October was another record month for cryptocurrencies as Bitcoin (BTC) broke past all-time highs and the overall crypto market broke the $ 2.6 trillion mark for the first time.
As might be expected, the highs drew expert cries from both sides of the debate. Some warn that the highs are symptoms of a bubble that is about to burst, while others predict that Bitcoin and the crypto market will go even higher. It is always good to be cautious after a sharp rise in prices, because given the volatility of the crypto market, there is a strong possibility that prices will drop again.
Long-term investors may find it easier to stay focused on the horizon and ignore short-term market sentiment. But it’s always a good idea to keep an eye out for general trends, especially since they can guide our decisions about which altcoins to keep on our watch lists.
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1. Polkadot (POINT)
Polkadot is one of several Ethereum (ETH) alternatives, with smart contract capabilities that process transactions quickly and affordably. Polkadot stands out for its interoperability – the ability to talk to other blockchains – which will be crucial to the success of the crypto industry as a whole.
Polkadot is particularly worthy of attention in November as it will begin its parachain auctions. What are parachain auctions? Let’s start with the parachaines; Interconnected chains that are at the top of the main Polkadot relay chain. Parachains work in parallel with each other to avoid the network congestion we’ve seen on other platforms.
There is only room for a limited number of parachains, so projects must bid to lease space on the network. Hence the auctions.
If you want to dig even deeper, take a look at some of the tender projects for parachain space. It can be more complicated to invest, but understanding them is a great way to learn more about the development of cryptocurrencies.
Available from the following US crypto exchanges: Coinbase, Kraken.
2. Stellar lumens (XLM)
I am often hesitant about cryptocurrencies which are only intended as a means of payment. One concern is that this is a crowded space – and one that is complicated by stablecoins and central bank digital currencies (CBDCs). However, Stellar Lumens is not just any old digital payment. It targets the multi-billion dollar remittance and money transfer market.
If Stellar wasn’t already on your radar, November is a good time to add it to your watchlist, especially since it recently announced a partnership with one of the world’s largest transfer companies. money to the world, MoneyGram.
Stellar wants to make it easier to send money – whether it’s dollars, pesos, or Bitcoin – around the world. It uses blockchain technology and the XLM token to make money exchanges and transfers more efficient.
Stellar has a lot in common with Ripple (XRP), another digital payment coin. This is not surprising since one of its founders, Jed McCaleb, was also a co-founder of Ripple. However, while Ripple focuses on the global banking industry, Stellar is more geared towards individuals. More importantly, while Ripple has an ongoing lawsuit with the SEC, Stellar Lumens does not.
However, be aware that regulation could still have an impact on XLM, as authorities seek to introduce more controls on bank-like services, which may include Stellar Lumens.
Available on the following US crypto exchanges: Coinbase, Binance.US, Kraken.
3. Sandbox (SAND)
From Decentraland (MANA) to Sandbox, virtual worlds have recently gained a lot of attention. Indeed, Facebook plans to spend $ 10 billion this year on its Metaverse division and Mark Zuckerberg sees virtual reality as a key theme for the future.
Cryptocurrency is an ideal form of payment in these virtual worlds, although it is not clear whether a virtual world will win out in the end. It pays to carefully study the scenery and even visit these metavers before parting with your money.
Sandbox players can buy and build digital real estate, as well as build their own games and NFTs. It’s an Ethereum-based game which, like the highly successful Axie Infinity AXS), runs on a game-to-win model.
Available from the following US crypto exchanges: Gemini, Kraken.
Be careful and do your own crypto research
Each month we try to highlight some interesting cryptocurrencies that are worth further investigation. But you also need to do your own research – see how each investment fits into your overall portfolio, whether you’re comfortable with the project’s leadership and long-term vision, and whether you think the crypto will find enough money. utility with a large user base.
We usually only offer coins in this column that you can buy from major US cryptocurrency exchanges. There are many opportunities with other coins, but buying from less reputable exchanges comes with additional risks. As there are many exciting cryptos that are readily available, it does not make sense to tell you about which ones are more difficult to obtain.
November promises to be another interesting month. Notably because we could finally get some long-awaited additional regulatory encryption advice. Even though it’s been the case for several months now, so I’m not holding my breath.