Cryptocurrency and blockchain technology will be the next industrial revolution, so how is your cryptocurrency portfolio doing? You can check the growth prospects of bitcoin to get an automated trading experience by accessing the best in class trading bots and trading strategies.
Are you diversifying your portfolio to reduce risk exposure, or should you be looking for new crypto to take over as the number one coin? There are now thousands of cryptocurrencies, and it can seem like choosing which ones to invest in is an intimidating task.
The below-mentioned portion discusses whether all cryptocurrencies are digital assets. According to predictions, some of them, such as Binance coin Ethereum, ripple, and TRON (TRX), could take over Bitcoin in the next five years. The portion also has insights on other coins that might take the crypto market cap crown away from bitcoin.
Can any cryptocurrency take over bitcoin?
Cryptocurrencies are digital assets whose value is derived from the support of a network of users and developers.
Cryptocurrencies are decentralized peer-to-peer virtual currencies that provide a channel or means to exchange money, data or contracts efficiently and safely. The majority of cryptocurrency adoption is expected among the 18-34 demographic, who are better informed about technological innovation.
With increased accessibility to information and awareness, the younger generation will be more involved with cryptocurrency adoption than their older counterparts. Experts think that it is safe to say that any other cryptocurrency will not be able to outpace Bitcoin in terms of market cap, although if you look at the last 10 years of crypto history, we have seen some notable trends in adoption.
Making crypto predictions is always an exciting topic, and keeping abreast with the latest market movement is essential. For example, Ripple (XRP) has already overtaken Ethereum for the second spot in the rankings. While some experts claim that Bitcoin will be the “king of cryptocurrency” for years to come, others say that it may be dethroned as smaller and faster cryptocurrencies overtake it. Nevertheless, several projects are worth looking at if you’re looking for something more than just a Bitcoin alternative (and these aren’t necessarily competitors).
What are some potential competitors of bitcoin?
Ethereum (ETH) has been a successful cryptocurrency of late. The project has been gaining momentum and adoption among the big players in the finance industry. While this may seem like a surprise, it is essential to note that some experts believe that Ethereum could overtake bitcoin in the next five years.
The biggest thing holding Ethereum back from overtaking Bitcoin is scalability. The Ethereum network can’t handle more than 50 transactions a second, nor can it process as many tokens and smart contracts as Bitcoin (the Ethereum network can currently handle 15 transactions per second). However, once things are improved, and the scaling issues are fixed, Ethereum could overtake Bitcoin.
There are many alternatives out there in the markets, but here is a brief rundown of the most prominent: Ethereum, of course, Litecoin (LTC), Dash (DASH), Ripple (XRP), Monero (XMR), Zcash, Binance coin, and Cardano:
- Binance coin:
Binance is the world’s largest cryptocurrency exchange and has a platform token called Binance Coin. Binance Coin performed very well in 2018, and so far, it has gained by as much as 130% against Bitcoin.
The team behind Binance Coin have stated that they plan to get the token listed on more exchanges this year, which would raise its profile even further. In addition, Binance is also set to launch fiat-to-crypto exchanges in Malta, Singapore, Jersey and Uganda, with more countries planned to be added soon. These new exchanges will allow the company to continue its expansion into the mainstream worldwide market.
- Ripple:
Ripple was the first cryptocurrency project listed on Coinbase, a trendy platform for users to trade digital currencies. Ripple has a market capitalization of $30 billion and is currently used by banks and financial institutions such as Santander and UBS.
Ripple also leads the charge in cross-border transactions between banks and financial institutions, making it a potentially profitable market as more people use cryptocurrency.
- Cardano:
Cardano (ADA) is based on blockchain technology. Its goal is to be the most advanced open source blockchain protocol by improving existing systems with advanced technology that integrates modularity, privacy and interoperability. Cardano is one of the most promising newer generation cryptocurrencies and could overtake bitcoin in the future.
- Monero:
Monero is a secure, private and untraceable currency system. It provides all the benefits of a decentralized cryptocurrency but with extra added privacy features and stability. The project has generated a lot of interest through social media channels and community forums because of its high levels of privacy and security. Monero could be the next cryptocurrency to overtake bitcoin in 2018/2019.
- Litecoin:
Lite coin can be described as an improved version of Bitcoin, faster and cheaper to use, with more transaction capacity to handle increased market demand for this cryptocurrency. These are some of the potential competitors of bitcoin, but no one seems to have the potential to outplay or replace bitcoin in future.