The crypto market has taken a major dip in the past few weeks, with many coins dropping by more than 30%. As a result, there are many opportunities to buy now and hold for the long term.
Meanwhile, there are thousands of cryptocurrency assets trading in the market currently — which makes it difficult to identify crypto assets that are ideal for investment — because it’s undoubtedly that 70% of all crypto assets might lose their value drastically in the long run.
Hence, investors must know the best coins to buy now during the dip.
Furthermore, while the major goal of buying the crypto dip is to make a massive profit when the market starts recovering, you should be cautious of the crypto asset they are buying, thus the importance of knowing why you should buy a particular cryptocurrency asset.
In this article, I will be sharing with you the best coins to buy during the dip and why. But before then, I will briefly explain what “Crypto Dip” means — so you can have a better understanding of the slang.
What Is Crypto Dip?
The crypto dip is a period when the price of a cryptocurrency drops significantly. It can be caused by various factors, including news that has negative implications for a certain cryptocurrency.
The crypto dip is an important concept that everyone should understand when investing in or trading cryptocurrencies.
A crypto dip can happen at any time and for any reason — but it’s not always easy to predict when and why it will occur.
Some people have used the term “crypto winter” to describe this phenomenon since it often happens during colder months when people are less likely to spend money on cryptocurrencies.
The crypto dip can also be caused by bad press about a project or company within the space. For example, if an exchange gets hacked or if there is another scandal involving an exchange or company in the space, this may cause investors to sell off their holdings and drive down prices across all currencies on that exchange or around those companies.
Best Coins To Buy Now During The Dip And Why
If you have been looking for the best coins to buy now during the dip and why you should buy them, then read through as I will be listing them below — and why you should buy them.
As per Coinmatketcap, Bitcoin (BTC) is a decentralized cryptocurrency originally described in a 2008 whitepaper by a person, or group of people, using the alias Satoshi Nakamoto. It was launched soon after, in January 2009.
Bitcoin is a peer-to-peer online currency, meaning that all transactions happen directly between equal, independent network participants, without the need for any intermediary to permit or facilitate them.
Bitcoin was created, according to Nakamoto’s own words, to allow “online payments to be sent directly from one party to another without going through a financial institution.”
Some concepts for a similar type of decentralized electronic currency precede BTC, but Bitcoin holds the distinction of being the first-ever cryptocurrency to come into actual use.
Why You Should Buy Bitcoin
There’s no doubt that BTC is the most trusted crypto asset in the world — because it’s the first-ever cryptocurrency successfully created.
Aside from the fact that other crypto assets follow the price trend of BTC, it’s considered the most secure cryptocurrency out there.
It’s a store of value that many investment firms, companies, organizations, etc have in their custody. Despite that it has been criticized multiple times, it’s been showing a sign of being a strong asset — that cannot be stopped.
Ethereum is a decentralized open-source blockchain system that features its cryptocurrency, Ether. ETH works as a platform for numerous other cryptocurrencies, as well as for the execution of decentralized smart contracts.
Ethereum was first described in a 2013 whitepaper by Vitalik Buterin. Buterin, along with other co-founders, secured funding for the project in an online public crowd sale in the summer of 2014.
Ethereum’s own purported goal is to become a global platform for decentralized applications, allowing users from all over the world to write and run software that is resistant to censorship, downtime, and fraud.
Why You Should Buy ETH
ETH is the crypto asset that powers the Ethereum blockchain — and because Ethereum was the first smart contract compatibility blockchain, there are many strong and established projects that have been built on the blockchain.
Compared with other smart contract compatibility blockchains, the Ethereum blockchain is also considered the most trusted and secure smart contract blockchain.
Hence, as more developers build on the blockchain and users use these products owing to the security it profers over other smart contract compatibility blockchains, the native coin (ETH) will be in high demand.
Binance Coin (BNB)
Binance is the biggest cryptocurrency exchange globally based on daily trading volume. Binance aims to bring cryptocurrency exchanges to the forefront of financial activity globally.
Why You Should Buy BNB
Aside from being the largest cryptocurrency exchange globally, Binance has launched a whole ecosystem of functionalities for its users. The Binance network includes the Binance Chain, Binance Smart Chain, Binance Academy, Trust Wallet, and Research projects, which all employ the powers of blockchain technology to bring new-age finance to the world. BNB is an integral part of the successful functioning of many of the Binance sub-projects.
Avalanche is the fastest smart contracts platform in the blockchain industry, as measured by time-to-finality. Avalanche is blazingly fast, low cost, and eco-friendly. Any smart contract-enabled application can outperform its competition by deploying on Avalanche.
Why You Should Buy AVAX
Avax is the native currency of the Avalanche blockchain platform
The Avalanche blockchain platform has grown to secure over 450+ individual projects, $118M+ of AVAX burned (reducing supply), 1,350+ individual block-producing validators, and over 1.5M+ community members around the globe. Thus, more demand for the token (AVAX).
Chainlink enables smart contracts on any blockchain to leverage extensive off-chain resources, such as tamper-proof price data, verifiable randomness, keeper functions, external APIs, and much more.
Why You Should Buy LINK
Chainlink, the oracle blockchain network that; LINK is used in the ecosystem — and different protocols have integrated CHAINLINK with their protocol, including AAVE, CELSIUS, etc.
This will bring more traction to the Chainlink ecosystem — and influence the LINK market value.
