There is no denying that meme coins are some of the best performing cryptocurrencies this year. for example, Shiba Inu (Code: SHIB) This was an increase of 175% for the year. dogecoin (Code:Doge) It has increased by 65%.
However, it is still not a high-quality, long-term investment. Instead of investing in highly speculative dog-themed meme coins, it could be much more profitable to look for low-cost, high-upside cryptocurrencies that are yet to be discovered. With that in mind, here are four cryptocurrencies to keep an eye on.
Crypto tokens to piggyback on Ethereum’s success
The starting point for finding low-cost, high-upside cryptocurrencies is Ethereum (Crypto: ETH) The blockchain ecosystem has received a lot of attention from investors this year. Ethereum’s latest catalyst is a brand new technology upgrade known as Dencun, which could help fuel Ethereum’s next growth.
Here are my top picks: Arbitrum (Code:ARB) and optimism (Crypto:OP), both are layer 2 scaling solutions for Ethereum. What this means on a day-to-day basis is that Arbitrum and Optimism are blockchains that sit on top of the core Ethereum blockchain, helping it run faster, cheaper, and better.
And these layer 2 scaling solutions are exactly what we think the new Dencun upgrades will be most useful for. Dencun focuses on making layer 2 solutions cheaper and faster for transaction processing. According to the latest trading data from cryptocurrency analysis firm Dune, Arbitrum and Optimism trading costs have already dropped significantly following Denkun’s upgrade on March 13th.
The big picture here is that Ethereum seems to be betting a lot of its future on these layer 2s. And that can only mean good things for the future value of these layer 2 solutions. Indeed, the Layer 2 sector has become very congested these days. However, Arbitrum is trading at just $1.75 and Optimism is trading at just over $3.50, making it a relatively cheap way to piggyback on Ethereum's future growth.
Blockchain’s new competitors
Following the success of Ethereum, there will continue to be new blockchain competitors seeking to replace Ethereum as the world's best layer 1 blockchain. So, if you are not sold on the idea of Ethereum being a high-growth blockchain and are skeptical about the value of layer 2 scaling solutions, you should definitely keep the following in mind: Sui (Code:SUI)a relatively new layer 1 blockchain.
The Sui team is led by a former blockchain developer. meta platform (NASDAQ:Meta), which has become a notable new entrant in the layer 1 blockchain niche. Remember when Facebook was launching a new digital currency called Diem? Well, that was just one of the projects members of the Sui team were working on when they were previously at Meta. Sui is said to have great potential.”Solana (Code: SOL) It was rated “Killer” due to its high-growth advantages and ability to compete with the largest layer 1 blockchains.
However, please note that just having world-class talent in attendance does not guarantee a winner. Think about your favorite sports team. Even with a top draft pick, flashy free agent signings, and a core group of veterans, a team can still fail.
That said, almost everyone agrees that the Sui blockchain is faster, more secure, and more scalable than originally expected, which will ultimately play a big role in gaining market share from competitors. It could be an advantage.
Best of all, Sui is still super cheap. Currently trading at just $1.75, the cryptocurrency has a market cap of $2 billion. This is pretty impressive considering Sui was only launched last year.
best AI crypto token
lastly, fetch (cipher: FET), a solid AI crypto token with a market capitalization of $2.4 billion. This is one of the crypto tokens that has benefited the most from all the hype and speculation surrounding artificial intelligence (AI) and ChatGPT, and for good reason.
Founded by a team of world-class AI researchers in the UK, Fetch is building a global platform for the AI economy. Their current project is a marketplace for paid AI bots, similar to the ChatGPT store that launched in January.
Of course, artificial intelligence is still in its infancy, and it is almost impossible to predict which AI crypto tokens will have the most long-term staying power. So while I'm very bullish about the future of AI, trying to pick a winner among dozens of new AI crypto tokens comes with high risks. Therefore, buyer beware.
Why you should forget about meme coins
It's time to forget about dog-themed meme coins. There are many super-cheap, high-upside cryptocurrencies that are better alternatives.
I selected four cryptocurrencies, all of which are trading below $4. They all have market caps of $2 billion or more, and all have impressive growth catalysts and real-world use cases. Yes, they aren't household names (yet), but I see them as a better long-term play than dog-themed meme coins.
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Randi Zuckerberg is a former head of market development and spokesperson at Facebook, sister of Meta Platforms CEO Mark Zuckerberg, and a member of the Motley Fool's board of directors. Dominic Basulto has a position in Ethereum. The Motley Fool has positions in and recommends Ethereum, Fetch, Metaplatform, and Solana. The Motley Fool has a disclosure policy.
“Forget Shiba Inu and Dogecoin: These 4 Cryptocurrencies Are Trading Under $4 and Offer Explosive Rise Potential” was originally published by The Motley Fool Ta.
