Crypto Crash: 3 Top Cryptocurrencies to Buy Right Now!

The pullback in the cryptocurrency space makes tokens such as Ethereum, Solana, and Avalanche attractive bets right now.

| More on:
crypto blockchain

Image source: Getty Images

Cryptocurrency investors have experienced a massive decline in their portfolio values this year. The cryptocurrency market touched a market cap of US$3 trillion in November 2021 and has since declined by 40% to be valued at US$1.62 trillion, at the time of writing. Several digital tokens are under the pump allowing investors to buy the dip.

Let’s take a look at the three top cryptocurrencies you could buy right now.

Solana

Solana (CRYPTO:SOL) is down 50% in 2022 and 65% below all-time highs. After gaining over 10,000% in 2021, Solana has pulled back significantly. Despite the underperformance, Solana is still the eighth-largest digital asset in the world, valued at a market cap of US$28.7 billion.

Solana is one of the most promising blockchain networks, given its scalability. Right now, Solana can execute around 50,000 transactions per second which is higher than payments processor Visa, which can handle just 24,000 transactions per second.

Its network is also inexpensive as the cost of each transaction is just $0.00025. Users are charged $1 for 4,000 transactions executed on the Solana blockchain. Its speed, low cost, and scalability have allowed Solana to onboard more than 400 projects on its network.

Data from CryptoSlam suggests Solana is the third-largest blockchain network in terms of all-time sales volume.

Avalanche

The twelfth-largest cryptocurrency in the world, Avalanche (CRYPTO:AVAX), is valued at a market cap of US$15.4 billion. AVAX is down 45% in 2022 and 57% below its record highs. The Avalanche blockchain can also be used to create and execute smart contracts.

In fact, its network validates payments in less than two seconds which is significantly faster than Bitcoin and Ethereum (CRYPTO:ETH), which execute transactions with an average time of 60 minutes and six minutes, respectively.

Further, the Bitcoin and Ethereum networks can execute around seven and 13 transactions per second, respectively, compared to Avalanche, which can process 4,500 transactions per second.

Avalanche developers have also focused on compatibility so that developers can deploy Ethereum dApps on the former’s network too. The interoperability has been a major driver for the AVAX token. Right now, Avalanche is already the fourth most popular DeFi platform in the world.

Ethereum

When you shortlist the top cryptocurrencies, it’s difficult to ignore Ethereum, which is the second-largest blockchain network in the world, valued at a market cap of US$284 billion. Its ecosystem is rapidly expanding and around 40 of the 100 largest cryptocurrencies are built on the Ethereum blockchain.

Ethereum was founded in 2015 and enjoys a first-mover advantage. It was the first blockchain network to support self-executing smart contracts that are used to create decentralized applications (dApps).

While Ethereum trails Avalanche and Solana in terms of speed, scalability, and cost, its upcoming network upgrade should address a majority of these issues. So, once Ethereum shifts toward a proof-of-stake mechanism it could execute 100,000 transactions per second.

In a nutshell, the massive increase in transaction speed and a decline in costs will allow Ethereum to onboard projects at a stellar pace, which should increase demand for the ETH token.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium service or advisor. We’re Motley! Questioning an investing thesis — even one of our own — helps us all think critically about investing and make decisions that help us become smarter, happier, and richer, so we sometimes publish articles that may not be in line with recommendations, rankings or other content.

Fool contributor Aditya Raghunath has no position in any of the stocks mentioned. The Motley Fool owns and recommends Bitcoin and Ethereum. The Motley Fool recommends Visa.

More on Cryptocurrency

crypto, chart, stocks
Cryptocurrency

2 Top Crytos to Buy Right Now

Here are two top cryptos investors may want to consider right now, given the sharp selloff we've seen in this…

Read more »

Diagonal chain made of zeros and ones. Cryptocurrency and mining.
Cryptocurrency

2 Cryptocurrency Stocks Investors Can Buy Right Now

Cryptocurrency stocks such as Coinbase and Hut 8 Mining are trading at attractive valuations, making them attractive to long-term investors.

Read more »

cryptocurrency, crypto, blockchain
Cryptocurrency

2 Top Cryptocurrencies That Can Be Part of Your Portfolio in 2022

Cryptocurrencies such as Polygon and Solana are trading significantly lower compared to all-time highs but remain a top bet right…

Read more »

Big Bitcoin logo.
Cryptocurrency

Is Bitcoin the Store of Value Everyone Thought?

Is Bitcoin a true store of value or just another high-risk, high-upside asset class that's likely to remain volatile in…

Read more »

thinking
Cryptocurrency

Luna Collapse: Beginning of the End for Crypto?

The cryptocurrency Luna (CRYPTO:LUNA) crashed nearly 100% last week. Does this spell bad news for the entire cryptocurrency market?

Read more »

A depiction of the cryptocurrency Bitcoin
Cryptocurrency

Bitcoin Dropped Below US$30,000: Good Time to Buy?

The world’s most popular cryptocurrency dropped below its psychological level, but it isn’t a buy, as analysts predict a further…

Read more »

cryptocurrency, crypto, blockcahin
Cryptocurrency

Crypto Gains Wiped Out: Buy or Sell Bitcoin?

Many crypto investors now have a critical decision to make: exit their positions and cut their losses or buy at…

Read more »

crypto blockchain
Cryptocurrency

Crypto Crash: Can Terra Regain its Lost Glory?

The LUNA token was one of the largest cryptocurrencies in the world. But it has lost almost 100% of its…

Read more »