Now is a good time to get in on some projects with solid momentum if you are looking for hot cryptos to buy. Despite the elevated range, the recent rally has fueled a lot of savvy investors’ anticipation in up-and-coming projects.
Of course, this is a risky strategy. Closing positions at the right time is essential, and there is no guarantee that the rally won’t continue. That’s why I’d recommend setting multiple stop-loss orders and trading without too much leverage during a rally.
With that in mind, let’s look at three hot cryptos to buy on the momentum:
Bitcoin Cash (BCH-USD)
One of the hottest cryptocurrencies to buy right now is Bitcoin Cash (BCH-USD), a fork of Bitcoin (BTC-USD) that is designed to enable faster and cheaper transactions. Bitcoin Cash’s meteoric rise could continue, buoyed by rising transaction volume.
However, Bitcoin Cash is not immune to the volatility and unpredictability of the crypto market. The coin faces competition from other Bitcoin forks and newer projects that offer more scalability, such as Nano (XNO-USD). That’s why I would advise some prudence when investing in BCH during this rally.
Still, this is a no-brainer pick on this list of hot cryptos to buy. The performance here has been nothing short of impressive, and in the long run, I don’t doubt that BCH could see much higher prices.
Solana (SOL-USD)
Solana (SOL-USD) is a high-performance blockchain platform that offers much more utility and value than its main competitor, Ethereum (ETH-USD). Indeed, it has a lot going for it, but there is one caveat: stability. Solana is still in its beta phase due to sporadic network outages, which is otherwise unheard of in a blockchain of this size.
Regardless, Solana is gaining traction and popularity among developers and investors. Solana has gained notoriety in the decentralized finance (DeFi) and Web 3.0 sectors. Its developer team has shifted focus to fix stability issues. In 2023, the team will focus on improving stability, Web 3.0 usability and capturing market share from Ethereum.
It could also benefit from a potential congestion and fee spike on the Ethereum network. Simply put, it is a great long-term bet offering more value than BCH.
Litecoin (LTC-USD)
Often considered the silver to Bitcoin’s gold, Litecoin (LTC-USD) offers faster transaction speeds, lower fees and greater scalability than its predecessor due to its lower block time.
While often overshadowed by Bitcoin and other alternative blockchains, Litecoin’s performance has been very impressive lately. Litecoin’s MimbleWimble upgrade last year made it much more useful and popular among crypto users as it added privacy and fungibility features to the network.
In addition, as Ethereum shifted to proof-of-stake, some miners and developers have shifted to Litecoin instead. Many consider proof-of-work to be a safer and more reliable consensus for the network, hence the recent inflow into Litecoin. It also helps that the blockchain is capable of supporting smart contracts since 2021.
On the date of publication, Omor Ibne Ehsan had a LONG position in XNO. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
