Connect with us

Altcoins

Top 3 Risky Coins to Avoid Investing in 2019

Published

on

risky coins

Investing in cryptocurrencies is still a risky way to handle your money. Despite all the progress that cryptos were able to make since they exploded in mid-2017, they remain just as volatile as ever. The bear market of 2018 damaged a lot of investors who joined the trend lately and were forced to buy the coins at higher prices.

However, if your intention is to HODL and waits for the more prosperous times, then cryptocurrencies are probably the best way to go about it.

With that being said, there is still one important issue, which revolves around which coins you are going to invest in. Obviously, not every coin is the same, and even if all cryptocurrencies are risky, some of them are much riskier investments than others. The risk you are taking is somewhat softened if you choose one of the top coins. That way, you will at least have a confirmation that those are real coins, and not scams or dying projects.

However, even then, you must be careful as some high-risk projects managed to find their way up and join the proper ones. Here are three such ricksy coins, which you might want to avoid if your goal is to make a good investment.

1. Tether (USDT)

Tether emerged as the ‘savior’ of investors when the crypto winter first struck, and investors had no choice but to watch their funds decline. The stablecoin has been around for a while at that point, but stablecoins were not nearly as popular or accepted as they are today.

Tether came as a stable investment due to its connection to USD, with each coin being backed by $1. That also allowed it to keep its price stable, and bypass the volatility that has affected nearly all other coins. However, Tether found itself in quite a controversy after it refused to provide insight into its bank account. This has led many to believe that the coin doesn’t have enough USD to cover all of its circulating supply.

Tether has been finding ways to avoid audits since it came under the spotlight, and the uncertainty makes it a very risky investment. If these fears turn out to be true, investors who buy USDT might find themselves in possession of worthless coins.

2. Verge (XVG)

Verge was a popular privacy coin that seemed to be on the right path to be one of the top cryptocurrencies. However, the coin suffered a massive blow around a year ago when hackers discovered flaws in its mining code. This has led to a number of attacks on Verge’s blockchain, the abuse of its mining system, and theft of massive amounts of coins.

Verge suffered four attacks in total, and after each one, its developers claimed they fixed the issue, only for another attack to prove them wrong. Since then, many have decided to abandon it in favor of Monero, Zcash, and other privacy coins. Lately, Verge developers started considering shifting towards PoS, but there is no guarantee that the coin will ever awaken the interest again, or regain the same quality it was once thought to have. As a very risky investment, we recommend skipping this one.

3. Dogecoin (DOGE)

The last coin we would recommend avoiding is Dogecoin (DOGE). DOGE came to be as a meme back in 2013, but against all odds, it got the interest of many investors. Even to this day, DOGE sits higher than anyone would have expected, currently ranked as 28th largest cryptocurrency by market cap. So, why should you avoid investing in DOGE?

The answer is simple — the coin has no total market cap. In other words, it can be mined infinitely. The coin’s circulating supply already exceeds $118.8 billion tokens, and the supply is only going to get bigger, and bigger. More transactions mean more blocks, and the more blocks, the more mined coins, and this infinite loop will prevent DOGE from ever reaching high prices and gaining any large value.

Even if the project starts burning its coins, it would have to hold massive token burns all the time in order to be able to cope. And, since its creator decided to distance himself from the project, there was a large lack of any true leadership. DOGE continues to live on, but only as a meme that refuses to die. It is a popular and interesting coin, but it is highly unlikely that it has a future.

For the latest cryptocurrency news, join our Telegram!

Disclaimer: This article should not be taken as, and is not intended to provide, investment advice. Global Coin Report and/or its affiliates, employees, writers, and subcontractors are cryptocurrency investors and from time to time may or may not have holdings in some of the coins or tokens they cover. Please conduct your own thorough research before investing in any cryptocurrency and read our full disclaimer.

