The cryptocurrency market continues to flash signs of pandemic-style potential currently. Bitcoin (BTC-USD) is the most valuable and important asset in the cryptocurrency space. Fortunately, it is again testing all time highs. That is creating a scenario in which all boats are being pulled higher for these seven cryptos with explosive potential. Further, some cryptocurrencies are expressing signs of their breakout ability at the moment. That’s clearly one sign to watch when attempting to identify cryptos with 5X potential.
Back to Bitcoin. Spot ETFs are here. The biggest cryptocurrency has managed to further integrate itself into the financial landscape. Furthermore, the Bitcoin halving lies ahead. Mining companies will soon be rewarded with half as much BTC as they recently were for successfully mining a block. Scarcity tends to increase prices which is another reason that Bitcoin could quickly flash higher. In turn, the entire cryptocurrency market could be pulled much higher again making it a particularly exciting time for crypto investors.
Cryptos With Explosive Potential: Ethereum (ETH-USD)
Ethereum (ETH-USD) is simultaneously one of the most and least likely cryptocurrencies to return 5X by 2025.
In order for that to happen the price would have to land somewhere between $15,000 and $16,000. That would roughly triple the all-time high price of Ethereum, which was reached back in November of 2021.
It would also bring the market capitalization of Ethereum above $2 trillion. Bitcoin is currently worth $1.2 trillion and the entire cryptocurrency market is worth $2.3 trillion. In short, there will have to be a massive influx of liquidity into the crypto market in order for Ethereum to quintuple in price by 2025. Is it impossible? No.
For one, Ethereum continues to underpin the entirety of the cryptocurrency space through its dominance in DApps and smart contracts. It is integral to the entire crypto environment. Furthermore, Ethereum will soon be available through spot ETFs a la those that recently were allowed through Bitcoin.
There’s a real possibility that we may be entering another period in which cryptocurrency grows by leaps and bounds. That makes Ethereum a realistic 5x potential crypto despite its already strong price.
XRP (XRP-USD)
Simple pricing history dictates XRP (XRP-USD) has the potential to 5x by 2025. The leading cross border payment facilitation token traded for $3.50 back in 2017. it currently trades for 59 cents, Less than 1/5 it’s former price.
Ironically – and fortunately for investors – XRP has gotten better since then. That is to say that the company behind XRP, Ripple, prevailed in its battle against the SEC. It will not be treated as a security despite the SEC’s dogged fight to prove that it was an unregistered security all along.
Anyway, the worst is behind XRP and it continues to solidify its place as the preeminent cross-border transaction token. With more and more people traveling, the utility of XRP has strong prospects for growth. If you’ve ever tried to send cash across borders you’ll understand that it can be fraught with difficulty. Fees are high and dealing with banks in other nations is inconvenient and complicated to say the least. XRP solves a lot of that with incredibly low fees of a fraction of a penny and settlement times in the range of 3 to 5 seconds.
Those factors should see XRP continue to grow into the future, perhaps on the order of 5x this year.
Cryptos With Explosive Potential: Cardano (ADA-USD)
Cardano (ADA-USD) is simultaneously one of the most idealistic and one of the most realistic cryptocurrency projects that there is. It is focused on the nebulous goal of allowing visionaries to bring about positive global change. That’s an idealistic goal that reverberates throughout the cryptocurrency space. It’s nothing new.
However, Cardano is incredibly realistic in that it governs itself first and foremost through an empirical evidence development process. The project is Guided by the most up-to-date and leading edge computer science information available. In other words, the company doesn’t let its feelings get in the way when it comes to development and instead relies on empirical evidence as a guiding force.
Will that help to multiply cardano’s price by a factor of 5 in 2024? Realistically, I don’t know.
Yet, Cardano has more than doubled since October. Further, ADA has traded for prices that are roughly five times higher than they are currently. The potential is there. Cardano is unlikely to fail for the simple fact that it is among the projects that are least likely to introduce a fatal error into its code. The strict adherence to computer science based evidence is the reason to believe that.
Dogecoin (DOGE-USD)
I’ve probably recommended that investors avoid Dogecoin (DOGE-USD) as many times as I’ve recommended that they consider it. It never had much utility to begin with. Years later, that remains the same.
Regardless, Dogecoin has more potential than most cryptos to increase in price rapidly. In the 24 hour span prior to me writing this, for example, it increased in value by 32%. It’s up by more than 50% over the past week.
Well-known and influential names in the cryptocurrency space are predicting that Dogecoin is mirroring its 2020 behavior. Ali Martinez is a cryptocurrency strategist with a following of more than 43,000 people on X. He recently suggested to his followers that Dogecoin may have the ability to rise by more than 11,000% in the near future. If that were to occur it would make 5x returns appear pathetic by comparison. Whatever the case, Dogecoin remains an obvious choice for crypto investors willing to chase outside gains.
Cryptos With Explosive Potential: Toncoin (TON-USD)
Toncoin (TON-USD) is a bit different from the cryptos discussed previously in this article. It is different in that it has particularly strong catalysts beyond the broad excitement around cryptocurrency at the moment.
Social media platform Telegram is launching an advertising platform which should create substantial revenues. There is a lot of current speculation that Toncoin will be adopted within that advertising platform. That means Toncoin could be correlated with the rise in advertising revenue. In turn, that holds substantial potential to further increase the price of Toncoin.
Let’s be honest: a lot of the potential in cryptocurrency continues to be based on amorphous ideas and broader speculation that decentralization will continue. Yet, cryptocurrency is like any other business in that revenue is always going to be one of the primary factors in success. Toncoin is now situated to potentially be associated with legitimate and measurable revenue growth. That simple and powerful factor is the primary reason to assume that Toncoin could multiply in value by a factor of 5 by next year.
Shiba Inu (SHIB-USD)
Shiba Inu (SHIB-USD) is very likely to see a lot of liquidity in flow in the coming months and throughout 2024. The project was capable of establishing a strong position as a meme coin and that is a powerful asset. Plenty of meme coins have attempted to replicate its success since then and almost all have failed. Shiba Inu is a unique force despite the fact that it is, like Dogecoin, low utility.
Investors are aware that Shiba Inu is an excellent mechanism for betting on bullish sentiment across the cryptocurrency market. It isn’t a fly by night meme coin, instead it is one that is well established. All I’m really trying to say is that it provides relative stability vis-a-vis other meme coins while also remaining highly capable of capturing quick upward volatility.
That’s particularly valuable at this moment. It’s a Fool’s errand to try and understand the mechanism behind Shiba Inu. Instead, investors should simply understand that it has a history of providing massive gains when the crypto market heats up. That’s its value.
NEAR Protocol (NEAR-USD)
NEAR Protocol (NEAR-USD) is the cryptocurrency of choice for investors who believe that basic platforms can still be developed today. It is what is known as a layer one blockchain. That means it provides the broad environment for DApp development and smart contract creation among other things.
To invest in NEAR Protocol is to say that there is still room for fundamental platform creation and the market for it even in 2024.The project is trying to overcome issues that have plagued other similar projects including that of scalability. It has its own unique consensus mechanism called a ‘doomslug’ that purports to solve that issue.
NEAR Protocol remains interesting for the same reason that Solana (SOL-USD) was interesting in the past few years: speed. It boasts 100,000 transactions per second thanks to something called nightshade technology. The technology breaks blocks into smaller chunks increasing transaction speed in the process. It’s going to continue to be an interesting project to follow for the speed narrative alone.
On the date of publication, Alex Sirois did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.
