Many believe cryptocurrency investing is purely speculative. Although that may be true in some instances, it cannot be denied that the asset class has consolidated itself. Moreover, portfolio diversification benefits can be achieved by adding cryptocurrencies to a traditional investment portfolio.
I concur that numerous opportunists have taken advantage of the low-barriers-to-entry involved in listing crypto coins. As such, I delved into the cryptocurrency space with diligence and a reasonable basis to present my readers with three cryptos to buy.
I don’t expect you to agree with my findings, yet I believe they’ll add value to your own analysis of cryptocurrencies. Here are three cryptos with high price predictions that I deem strong buys.
Lisk (LSK-USD)
Lisk (LSK-USD) is a decentralized application (dApps) vehicle that emphasizes the development and execution of dApps via customized blockchains while leveraging its in-house JavaScript programming language.
Furthermore, Lisk operates a decentralized network for validating and processing transactions. Delegates vote on the entity’s transaction and validation processes. Moreover, Lisk allows anyone to join as a delegate, consequently democratizing its validation process.
Lisk has gained by approximately 65% year-over-year. Although much of its gains stemmed from a broad-based recovery in high-beta assets, Lisk has idiosyncratic potential. For instance, Binance thinks Lisk will achieve a price target of $2.51 per share by 2030, a substantial increase from its current price of $1.87 per share.
I’m willing to bet that Lisk is underpriced!
Bitcoin (BTC-USD)
Although a mundane entry into today’s list, Bitcoin (BTC-USD) presents noteworthy talking points as various inflection points have occurred. Before I discuss the aforementioned inflection points, keep in mind that Bitcoin essentially acts as an index for cryptocurrencies, meaning its salient influencing variables are systematic.
U.S. interest rates are set to pivot, adding headwinds to the U.S. Dollar. Investors usually hedge such headwinds by adding gold to their portfolios. However, Bitcoin’s recent emergence as a proxy means investors could use it to hedge U.S. Dollar weakness.
Furthermore, Bitcoin exchange-traded funds (ETFs) are gaining prominence. According to TD Securities, the introduction of Bitcoin ETFs has phased in financial advisor and fund manager portfolio allocations of about 3% to 5%.
In essence, Bitcoin’s hedging properties could coalesce with its ever-growing acceptance among professional fund managers. As such, Binance’s 2030 Bitcoin price target of $92,533.83 comes as no surprise.
Stellar (XLM-USD)
Stellar (XLM-USD) is a crypto product that features in the payments arena. The entity fills a critical void within the cross-border payments space by leveraging relationships with retail customers, banks, and adjacent financial bodies.
Despite operating in a competitive market, Stellar’s end market is set to grow by 11.8% until 2028, providing it with top-down momentum. Additionally, Stellar has a novel concept due to its open-source network, allowing anyone to build on and develop its network. Moreover, Stellar enables the exchange of almost any currency, including fiat currency, meaning it’s unrestricted.
Binance thinks Stellar will reach 17 cents by 2030, which is mildly higher than its current price of 13 cents. However, I believe this coin could surprise many market participants and deliver excess returns at low risk.
On the date of publication, Steve Booyens did not hold (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.
