The much-anticipated halving of Bitcoin (BTC-USD) mining rewards happened late Friday as scheduled. This has raised speculation on which cryptos to buy post-halving, as the block rewards have now been reduced by 50% to 3.125 Bitcoins per mined block. The supply shortage could impact the price of BTC to the upside if history were to repeat. However, there are still several top cryptos poised to soar.
Technically speaking, the halving event alone should not directly impact BTC’s price or that of other cryptocurrencies. However, previous halving events have led to exponential gains and may repeat. For context, after the last halving in 2020, Bitcoin soared over 800x to reach a new peak. These gains were less substantial than those witnessed following prior halvings in 2016 and 2012.
Analysts predict a wild ride in the cryptocurrency market in the months ahead. The pertinent question for investors relates to identifying projects poised for exponential returns. Following a solid correction leading up to the halving now may be a good time to start thinking about which cryptos to buy.
Several altcoins are expected to set new all-time highs as markets adjust to the halving event. The following three may be well-positioned to see substantial growth over the coming months and perhaps years:
Chainlink (LINK-USD)
Chainlink (LINK-USD) is one of the stable cryptos to buy, having been in the industry for several years. The decentralized Oracle network intends to connect smart contracts with reliable external data sources and APIs to translate data for use on an on-chain basis. It operates by having nodes bid on requests for information later evaluated based on their history and accuracy. Data from the selected nodes is finally validated before being provided to the blockchain, allowing smart contracts to access reliable external data in a trustless manner.
Like other cryptocurrencies, LINK corrected lower ahead of the Bitcoin halving. However, it has since rebounded 4% in just 24 hours due to increased buying pressure. Notably, LINK has experienced strong gains in the past. Given that it trades well below its prior all-time high of $53, at $15, it has a strong upside potential of around 250%. This is based on the assumption that it successfully mirrors previous runs.
Polygon (MATIC-USD)
The second pick in the list of three cryptos to buy is Polygon (MATIC-USD). Polygon is based on Ethereum (ETH-USD) and provides a scaling solution to make transactions on the Ethereum network faster and cheaper. In fact, its primary aim is to address Ethereum’s scalability issues without compromising security. As a token deployed on the largest software platform in blockchain, its native token could benefit from broader progress in the crypto market. This follows its large correction during the previous bear market.
Since the Bitcoin halving, MATIC has not seen a solid rebound like other altcoins. But it has stabilized in line with historical precedence. Recent news seems to support the token price increasing to $1 soon. Moreover, major market participants transferring big chunks of tokens off exchanges, which may be an early signal for price appreciation. Notably, MATIC reached a record high of nearly $3 in December 2021. This alone represents an over 300% upside in a move to revisit its peak. You can see why this made our list of cryptos poised to soar.
Fetch.ai (FET-USD)
Fetch.ai (FTE-USD) is one of the cryptos to buy based on its focus on artificial intelligence (AI) applications and machine learning (ML). Its native token, FET, facilitates decentralized ML and has recently generated huge interest due to AI trends. There could be double growth drivers in the coming months as the halving of cryptocurrency coincides with increasing demand in ML. Moreover, Fetch.ai is also working to merge with SingularityNET and Ocean Protocol to form the Artificial Superintelligence Alliance, leveraging each project’s strengths.
Notably, FET is one of the cryptos to buy despite recently reaching a new all-time high alongside Bitcoin. It has outperformed as a market leader, with its current price of $2.50, well above the 2021 all-time high of $1.20. The altcoin reached an all-time high of $3.50 during Bitcoin’s peak. A revisit to that level in the short term shows a mere 50% upside compared to the other two picks. However, given FET’s prominence and AI demand boosting its price from a low of $0.65 in February, analysts project it could grow more than 700%. If you are looking for cryptos poised to soar, start here.
On the date of publication, Stavros Tousios 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.
