How to Detect a Promising Cryptocurrency

Digital coins have become quite firmly established in our reality over the past few years, and since the market is still very young, promising cryptocurrencies will still emerge. Those who considered the prospects of Bitcoin at the start, buying it for less than $1000, were able to increase their fortune many times over. Now, despite all the predictions of further growth in the price of the main cryptocurrency, not everyone will be able to buy it for $22000.

Therefore, at the dawn of the virtual coin market, it is worth taking a closer look at those cryptocurrencies that can become the “new Bitcoin” and increase your investment in the same way in the future.

Detection Tools

We have already mentioned that there are still ICOs on the market – initial coin offerings destined to either have a long, successful, and profitable future or to fade quickly. Below are a few criteria you should use to evaluate coins before investing.

Look for Inexpensive Coins

Investing money in cryptocurrencies remains risky, especially when evaluating coins shortly after they hit the market. Therefore, it is worth realizing that your investment may not pay off. Nevertheless, it is the first reason to look at low-cost cryptocurrencies.

We should not forget that the prospects for cryptocurrencies, which have already experienced multiple upswings, can be ambiguous. If they rose due to hype, they may eventually fall to their fair price, and instead of a return on investment, you’ll get a loss.

What Makes it Unique?

The future that cryptocurrencies are predicted has to do with their use as a means of payment or as a tool that performs other practical tasks. If the value and uniqueness of the coin are clear, it has prospects. On the other hand, if the price of a new cryptocurrency grows only out of interest in it as a speculative asset, the probability of collapse is relatively high.

How Popular Is It?

We’ve already discovered that undervalued cryptocurrencies with practical benefits have growth prospects. However, ‘undervalued’ doesn’t mean ‘lack of interest’. Remember, the demand pushes the price up, which means the cryptocurrency needs to be on the radar of the cryptocurrency community and beyond.

When looking for promising cryptocurrencies, it is worth tracking publications in the news feeds of crypto-industry websites, crypto-traders, and crypto-investors forums. But don’t take everything you read there as the ultimate truth.

Price Charts

The rate of cryptocurrencies, or instead, its dynamics, is one of the most revealing factors that you should analyze before deciding to invest.

This instrument can be promising if its movement is similar to the general dynamics of the cryptocurrency and bitcoin market, not characterized by sharp ups and downs. But the sudden jumps indicate that the cryptocurrency is mainly in demand among speculators, while large investors bypass it.

Who Created It?

Plans to conduct ICOs and release new digital coins can now be heard from large companies (e.g., Facebook’s Libra project) and unknown creators.

Prospects for cryptocurrencies released by well-known developers are more significant because of their credibility and the fact that they have had time to prove themselves in the market of other financial assets. Even at the pre-launch stage, many investors are willing to invest in the project, understanding the growth potential of the future coin, which means it is likely to grow in value.

Let us now take a look at some examples of truly promising altcoins:

INS: a Crypto With a 1000% Growth Forecast

INS is a cryptocurrency destined for success. After all, its scope is the food industry, which takes up to 50% of consumer income. According to experts, it is a huge market with limitless prospects, which will reach $8.5 trillion in a year. The creators of INS want to remove the middleman, which causes overprice by 30-50%.

According to the developers, the existing supply chains are inefficient. After all, they add 17% to the cost of products – this leads to spoilage of goods and limits the range. So the idea behind INS is simple: create a platform where consumers and manufacturers are in direct contact. That way, consumers can choose low-cost products and get convenient delivery.

Yet, INS is not among the top altcoins for all the purported benefits. Its market capitalization is only $14.4 million, which is very little for a promising cryptocurrency. Experts suggest the price will increase 3-10 times in the coming months.

ANON: Making Money on Anonymity

ANON, a fork of Bitcoin and ZClassic, guarantees absolute anonymity to its users and promises from 300 to 1000% of profit to the owners. One node for mining coins now brings from $7 to $12 per day, depending on the rate of ANON. What makes it so lucrative, then?

• A team of professionals on the advisory board. Among the advisors, there’s Steven Nerayoff, the person behind the launch of Ethereum.
• High liquidity. ANON cryptocurrency is available on three exchanges. These are Tradesatoshi, Cryptopia, and Safe.trade. The altcoin may soon be on Idax and Coinone as well.
• Two ways of passive income (mining and masternodes), which are very popular.
• Active community that manages the cryptocurrency on its own. No centralized teams!
• Access to wallets and mining pools.

ILK: Trading on Commitments

ILK is a lending service for digital assets. It is a highly sought-after feature, given the growth of investors and the emergence of new exchanges and financial instruments. Users can place their altcoins on the platform, get a loan against them in fiat currency, and get cryptocurrencies for business development.

Lending occurs between the parties directly through smart contracts, and the platform ensures compliance with all the agreement terms. Major cryptocurrencies are accepted, including Bitcoin, Ethereum, BCH, and LTC. The project’s ICO has already attracted $2.5 million.

XRP: Untapped Potential

XRP is a cryptocurrency that is still far from its peak. That said, the project is constantly improving its products and increasing the number of partners. The xRapid protocol is becoming increasingly popular among global banks and financial companies. It allows money transfer between countries and continents quickly and at minimum costs. Its partners include MoneyGram, the Central Bank of Thailand and Kuwait, Banco Santander, American Express FX International Payments, Mitsubishi Corp, and others.

XRP is 1,000 times faster than Bitcoin – and that’s important! Over the last week, its tokens have grown by 24%. In fact, support for the coin appeared on many platforms, including the credit service Nexo. In October alone, the company added more than 10 partners!

The real breakthrough for XRP could be the listing on Coinbase. Rumors about this event have been circulating in the cryptocurrency community for a long time. In addition, the possibility of XRP becoming the official currency of the upcoming Olympics could also boost the price.