level. Recently, Solana has been moving into the wallet space. This is based on the collaboration between Solana Labs and Web3Auth.
They announced a digital wallet initiative designed to eliminate technical obstacles for consumers to set up wallets and move into the DeFi space. As a result, Solana is now the eighth-largest cryptocurrency with a market capitalization of $36 billion.
Seasoned analysts are very positive about Solana. Morgan Creek Capital Management believes it is one of the few coins that can survive a crypto winter. If Solana Pay takes off as it is expected this month, we look to see SOL move substantially higher.
Polkadot
Launched in May 2020, Polkadot is a newcomer to the market compared to other ‘Ethereum killers’. Polkadot attracts crypto enthusiasts with its innovation and solid reputation. Polkadot’s transaction volumes, particularly linked to NFTs, have been soaring of late.
We are bullish on the future growth of NFTs, and Polkadot’s role in the space. In the connection, we expect $DOT to see new highs this February.
Conclusion
Cryptocurrency is a high-risk investment, it is so volatile and it fluctuates by huge amounts within a very short period. The market movement mostly depends on major macroeconomic news and reports. Also, moves by bitcoin can alter the dynamics of all coins.
in this connection, it is expedient that all traders/investors do their own research/analysis and only invest an amount they are willing to lose in crypto.
