Cryptocurrencies, as an asset class, are extremely volatile. They carry a lot of risks, but clearly, these digital currencies can offer good returns, one of the many reasons why it has exponentially appealed to the investors over a reasonably long time period. They are well-packed to look through but the boatload of extreme volatility still resists several investors who wish to gain the benefits of investing in top cryptocurrencies like Bitcoin and Ethereum. But there are also risk-loving investors, like day-traders, hedge-funds, and venture capitalists, and high-risk investment seekers. They desire to make money by placing exponentially large bets on the riskiest investments, and also possess the expertise to manage losses. The fact that the most-popular cryptocurrencies are recovering fast from the bearish trend shows that crypto buyers and sellers can be responsible for the fluctuation in spike or crash in cryptocurrencies. Here, we enlist the top cryptocurrencies that are recovering from a bearish trend in February 2022.
In the year 2021, Bitcoin was the core catalyst that drove the global crypto market to new highs, when the coin crossed US$65,000. Crypto investors and analysts were extremely astounded to realize the true potential of BTC. But the success was short-lived. By the end of 2021, the crypto entered a bearish mode. Of course, volatility is a part of Bitcoin but the BTC is trying hard to get out of its bearish condition and experts believe that its value will start rising again by the end of February 2022.
Ethereum is a decentralized open-source blockchain system that works as a network platform for numerous other cryptocurrencies, and also executes decentralized smart contracts. After a long period of time, ETH reached the US$4,000 mark but entered a bearish trend soon after. Many experts also believe that ETH's dive is mainly an aftermath of Bitcoin's fall. Nevertheless, the crypto will also recover soon since inventors are eagerly waiting for the ETH 2.0 upgrade, which is supposed to be faster and more efficient.
Cardano is a proof-of-stake blockchain platform that focuses on ensuring that the owners can participate in the operation of the network. This open-source project aims to redistribute power to marginalized individuals, enabling to create a society that is more secure, transparent, and fair. For the last couple of months in 2021, the ADA token plunged deep but compared to other coins it has shown strong growth. ADA also launched smart contracts on its platform, which is one of the many reasons why investors should consider buying Cardano in 2022.
Polkadot is one of the most exciting projects to emerge in the crypto market. DOT was mainly created to establish Web 3.0, and it focuses on bridging the gaps between blockchains, allowing them to communicate. The crypto offers some cool features. DOT also possesses customisable parachains. The crypto quite bullishly made it to the top cryptocurrencies in the market but has plunged a little. Analysts believe that there is nothing to worry about since it will recover soon from its bearish mode.
Terra is a blockchain protocol that uses fiat-pegged stablecoins to power price-stable global payments. As per its whitepaper, LUNA combines the price stability and wide adoption of fiat currencies with the censorship resistance of Bitcoin and further offers fast and affordable settlements. Terra is one of the cryptos that is considered a rising star in the market, but its value dipped soon after. But it remains to be one of the most prospective choices for investors in February 2022.
XRP or Ripple is an open-source cryptocurrency that uses an open-source distributed ledger. The XRP ledger can process transactions roughly every 3-5 seconds. The creators claim that the crypto was built for payments and can settle transactions faster than most other cryptocurrencies, seamlessly.
LINK is a blockchain abstraction layer that enables universally connected smart contracts. The crypto allows blockchains to securely interact with external data feeds, events, and payment methods. Chainlink made quite a breakthrough in 2020 and continued to grow in 2021, but the crypto dived hard and is one of the cryptos that is recovering from its bearish trend in February 2022.
Floki Inu is a dog-themed meme coin that is named after Musk's pet dog. It is one of the memecoins that took the internet by storm, along with others like Shiba Inu and Dogecoin. Floki is currently positioning itself as a force to be reckoned with and is taking its competition with the other top cryptocurrencies seriously. The platform is developing NFT games that will bring forward the real utility and use case of the token.
The fact that Dogecoin is still not taken to be a serious competitor in the crypto market surprises many investors and especially DOGE fans. But analysts believe that meme coins cannot be considered for long-term investment options. But DOGE's growing community says otherwise. While many argue over its legitimacy, crypto has proven itself to be a tough competitor and it will recover fast from its bearish trend.
Aave is a decentralized finance protocol that allows people to lend and borrow crypto. Lenders can earn interest by depositing digital assets into specially created liquidity pools, whereas, borrowers can use their crypto as collateral to take out flash loans using this liquidity. Currently, Aave is on its journey to make space for itself among the top cryptocurrencies.
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Disclaimer: Analytics Insight does not provide financial advice or guidance. Also note that the cryptocurrencies mentioned/listed on the website could potentially be scams, i.e. designed to induce you to invest financial resources that may be lost forever and not be recoverable once investments are made. You are responsible for conducting your own research (DYOR) before making any investments. Read more here.