Cryptocurrencies remain as important today as they were many years ago. While many people believe that they are too volatile to handle. Some people have been swimming against the tide, making profits daily as the price of cryptocurrencies takes upward or downward turns. There are facts to support the usefulness of cryptocurrency today especially in upholding the rights and freedom of citizens’. The recent clampdown on protesters by government authorities in Hong Kong and India only serves to reveal the good in cryptocurrencies. Indeed, all these would not have happened in a decentralized system. The cryptocurrencies on this list have been selected based on innovativeness, acceptability, volume, and long term review of the charts. While this article is informed by analysis released by individual market analysts on the internet, it is not based on them. Here is a list of the cryptocurrencies with the biggest potential in 2020.
Bitcoin makes this list not because it is the first cryptocurrency but it remains the coin with the most used cryptocurrency today. At the time of writing this article, the total dollar value of bitcoin’s outstanding shares is $137 billion. Going by this, more investors might consider bitcoin a likely option in 2020. The $272.68 million trading volume is a testament that more investors are interested in trading bitcoin. In the long run, charts are also in bitcoins favor. In January 2019, Bitcoin saw its lowest price in the past year of about $3,747. It peaked at $12,900 in June and currently sells at about $7,520. Many holders of cryptocurrency at the moment are traders who do not wish to keep crypto as a financial asset. Bitcoin is the most widely accepted cryptocurrency with popular companies like Wikipedia, Microsoft, Subway, KFC and Amazon accepting bitcoin in one form or another. Traders may, therefore, have to use exchange other cryptocurrencies for bitcoin often. Unlike most people think, Bitcoin is innovative and dynamic. Some of the latest development in bitcoin that is likely to improve the decentralized nature of the cryptocurrency is the Erlay. Developed by Gleb Naumenko and his team, Erlay hopes to save the future of bitcoin from large centralized data houses. The power of these nodes could grow to threaten the system. To solve this problem, Erlay hopes to reduce unnecessary communication between participants by creating groups of 8 nodes.
The first thing that gets people interested in the Etherium project is having the likes of Vitalik Buterin as its founder. The cryptocurrency uses a proof-of-work type Ethash algorithm. The beauty of etherium is that it allows developers to launch their own cryptocurrencies native to the etherium platform. Etherium hopes to be a medium of exchange and the future of contracts. With etherium, developers can create smart contracts that fulfill themselves automatically as soon as the conditions for the agreement are met. These contracts are self-regulatory, and cannot be influenced by any third party. Etherium’s proof-of-stake system chooses miners of etherium based on their stake in the system which reduces the electricity cost of mining Bitcoin. The current version of the etherium blockchain, the Metropolis Constantinople features improved security from hackers and a reduced cost per transaction. Etherium currents have a $14.4 billion market capitalization and a 24 hours trading volume of $22.28 million.
Looking at the longterm yearly chart, etherium has maintained a relatively stable value. It opened at $133 in January 2019, and like bitcoin, reached its highest point of $316 in June. Etherium currently sells at $132 but there are hopes that given its resilient team, and wide application, etherium may reach new highs in 2020. In October, UNICEF announced that it was now accepting donations in Etherium. Popular cryptocurrency exchanges like Coinbase, Binance, Bitpay also accept etherium.
When Japanese and Korean banks announced that they were about to adopt Ripple in 2017, the price of the cryptocurrency broke its $1 threshold and reached $2 in mid-December, 2017. Ripple, a unique cryptocurrency is not a competitor with bitcoin or etherium. It uses an Xcurrent powered RippleNet, a network that hopes to be the default single network for financial institutions across the Globe. Ripple is unique because it allows banks to control access to their customer data. Ripple also helps banks reduce the cost of settlement for transactions while reducing transaction time, and eliminating unnecessary third parties.
Ripple’s current market capitalization is $19.6 billion, with a daily trading volume of $14 million. Looking at the 365 days chart holders of ripple seem to favor holding the cryptocurrency. It sold lowest at $0.2056 on December 16, before reaching its highest price of $0.47657 in June. Ripple sells for $0.1950 at the time of writing this article.
According to the company website, Ripple presently partners with American Express, Ria, and Standard Chartered. Ripple also partners with Woori Bank–the fifth largest in Korea, and most recently, Shinhan Bank. With these partnerships, Ripple is widely accepted and is on its way to breaking the $2 threshold in 2020.
Despite founder Charlee Lee selling off all his holdings in the cryptocurrency in 2017, Litecoin has continued to maintain a fairly stable value. Thanks to the US market where most buyers of Litecoin are located. Litecoin is innovative for its speed, and its current implementation of the SegWit algorithm made it possible to send cryptocurrency to anywhere in the world in less than one second.
Looking at the yearly charts, Litecoin sold at $33, its lowest price throughout the year, in January. It rose to $141 in June and currently sells for $42 at the time of writing this article. Litecoin has a market capitalization of $2.68 billion, and a market cap of $7.25 million. There are over 200 companies accepting Litecoin, and since it is the handiest Bitcoin alternative, Litecoin price will likely rise higher in 2020.
EOS allows for quick and easy deployment of decentralized apps, smart contracts, and sending of tokens on the network without transaction fees. It uses a Delegated proof of stake, DPoS algorithm, and it is highly scalable.
According to the official EOS website the new EOSIO 2.0 release will help developers seamlessly create apps on the ESO blockchain quickly and easily. The new development features smarter smart contracts than ever.
EOS currently sells for $2.547. The cryptocurrency appears to be around its lowest points throughout the year with a $0.26 difference from $2.28 in January. Eos has a $2.61 billion dollar market capitalization, and $1.96 million daily trading volume. The constant innovation and hard work of the EOS team will surely have helped sustain the network and will lead to wide adoption in no time. EOS is one coin to keep an eye on in 2020.
With China, the European Union and Facebook, each set to release their own cryptocurrency, there is still hope in the crypto space. 2020 may be the big year we have all been looking forward to, but care should be taken to make the right decision.