All cryptocurrencies apart from Bitcoin (BTC 2.28%) are referred to as Altcoins instead. They are alternatives to Bitcoin and conventional fiat money, which is where their name originates. There are currently thousands of cryptocurrencies, with the first ones launching in 2011.
It’s that time of year when cryptocurrency traders start planning for next year. A lot happened in 2023, which may or may not affect investment decisions in 2024 and beyond.
But while it’s nice in theory to use past indicators as a barometer of future success, it’s important to recognise that the cryptocurrency market (and other speculative markets too) is not linear. There is no 100% surefire strategy for predicting what will happen in the future . ALso, the best altcoins for the next bull run.
4 Altcoins to Keep an Eye on in 2024
After looking at the two leading cryptocurrencies, let’s look at 4 altcoin. With interesting value propositions that are considered to be among the top altcoins in 2024.
Solana (SOL)
Solana (SOL) is a highly scalable Layer 1 blockchain built with mass adoption in mind.
Having survived a bear market, Solana has quickly become an altcoin that has taken its place among the leading cryptocurrencies. With a market capitalisation currently around $23 billion, Solana is positioned just behind the top two cryptocurrencies.
The blockchain is known for its capacity of approximately 65,000 transactions per second. It works on a hybrid proof-of-stake (PoS) and proof-of-history (PoH) consensus model. Due to the network’s speed and low transaction fees, many see this blockchain as a real competitor to ETH. This view is further strengthened by the fact that the network has the most developers behind Ethereum.
The network saw significant improvements in transaction processing and uptime, a testament to the maturity of the infrastructure. In addition, the SOL token experienced a 550% increase, making it one of the best performing cryptocurrencies of 2023.
Other Altocins
BNB Chain (BNB)
BNB Chain (BNB) is a blockchain developed by Binance, the world’s leading cryptocurrency exchange, and designed to run smart contract-based applications.
Like other chains, it aims to offer high transaction capacity, scalability and efficiency. It is important to note that BNB serves as the network’s governance token. And it can also be used to pay for goods and services. It covers transaction fees and participate in private token sales.
It is currently one of the largest crypto assets with a market capitalisation of approximately $35 billion, ranking in the top five.
Polkadot (DOT)
Polkadot is an open-source protocol that enables various blockchains to communicate with each other under a unified network. This means that various value propositions can be seamlessly shared with each other.
Founded by the Web3 Foundation, Polkadot’s interactivity is facilitated by a unique technology called Relay Chain. It also allows developers to benefit from the scalability and security of the network. At the time of writing, Polkadot’s market capitalisation is $6 Billion
Cardano (ADA)
Cardano (ADA) is often seen as a third-generation blockchain, as it was built using lessons learnt from other crypto technologies. Like many other altcoins, it operates under the proof-of-work (PoW) model and is an open-source platform used to host decentralised applications (DApps) and systems, with a particular focus on security and engineering.
Officially launched in September 2017, the platform and technology was developed by a tech firm called Input Output Hong Kong (IOHK) and is perhaps the most ‘scientific’ blockchain among the top 10 altcoins. However, due to adopting a rigid and academic approach to finding solutions, the project has received some negative criticism for its slow release of updates, dubbed by some as a ‘ghost chain’.
On the other hand, the project’s slow but steady approach has been appreciated by some, as it is thought to be better to get it right rather than releasing updates in a hurry, which can lead to outflows as with many other altcoin competitors.
Bitcoin & Ethereum in 2024
Regardless of whether you are a new or experienced crypto investor, we can say that your journey most likely started by learning about Bitcoin or Ethereum. Moreover, you may have invested in both cryptocurrencies and have a bullish outlook for both. Either way, it can be argued that both coins are the cornerstones of the crypto market, and hence, it’s important to understand what they’re both doing and stay up to date with important updates.
There have been several interesting developments for the Bitcoin project over the past year and a half, including the mainstream adoption of Bitcoin as legal tender in El Salvador and Grayscale filing for a Bitcoin ETF. But perhaps the most intriguing update to the project’s technical infrastructure has been Bitcoin’s Taproot Upgrade. This upgrade provided a new advancement in aggregating multiple signatures and transactions, making it easier and faster to verify transactions on the network.
While it’s impossible to know when the next crypto bull run will occur, given how important BTC is to the overall market, it will likely be on most people’s radar; especially considering that the Bitcoin halving, which happens every four years, is coming up in April 2024. *Before investing, consider whether you are prepared to lose all your money. This is a high-risk investment and you should not expect to be protected if something goes wrong.