NEAR Protocol (NEAR)
NEAR Protocol is a layer-one blockchain that was designed as a community-run cloud computing platform and that eliminates some of the limitations that have been bogging competing blockchains, such as low transaction speeds, low throughput, and poor interoperability.
This provides the ideal environment for DApps and creates a developer and user-friendly platform. For instance, NEAR uses human-readable account names, unlike the cryptographic wallet addresses common to Ethereum. NEAR also introduces unique solutions to scaling problems and has its consensus mechanism called “Doomslug.”
NEAR Protocol is being built by the NEAR Collective, its community that is updating the initial code and releasing updates to the ecosystem. Its declared goal is to build a platform that is “secure enough to manage high-value assets like money or identity and performant enough to make them useful for everyday people.”
Flux, a protocol that allows developers to create markets based on assets, commodities, and real-world events, and Mintbase, an NFT minting platform are examples of projects being built on NEAR Protocol.
Waves is a multi-purpose blockchain platform that supports various use cases including decentralized applications (DApps) and smart contracts.
Launched in June 2016 following one of the cryptocurrency industry’s earliest initial coin offerings (ICO), Waves initially set out to improve on the first blockchain platforms by increasing speed, utility, and user-friendliness.
The platform has undergone various changes and added new spin-off features to build on its original design.
Why You Should Buy WAVES
Waves’ native token is WAVES, an uncapped supply token used for standard payments such as block rewards.
ApeCoin is an ERC-20 governance and utility token used within the APE Ecosystem to empower and incentivize decentralized community building at the forefront of web3.
Why You Should Buy Apecoin
ApeCoin holders govern themselves via the decentralized governance framework controlling the ApeCoin DAO and vote on how the ApeCoin DAO Ecosystem Fund should be used. The APE Foundation administers proposals agreed upon by ApeCoin holders.
Apecoin is being accepted as payment on OpenSea (a popular NFT marketplace).
Solana is a highly functional open source project that banks on blockchain technology’s permissionless nature to provide decentralized finance (DeFi) solutions. While the idea and initial work on the project began in 2017, Solana was officially launched in March 2020 by the Solana Foundation with headquarters in Geneva, Switzerland.
The Solana protocol is designed to facilitate decentralized app (DApp) creation. It aims to improve scalability by introducing a proof-of-history (PoH) consensus combined with the underlying proof-of-stake (PoS) consensus of the blockchain.
Because of the innovative hybrid consensus model, Solana enjoys interest from small-time traders and institutional traders alike. A significant focus for the Solana Foundation is to make decentralized finance accessible on a larger scale.
Litecoin (LTC) is a cryptocurrency that was designed to provide fast, secure, and low-cost payments by leveraging the unique properties of blockchain technology.
The cryptocurrency was created based on the Bitcoin (BTC) protocol, but it differs in terms of the hashing algorithm used, hard cap, block transaction times, and a few other factors. Litecoin has a block time of just 2.5 minutes and extremely low transaction fees, making it suitable for micro-transactions and point-of-sale payments.
Litecoin was released via an open-source client on GitHub on Oct. 7, 2011, and the Litecoin Network went live five days later on Oct. 13, 2011. Since then, it has exploded in both usage and acceptance among merchants and has counted among the top ten cryptocurrencies by market capitalization for most of its existence.
The cryptocurrency was created by Charlie Lee, a former Google employee, who intended Litecoin to be a “lite version of Bitcoin,” in that it features many of the same properties as Bitcoin—albeit lighter in weight.
Beefy Finance (BIFI)
Beefy Finance is a Decentralized, Multi-Chain Yield Optimizer platform that allows its users to earn compound interest on their crypto holdings.
Through a set of investment strategies secured and enforced by smart contracts, Beefy Finance automatically maximizes the user rewards from various liquidity pools (LPs), automated market-making (AMM) projects, and other yield farming opportunities in the DeFi ecosystem.
The main product offered by Beefy Finance is the ‘Vaults’ in which you stake your crypto tokens. The investment strategy tied to the specific vault will automatically increase your deposited token amount by compounding arbitrary yield farm reward tokens back into your initially deposited asset. Despite what the name ‘Vault’ suggests, your funds are never locked in any vault on Beefy Finance: you can always withdraw at any moment in time.
DeFi applications are unique in the sense that they are permissionless and trustless, meaning that anyone with a supported wallet can interact with them without the need for a trusted middleman. While you have funds staked in a vault, you remain 100% in control of your crypto.
Why You Should Buy BIFI
BIFI tokens are ‘dividend-eligible’ revenue shares in Beefy Finance, through which holders earn profits generated by Beefy Finance and are entitled to vote on important platform decisions.
For all the vaults deployed on every blockchain, Beefy Finance has its native governance token $BIFI at its core. Platform revenue is generated from a small percentage of all the vault profits and distributed back to those who stake $BIFI.
The revenue sharing mechanics entail you can stake $BIFI to either earn more $BIFI in a BIFI Maxi vault or earn $ETH, $BNB, $FTM, $MATIC, $AVAX, $HT, $ONE, $CELO, $MOVR or $CRO in the native staking pools.
The cryptocurrency that made the list has proven its potentiality over the past years, thus being considered an asset that’s ideal for investment in the crypto market.
However, this article shouldn’t be considered a recommendation to buy any crypto-asset listed — as cryptocurrency is very volatile.