The growth of cryptocurrencies sometimes does not make life easier. All people who somehow belong to cryptocurrency want to know how to increase their revenue, always checking the charts and lists of top coins. The market is changing fast, which makes it more difficult to choose the right crypto to invest in.
To provide a little help, we have collected the top 5 cryptocurrencies in 2020. Keep reading to find out what crypto to invest in this year. Spoiler: it is not a top by market capitalization.
Crypto Trends in 2020
2020 is not a simple year even for the digital world. We cannot deny that it will not go unnoticed from our life, as well as from the crypto market. There are several significant crypto trends that you need to pay attention to:
As you remember, in the middle of March, Bitcoin has descended under $5000. This happened for the first time since April 2019 and shocked the whole community. However, everyone has already recovered from the shock, and now the crypto world is waiting for BTC halving.
Within the pandemic, the use of stablecoins has increased, and blockchain startups are trying to attract the venture capitals.
US Congressman Brad Sherman stated that the cryptocurrency might constitute a danger to the US dollar’s position in the global economy.
Retail adoption on the rise. Many people accuse cryptocurrency because it is not used in real life. In 2019, the Flexa project provided retailers with its crypto-payment platform. This year Starbucks announced that they want to enable Bakkt’s crypto-payment service.
Top 5 Popular Crypto in 2020
#1. Bitcoin (BTC)
There is no doubt why Bitcoin, the most well-known cryptocurrency, is on the top of this chart. Even despite its possible downturns, traders, investors, and simply crypto-amateurs still trust Bitcoin. This is one of the Bitcoin advantages against altcoins.
The most important event of 2020 that attracts the attention of the crypto community is the Bitcoin halving. Bitcoin halving means that mining reward, which is currently 12.5 BTC, will be reduced to 6.25 BTC by May. This is the third Bitcoin halving for 11 years of cryptocurrency existence.
Bitcoin is a ‘digital gold’, and Ether is ‘silver’. Ethereum is the second most capitalized cryptocurrency, which was launched by Vitalik Buterin in 2013. Ethereum allows developers to build decentralized applications.
The main differences between Bitcoin and Ethereum blockchain platforms are their purpose and capabilities. Because of the Smart Contracts technology, Ethereum allows you to create not only a currency but also decentralized applications. This attracts major technology giants such as Intel and Microsoft.
This year the price of the coin jumped sharply and despite the fall it is still growing. The cryptocurrency now is going to switch from Proof-of-Work blockchain to Proof-of-Stake. So, Ethereum will be staked, instead of mined.
Ripple is ranked third in our chart as one of the most prospective investments of this year. Ripple is a type of an open payment system. The idea of this system is to get rid of the bank credit card companies, and any financial organizations intermediation.
The creator of the XRP cryptocurrency, Ripple Labs Inc, has signed partnerships with more than two hundred major financial institutions, including Standard Chartered Bank, Westpac, Banco Santander, and BBVA. Ripple is ranked 3rd by market capitalization.
This year Ripple is continuing to gain its popularity. Following such companies as MoneyGram, Hanpass, WireBarley, money transfer service Azimo started to use On-Demand-Liquidity. It is expected that the number of companies implementing Ripple in their job should increase this year. That means the price may significantly grow.
Mimblewimble is a blockchain protocol, created to improve the privacy, functionality, and scalability of blockchains. It was launched in 2016 under the pseudonym of Tom Elvis Jedusor, which is the French name for Voldemort from Harry Potter. Harry Potter’s fans will easily recognize MimbleWimble itself. It is a conjuration that prevents the opponent from pronouncing his spell.
Grin is attractive for miners first of all because of its unlimited coins. In January 2020, it introduced the second hardfork and a new Cuckaroom-29 algorithm.
Some crypto-enthusiasts compare Grin with Bitcoin because Grin has several advantages over the ‘crypto father’. Unlike Bitcoin, Grin does not have a public ledger, addresses, and it encrypts all amounts.
Price: $0.476953 USD
Market Cap: $18,793,063 USD
#5. Monero (XMR)
Launched in 2014, Monero is the best coin to mine with CPU. CPU mining is usually unprofitable, but recently Monero changed the CryptoNote to Random X, which made it more CPU-friendly.
Monero is considered to be a private, secure, and highly trusted cryptocurrency. The developers assure that using Monero you can be sure your funds are only under your control.
2020 is a tricky year for the whole world and in particular for the cryptocurrency market. Many analysts believe that the Bitcoin halving will likely lead to a bull run, though we cannot state what further events will bring us. Let’s keep track of it.