Cryptocurrency has become a popular method of investment, but its volatility and lack of regulation has also attracted criticism. According to cryptocurrency experts, market leaders like bitcoin and Ethereum continue to attract interest at the current time.
David Weliver, founder of Money Under 30, told Express.co.uk: “The number of different cryptocurrencies continues to grow – last I checked the popular crypto trading platform Coinbase tracks close to 100 different currencies.
“The original cryptocurrency, bitcoin, is still something of a proxy for the entire crypto market and has a total market cap of nearly $1trillion as of September 1, 2021.
“The feature that makes bitcoin so intriguing as a currency replacement is the hard cap on bitcoin supply.
“By design, only 21 million bitcoins can ever be created. This creates scarcity that, in theory, will ensure bitcoin’s value indefinitely.
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“As the original crypto, bitcoin also draws the most regulatory attention, a critical factor in determining the future viability of all cryptocurrencies.
“Regulatory news specific to bitcoin – even rumours – usually affects all crypto prices.”
But as well as bitcoin, Ethereum is also a cryptocurrency stealing the spotlight.
Mr Weliver added: “Second to bitcoin, keep a close eye on Ethereum. In many ways, the technology behind Ethereum is better than bitcoin.
“Cosmos (ATOM) as collaboration is important and the silos between chains are slowly breaking down, allowing liquidity and information to flow more freely, the IBC (Inter-Blockchain Communication Protocol) could play a key role.”
Although there have been some exciting developments in cryptocurrency recently, anyone considering investing in any cryptocurrencies should be aware of the risks involved.
Crypto markets are notoriously volatile and are known to be very unpredictable.
The information in this article does not equate to financial advice.
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