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7 Crypto Coins Likely to Hold Value in the Ongoing Recession

Date: Tuesday, August 29, 2023 7:19 AM EDT

Finding the best cryptos with higher investment incentives in the rapidly changing cryptocurrency landscape can be overwhelming. The sustained market volatility over the last 12 months paves the way for decent returns for digital currency investors.

The market conditions appear to beckon an interesting bull run. If the current market predictions hold, riskier crypto assets can be quite profitable. However, with the ongoing economic downturn, investors should focus on long-term coins with multiple use cases. The following crypto coins are likely to hold value throughout the recession.

1. Ethereum

Ethereum has higher growth potential since it has more practical applications -making it the best coin for proof of stake. In addition, most blockchain developers use Ethereum's smart contract functionality to build blockchain-backed applications.  This crypto can gain immensely from the Non-fungible Token (NFT) market since most NFTs are developed on the Ethereum network. Besides, the network also hosts other promising crypto coins.

Typically, Ethereum has established itself as a significant player in the crypto market. After the 2.0 update, the platform moved from the proof-of-work to the proof-of-stake stage. This means the platform is cheaper, faster, and more sustainable.

However, the coin has experienced several challenges, but remains valuable despite the market conditions. While the coin lost its value in the past, it bounced back to become one of the best-performing digital currencies for investors. Ethereum's value has increased by 1.6 million percent in the last five years. The coin is a potential recession-proof asset considering future growth prospects.

Ethereum plans to implement the Shanghai Hard Fork update in the near future. The update facilitates account abstraction, an innovative feature revolutionizing smart contracts. It allows users to have more control over their digital assets to offer flexibility and better user experience.

 

2. Bitcoin

Unlike newer cryptocurrencies, Bitcoin is a dominant player in the crypto market. At the moment, it's the leading coin in popularity and value. Investors consider Bitcoin a safer recession investment since it has achieved global adoption. For example, most online merchants accept Bitcoin payments, and more investment brands host a BTC to USD converter on their platforms.

Bitcoin also has a limited supply, meaning higher demand leads to scarcity and subsequent price increases. As Bitcoin experiences a bear market, its value has dropped significantly compared to previous performance. However, analysts believe this is a temporary market correction, and the coin will swing back as the economy strengthens. Other predictions show that the digital currency will likely exceed its all-time high.

3. Binance

Binance's bullish tendencies leverage the success of its trading platform -making the coin resilient in volatile market conditions. The platform has shown ten-fold revenue growth over the last few years. As the bear market fades, Binance's expansion plans and robust fundamentals make it a worthwhile long-term investment.

Most importantly, Binance NB is investing in strategic acquisitions to expand its market. Its market fortification in the East solidifies its global position. The development team has committed to investing hundreds of millions in projects to advance their Web 3.0 technology. The investments and commitments pave the way for higher influence and success in the modern crypto market.

4. Tether

Most investors are cautious with some cryptocurrencies due to their volatility. However, Tether is among the mainstream coins with significant stability. Since the coin's value is based on the dollar, Tether tends to hold value, even when other cryptos experience massive fluctuations.

Typically, Tether's value fluctuation is almost insignificant compared to its peers. As a result, the coin is popular across various exchanges, and many traders accept Tether payments. In terms of market capitalization, Tether is third to Bitcoin and Ethereum.

5. Polygon

Polygon is a versatile coin running on the polygon network. It's a layer-2 blockchain harnessing proof-of-stake mechanisms to secure the platform and support translations. The coin is a trailblazer with regard to transaction processing and efficiency.

Its robust Software Development Kit (SDK) facilitates the seamless development of decentralized chains that integrate with the Ethereum network. Specifically, Polygon has strong traction in the NFT and app markets. According to recent reports, Polygon shows a significant increase in NFTs trading volumes. The platform boasts a triple-digit growth in NFT sales while its competitors experience a slowdown.

6. Cardano

Cardano is among the most complex platforms with the highest development activities. The crypto is trading in the green zone, and future market prospects are promising. The upcoming Cardano Summit is expected to inject about $100 million for platform development. The funds will help the Cardano team leverage their smart contract platform and introduce sophisticated finance tools, games, and other revolutionary use cases.

In addition, the development team is refining new features like the Hydra scaling system and the Plutus smart contract platform. The upgrades will catapult Cardano to new heights due to the added security, scalability, and efficiency.

7. Neo

Neo is a serious rising star in the cryptocurrency landscape. It's supported by the first public blockchain in China and is casually regarded as the "Ethereum of the Chinese crypto market." Since its inception, the coin has exceeded geographical and tech limitations, creating long-term investment opportunities.

Neo remains unaffected by the recent crypto mining and trading ban in China. The coin's value has risen significantly this year and could go higher since the development team is building innovative applications on the platform. This outstanding resilience makes Neo an interesting investment prospect. If China reconsiders its strict stance on cryptocurrencies, Neo is a potentially profitable coin in the current market conditions.

Endnote

Most cryptos discussed above show exceptional performance in the last 12 months, making them a viable investment. However, the cryptocurrency landscape is quite volatile, and investors face high risks -especially in the ongoing recession. However, this doesn't mean you can't earn handsome returns on your investment if you are prepared.

Investing in digital currencies requires thorough research and meticulous planning before making any investment decision. And since the cryptocurrency market has a high growth potential, keeping tabs on industry trends and developments is prudent to ensure you make wise decisions. 

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