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Best Cryptocurrencies to Buy for Summer 2022


Photo Courtesy: MarkSwallow/iStock; LiuNian/iStock; Ask Money Editors

Making investing decisions can be a complex process, particularly if you’re exploring your options in the crypto market. Along with a multitude of choices when it comes to the coins you’ll invest in, the cryptocurrency investment landscape is still relatively new. That means that figuring out which cryptocurrencies are worth adding to your portfolio isn’t always easy — for a couple of different reasons. Fortunately, you can simplify the process by focusing on a few traditional choices along with opting for some altcoins with significant potential.

If you’re looking to figure out what are the best cryptocurrencies to buy for the summer of 2022, here’s what you need to know to get started.

First, it’s essential to understand that every investment comes with some level of risk. And that’s particularly true when it comes to cryptocurrencies. Unlike stocks – which are effectively backed by the companies they represent — cryptocurrency values are mainly based on public sentiment and perceived potential.

For example, Bitcoin isn’t backed by anything — it has no intrinsic value tied to a commodity like gold or even another form of currency like the U.S. dollar. That creates plenty of room for volatility or extreme shifts in value over a short period of time. While Bitcoin reached an all-time high near $68,000 in November of 2021, just a few months later in May of 2022, the value of one Bitcoin had dropped to around $30,000.

Couple that inherent volatility with questions about whether cryptocurrencies will become more tightly regulated in the near future, and you may see more fluctuations in the coming months. If new laws put limits on cryptocurrency that harm its viability — or if governments begin supporting specific cryptos over others — then prices could shift dramatically.

In the end, the cryptocurrency landscape is a bit fickle. There are no guarantees about which coins will ultimately thrive and falter, but we can make a few predictions based on emerging trends.

Cryptocurrency to Buy for Summer 2022

While the future of any cryptocurrency is always uncertain to a degree, some coins have the potential for significant gains down the line. If you’re comfortable with the risks, they could be wise additions to a diversified portfolio. This strategy allows you to seize opportunities for possible gains if the cryptos move in the anticipated direction.

Overall, investing is a personal decision, so it’s always best to choose cryptocurrencies that align with your strategy, risk tolerance and portfolio goals. However, if you’re looking to buy crypto this summer and aren’t sure where to begin, here are a few cryptocurrencies to consider.

Bitcoin

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While Bitcoin is far from its all-time high, this cryptocurrency has clear potential. Its position as the original crypto gives it notoriety, which works in its favor. Plus, it has the highest total value and largest market cap, making it widely accessible and reasonably easy to sell-off.

Bitcoin is also one of the more popular options for broader applications as a payment mechanism. Familiarity is on its side. Because of this, retailers that are interested in supporting crypto purchases often focus on accepting Bitcoin early in that process.

Additionally, Bitcoin is simpler to purchase than some altcoins. As traditional brokerages introduce cryptocurrency options, Bitcoin is typically one of the first they offer. That improves accessibility, potentially making it unnecessary for you to turn to cryptocurrency exchanges to start investing in crypto.

Overall, Bitcoin’s recent price declines may not last long. Since that’s the case, that may make it a great time to add Bitcoin to your portfolio if you have yet to take the leap.

Ethereum

Photo Courtesy: Kanchanara/ Unsplash

While Ethereum hasn’t been around as long as Bitcoin, the Ether token has been part of the equation since 2015; it’s a familiar option, even outside of cryptocurrency circles. Plus, it has the second-largest market share. Its association with the broader Ethereum network – including smart contracts – gives it a better position among the altcoins.

Technically, Ethereum is the most widely used blockchain on the planet. It’s also the default chain for many non-fungible tokens (NFTs). Since its use goes beyond serving as digital currency, that makes Ethereum less prone to volatility and better positioned for long-term gains.

Couple that with the upcoming Ethereum 2.0 – which is expected this summer, if current timelines prove accurate – and this crypto could see substantial growth. With Ethereum 2.0, network and transaction improvements can make the coin more sustainable.

Solana

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In the emerging field of decentralized finance (DeFi), Solana is a crypto with plenty of potential. While it currently has the fourth-largest market cap among the non-stablecoin set, it could possibly compete with Ethereum.

Solana offers several advantages over Ethereum, particularly when it comes to reduced fees. If Ethereum 2.0 doesn’t shape up as planned or is delayed significantly, this could create opportunities for Solana to grow. As the Solana ecosystem expands, its long-term potential also increases. That could allow it to become a staple in the broader crypto world — provided that SOL can break out of its current consolidation pattern.

TRON

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No, we’re not talking about Steven Lisberger’s 1982 sci-fi classic. The TRON we’re referencing is a decentralized blockchain operating system founded by Justin Sun in 2017. With TRON, Sun aims to lay the foundation for a “truly decentralized internet.” Tronix (TRX) is TRON’s native cryptocurrency and supporters of Sun’s vision are colloquially called the “TRX Army.”

The value of most cryptocurrencies is almost entirely based on public perception, and TRX is no exception. The $60 billion collapse of Do Kwon’s Terra LUNA coin has created ripples in the crypto community, creating dread and anxiety in the minds of many investors. Justin Sun offered practical advice in the wake of LUNA’s fall from grace — a move that may bolster confidence in TRX if more investors continue to associate Sun’s insights with the cryptocurrency’s success.

Uniswap

Photo Courtesy: Rafael Henrique/SOPA Images/LightRocket/ Getty Images

Another cryptocurrency that’s poised for gains, Uniswap is the native token for the Uniswap trading protocol and decentralized exchange. It models what DeFi services can turn into in the broader market.

While there are some competitors in the space, Uniswap far outsizes them. This gives it a possible edge in both the short and long term. Overall, it controls around one-third of the associated market volume, showcasing the platform’s popularity.

While Uniswap doesn’t have a market cap close to others on this list, it is growing. Additionally, it ranks at #23 as of May 2022, placing it above Bitcoin Cash, Ethereum Classic and Monero, all of which have been on the market longer.

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