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Bitcoin (BTC) has been in the news headlines for several years. Almost anything written about cryptocurrencies has something to do with Bitcoin somehow. There are good reasons for the tremendous popularity of Bitcoin. For starters, Bitcoin was the first cryptocurrency available. It demonstrated the feasibility of using digital coins to perform transactions and payments.

Also, the value of Bitcoin has increased enormously over the years. Early buyers were rewarded with huge gains. It is well known that several Bitcoin enthusiasts became millionaires thanks to their cryptocurrency holdings. Hence, it is not surprising that after more than a decade, Bitcoin is still the first choice for investors in the crypto space.

However, since the launch of Bitcoin in 2009, many more cryptocurrencies have been created. Some of them had the goal to improve on the features of Bitcoin. For example, Monero (XMR), which uses privacy-enhancing technologies to solve some privacy issues that are present in Bitcoin. As a result, many exchanges allow users to convert XMR to BTC and vice versa.

You Can Invest in ‘Altcoins’

All the cryptocurrencies other than Bitcoin are commonly referred to as ‘Altcoins.’ Some altcoins have shown price performances that surpass Bitcoin’s by far. Hence, many investors are eyeing other cryptocurrencies to diversify the portfolio of cryptocurrency investments. You probably are already wondering “What cryptocurrency should I buy besides Bitcoin?”

Well, the possibilities are many. There are thousands of cryptocurrencies and digital tokens that are traded daily. While some cryptocurrencies have no significant following, others have become quite popular and exhibit big trading volumes. One way to identify promising altcoins is to check the cryptocurrency listings of major exchanges.
For example, the website lists over 200 cryptocurrencies. Generally, exchanges choose to list digital coins that have some demand and acceptable trading volumes. But, if you want to know which altcoins may be good investments, you should pay attention to these digital coins:
  • Ethereum (ETH);
  • Cardano (ADA);
  • DogeCoin (DOGE);
  • Binance Coin (BNB).
This list is based on the opinion of some cryptocurrency experts. However, eventually, you will surely prefer to decide by yourself which coins to invest in. We tell you what aspects to evaluate.

Investment Criteria for Cryptocurrencies

For many, Bitcoin is a ‘safe’ investment. After all, it has always been in a bullish trend. For any other cryptocurrency, you should pay attention to the following criteria before investing:
  • The crypto startup must have an interesting business proposition;
  • The supply of the cryptocurrency. In general, lower supply increases the demand for the coin thereby driving its value up;
  • The price history of a coin can provide valuable information into its market behavior;
  • High developer and community activity is a good indication.
As seen, Bitcoin is still the most popular cryptocurrency. However, many other cryptocurrencies also offer good opportunities to make profits. Learning to evaluate them properly is the key to successful investments.