• Wed. Jun 22nd, 2022

Seven Best Performing Cryptocurrencies in Australia

ByHazel R. Lang

May 19, 2022

When you compare the cryptocurrency market to stocks and other investments, the market value of cryptos seems to surpass all of its competitors despite its volatility. Perhaps more Australians are considering cryptocurrency as an alternative to growing their financial portfolios.

A look at the last year’s performance of some digital currencies like Bitcoin and Ethereum reveals that the market has unlimited growth potential. For example, Bitcoin (BTC) hit $68,000 per coin in a short time and fell to $35,000 almost immediately. Such results are attracting the interest of many investors in Australia who hope to capitalize on the digital asset arena.

However, the cryptocurrency market is experiencing high volatility and you risk risking your portfolio by investing without research. Research will help you choose instruments with a higher market capitalization as there is an influx of cryptocurrencies in the market to choose from. If you don’t know where to start, you can find out more here.

Below are seven of the top performing cryptocurrencies in Australia based on their market value.

1.Bitcoin (BTC)

For more than a decade, Bitcoin has been the leading digital asset cryptocurrency, with a market capitalization of US$734.06 billion as of May 2022. BTC pivots blockchain technology supporting transactions between peers by bypassing intermediaries and regulators such as banks and governments.

Price fluctuation on Bitcoin relies on scarcity, and only 21 million BTC will ever exist. You can enjoy investing and trading Bitcoin as it is a decentralized and open-source digital currency.

2. Ethereum (ETH)

Ranked second in the list of best cryptocurrencies, Ethereum is also a decentralized digital asset that primarily deals with smart contracts. ETH has a market capitalization of US$340.85 billion as of May 2022 and operates through an application program resistant to manipulation and third-party involvement.

ETH smart contracts are supported by blockchains and the underlying technology allows users to create markets, execute contracts on pre-determined terms and transfer funds.

Ethereum is aiming for the top spot and has caught the attention of investors by introducing tokens. In addition, ETH seeks to move towards environmental conservation, hoping to significantly reduce carbon emissions and reduce energy consumption within the network.

3. Tether (USDT)

Tether is a stablecoin that is equivalent to the value of the US dollar. Digital currency aims to connect fiat currency to cryptocurrencies with minimal transaction fees. At the beginning of May 2022, the market value of USDT stands at US$83.16 billion, and there is circulation of a similar amount in the digital currency market. This means that you can exchange USD for equivalent Tether in value.

Tether’s growth in the cryptocurrency market was affected by legal issues between Bitfinex and the Attorney General’s office in New York in February 2021.

4. Binance Coin (BNB)

Coming in fourth in the list of top cryptocurrencies in Australia, Binance Coin debuted in 2017 but was initially based on the Ethereum ERC-20 token. Binance coin has a market cap of US$63.72 billion as of May 2022.

The Binance Chain is the underlying blockchain that supports the BNB crypto token. It allows platform users to transact using Binance Coin as a utility token. Such innovations attract more users as Binance offers trading options in the crypto market.

5. USD Coin (USDC)

USDC is a promising stablecoin with a market capitalization of US$49.30 billion, as of May 2022. The coin is growing in popularity in the cryptocurrency space and attracting more and more investors in Australia. USDC operates under ERC-20 tokenization standards, and it is matched against the value of the US dollar across all exchanges.

The main purpose of USD coins is to ensure a smooth transfer of currencies from digital wallets to exchanges around the world. It leverages the Crypto Hub to support secure transfers within crypto markets.

6. Ripple (XRP)

Ripple developers had their eye on fast cross-border payments at a low price. XRP is an ideal funds transfer channel for companies looking to streamline international funds settlement without intermediaries.

Currently, the market value of XRP is US$29.24 billion as of May 2022, and it has significant growth potential. Many banks and financial institutions want to integrate Ripple into their customer services, which is expected to drive the growth of cryptocurrency.

7. Gimbal (ADA)

Cardano is an open-source platform for validating cryptocurrency transactions through its Ouroboros proof-of-stake protocol. Moreover, ADA is a cost-effective blockchain, which takes care of high energy costs.

Cardano competes with Ethereum by offering smart contracts in its list of services and through backup procedures to protect users’ trading activities. ADA is a combination of distributed ledger systems, mechanism development, and cryptography. As of May 2022, its market value stood at US$26.68 billion, and there is potential for growth in the cryptocurrency space.

Strong tailwinds

The cryptocurrency market continues to grow as more and more coins and tokens are introduced every year. More and more Australians are getting started to take advantage of digital assets and grow their portfolio. So far, Bitcoin tops the list of the best performing cryptocurrencies in Australia, following market cap charts. However, always be careful when entering the cryptocurrency market, as it is speculative and experiences high volatility.

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