Photo by Skitterphoto from Pexels

Altcoins

Solana Price Surges Beyond $100, Dethroning Ripple and BNB To Secure Fourth Place

Published

on

By

Solana price performance in recent times has been remarkable, surpassing Ripple and Binance Coin to become the fourth-largest cryptocurrency by market cap. The SOL price breached the critical level of $100 for the first time since April 2022 over the weekend to imbue optimism among investors. However, the altcoin has corrected by 7%, suggesting that the market is overheated. At the time of writing, the ‘Ethereum killer’ was trading slightly lower at $111.60.

SOL Outlook

Solana price has made a significant recovery over the past few weeks, climbing above the psychological level of $100. The altcoin has been one of the best-performing assets this year, extending its year-to-date gains to more than 1,025%, with more gains recorded in the past month alone. However, even with such growth, analysts have noted that Solana has a bleak chance of topping its ATH of $260.

The reason behind this is the increase in supply relative to its value. In November 2021, when the Solana price hit its all-time high of $260, its total market capitalization was around $78 billion. Despite the value of the crypto asset being less than half of what it was at the top, its market cap is currently hovering near $50 billion.

This has been brought about by the increase in the Solana supply by more than 100 million SOL over the past two years. According to some analysts, for the altcoin to retest $260, its…

Continue Reading

Altcoins

Solana Price Skyrockets to 20-Month Peak Amidst Memecoin Frenzy

Published

on

By

Solana price has noted significant gains over the past few weeks, climbing to its highest level since April 2022. The ‘Ethereum Killer’ almost topped the crucial level of $100 on Friday, before pulling back slightly. The asset’s recent surge has catapulted Solana’s total market cap to $39.6 billion, ranking 5th after and above BNB and XRP, respectively. Solana has jumped by more than 22% in the past week and more than 80% in the month to date. At the time of writing, SOL price was trading 0.90% lower at $93.10.

Catalysts Behind SOL’s Rally

Solana price has been on a strong bull run over the past few days, rocketing to its highest level in 20 months as the network benefits from the substantial activity and strong interest in memecoins. The SOL token, the native digital asset of the high-performance blockchain platform Solana, has shown some serious strength over the past few weeks, outperforming all the altcoins in the market.

The recent surge in the Solana price has been linked to heightened on-chain activities on the Solana blockchain. Notably, the ongoing hype for the blockchain’s speedy transactions, cheap fees, and a lottery of meme coin issuances has buoyed SOL’s on-chain activity. Metrics have revealed that Solana has been the strongest draw among on-chain traders, with trading volumes and network fees outperforming Ethereum- the largest altcoin by market cap.

Cited figures provided by DeFi aggregator DeFiLlama

Continue Reading

Altcoins

Solana Price Breaches $60 Amid a Symphony of Bullish Indicators

Published

on

By

Solana price has jumped more than 8% over the past week, breaching the important level of $60. At the time of writing, Solana was trading 3% higher at $61.07. The asset’s total market cap has climbed to $25.9 billion over the past week, ranking it the 6th largest cryptocurrency after XRP. The total volume of SOL traded over the last day has declined by 8%.

SOL’s Bullish Cues

Solana’s price has been among the best-performing cryptocurrencies this year amid continuous growth. The “Ethereum killer” has consistently impressed investors throughout the year on the back of a resurgence in bullishness, which saw SOL’s price climb more than 513% in the year to date. Institutional investors have also shared the bullish sentiment, making Solana their most preferred altcoin.

In the week ending November 24, Solana recorded inflows worth nearly $3.5 million, significantly more than the other altcoins’ inflows combined. The asset’s monthly inflows were higher at $40.2 million, lower than Ethereum’s $99.6 million inflows in the same period. Other altcoins, including Litecoin and Ethereum, noted significant outflows, making Solana nearly half of the home for DeFi. This implies that when it comes to institutions, Solana is currently the best-performing altcoin with the potential of a long-term rally much higher than other digital assets.

Notably, the Solana DeFi ecosystem accomplished a significant milestone earlier this week. Its Total Value Locked (TVL) hit a new yearly peak of over $655 million,…

Continue Reading

Trending