To build long-term wealth, it is essential to remain informed about the latest crypto trends.

Cryptocurrencies are fast rising in popularity among investors and traders because of their potential for high returns. The vast number of digital assets available can make it daunting to decide where to invest. The constantly evolving nature of the crypto world only adds to this challenge.

The crypto industry has been abuzz with regulatory news and developments in recent weeks, including the White House’s proposal of the Digital Asset Mining Energy tax, which has faced pushback from the industry.

While the DAME tax ensures crypto miners contribute their fair share to local communities and the environment, critics argue it makes an unfair judgment on mining activity.

This action is part of several initiatives to prevent future financial catastrophes following the collapse of FTX in November last year.

Several regulatory agencies, including the U.S. Securities and Exchange Commission, are actively regulating the crypto industry this year. Despite pushback from crypto activists worldwide, the regulatory scrutiny shows no signs of slowing down.

Despite the increased regulatory scrutiny, cryptocurrencies continue to perform well, making it an opportune time to invest.

Staying abreast of the latest crypto trends can assist investors in making informed decisions about their investments. Therefore, conducting research and staying informed when considering crypto investments is crucial.

BTC-USD	Bitcoin	$27,914.50
ETH-USD	Ethereum	$1,861.36
BNB-USD	Binance	$316.63

Bitcoin (BTC-USD)

Bitcoin (BTC-USD) is the king of cryptocurrencies and remains a top choice for investors seeking exposure to digital assets. However, with the crypto world evolving rapidly, investors must monitor the latest trends.

Bitcoin’s price is around $28,820 at the time of writing, showing little change over the last seven days. Though it has decreased by about 5% from its April high of $30,979 set almost three weeks ago, it still represents a significant increase of about 75% from the beginning of January when the price was $16,615.

A combination of overall market optimism and the liquidation of short positions drives Bitcoin’s surge.

Following a bleak 2022, marked by major insolvencies and scandals within the crypto industry, such as the FTX collapse, the broader market experienced a sharp pullback linked to central bank actions. However, the year-to-date rally has been impressive.

The recent cooling down of inflation and indications of slowing U.S. economic activity has led traders to believe that the Federal Reserve may reverse or soften its rate-hiking strategy, contributing to their optimism.

As a result, many investors believe Bitcoin is a good long-term investment for the next one to three years. It is not too late to catch this train, as the token trades at a substantial discount to its all-time high.

Ethereum (ETH-USD)

Despite a decline of more than 60% from its all-time high of nearly $4,900, Ethereum (ETH-USD) has gained more than 60% since the beginning of the year.

However, looking into the latest developments surrounding Ethereum will give a better idea of where the token is heading.

One of the key determinants of the recent price momentum for Ethereum, and a significant development for Ethereum bulls in recent weeks, is The Merge.

The Merge, a recent upgrade that changed Ethereum from the energy-consuming proof-of-work method to the more energy-efficient proof-of-stake method, is a significant development for Ethereum bulls.

However, the London hard fork, introduced in August 2021, is considered more crucial for Ethereum’s price. The London hard fork included a new pricing mechanism with a fixed base fee that is burned or permanently destroyed.

Because of this new feature, Ethereum’s price is now highly correlated to supply and demand dynamics.

Many DeFi projects use ether, Ethereum’s native crypto, as payment for their services since they are built on the Ethereum blockchain. Ether can also be collateral on DeFi borrowing platforms like MakerDAO. I suggest checking out Chris MacDonald’s excellent article to learn more about DeFi-focused cryptos.

While keeping an eye on the latest trends and regulatory news is crucial in the crypto space, the recent upgrades to Ethereum’s platform strengthen its investment potential. It’s important not to overlook the significance of these upgrades.

With increased regulatory scrutiny, staying informed about the latest developments is more important than ever in the crypto industry.

Binance (BNB-USD)

Binance (BNB-USD) coin, or BNB, is a relatively stable investment option.

BNB is the native token on Binance, the world’s largest cryptocurrency exchange. Despite being a potentially lucrative investment, it remains highly volatile. On a positive note for Binance Coin, the platform burns coins every quarter.

On April 14, Binance reported a recent burn that eliminated over 2 million BNB tokens, reducing the coin supply. By managing the number of tokens available in circulation, scarcity can be created, which may positively affect prices.

BNB’s total supply is now 155,862,572, down from 200,000,000, and all are circulating.

While the recent burn didn’t affect prices in the short term, it could impact prices in the long run.

Binance also offers various perks to users who hold BNB, such as discounted trading fees, further increasing its value. Despite the volatility, BNB’s functionality and Binance’s dominant position in the crypto market make it an investment option worth considering.

Binance plays a significant role in stabilizing the crypto industry after the FTX exchange’s collapse. The exchange has created a $1 billion recovery fund to support struggling players in the market.

Although BNB’s position as the native cryptocurrency on the largest crypto exchange lends legitimacy, it also exposes it to regulatory risks. With the aftermath of FTX’s bankruptcy unfolding, Binance, like other crypto exchanges, will face increased regulatory scrutiny.

And with that, we conclude this piece of analysis for crypto. However, if you want to keep learning more about the hottest cryptocurrencies, check out this article from my colleague Josh.

On the publication date, Faizan Farooque did not hold (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.