Ultimate Guide to Cryptocurrency Market

Today, the Cryptocurrency market is rapidly developing. There are more than 1900 crypto money on the market worldwide.

Getting fully detailed information about the cryptocurrency market, crypto money types, or cryptocurrency prices is not that easy. Mastering it requires quite hard work and a proven process.

Today, we have researched and provided you a simple guide to the cryptocurrency market. Hopefully, covering the information will help you get cryptocurrency’s basic features and guide you through the hard crypto world.

Here we go!

What is Cryptocurrency?

Cryptocurrency is a web-based digital (virtual) currency that is secured by cryptography making it a much secure currency.

Generally, these digital money impact blockchain innovation to pick up decentralization, straightforwardness, and timeless.

The most significant feature of any cryptocurrency is that it isn’t doesn’t work in a traditional way.

Undoubtedly, it works in a more complicated way but as it’s quite secure, that’s why numerous Governments have made a decision to use this crypto money in their economies. The core reason is that Cryptocurrencies uses cryptography to verify and secure transactions.

To explore more information on what Cryptocurrency is about, explore this video from YouTube:

 

Cryptocurrency Types

As I’ve mentioned before, with 1900+ cryptocurrencies worldwide it’s quite hard to have full information on any of them.

Still, you can have a chance to gain knowledge of some of the most famous of them. That’s why in this section, I’ve decided to go over seven of the top cryptocurrencies, introducing them to your attention shortly.

Although the most prominent cryptocurrency is probably the Bitcoin, I would suggest the financial specialists, clients, and investors watch out for more cryptocurrencies as well.

Let’s go through them together.

1. Bitcoin Cryptocurrency

With no words, Bitcoin is the world’s first and most popular cryptocurrency.

Each Bitcoin is a computer file that’s stored in a “digital wallet” app (on a smartphone or PC). Using these devices, people can send Bitcoins between their digital wallets.

However, every single transaction is recorded in a public list called Blockchain Technology.

To know how Bitcoin works, check out this Infographic from Pinterest on the Bitcoin work process:

Bitcoin’s price is quite unstable. During the recent 10 years, the price for 1 Bitcoin has randomly fluctuated (see the chart below).

Bitcoin’s price is changing every day so crypto experts should follow the cryptocurrency market attentively not to miss something.

2. Ethereum Cryptocurrency

Ethereum is another type of circulated open blockchain arrange that’s enlarging its market.

Although Bitcoin and Ethereum are both crypto money, there are also some differences among them. The most significant difference is that Bitcoin and Ethereum vary generously in reason and capacity.

Bitcoin offers one specific use of blockchain innovation, a shared electronic money framework that empowers online Bitcoin payments.

While the Bitcoin blockchain follows responsibility for cash (bitcoin cash), Ethereum focuses on running the programming code of any decentralized application making it unique.

In the short video below, you’ll find the answers to these questions:

• What is Ethereum (detailed info);
• If Ethereum is similar to Bitcoin;
• What is a smart contract, and more?

3. Facebook Cryptocurrency: Libra

Libra is a basic worldwide money and budgetary foundation that creates a possibility for billions of people to use Libra crypto money.

This is also quite a secure cryptocurrency that keeps numerous types of crypto dealings, protecting the buyers’ and users’ privacy by never revealing your payments with your Facebook data.

Here’s the best part – it can’t be ever used for Ad targeting services.

Generally, FB Libra has five fundamental parts/highlights:

• Based on a safe, adaptable, and dependable blockchain.
• It’s a stablecoin which is upheld by a save of benefits.
• It is represented by the free Libra Association.
• Utilize the LibraBFT accord system.
• Savvy contract coding is done through the “Move” programming language.

4. Ripple Cryptocurrency

While Ripple has a local cryptocurrency – XRP – it’s more about a system to process IOUs than the cryptocurrency itself.

XRP, the money, doesn’t fill in as a medium to store and exchange esteem, but more as a token to ensure the system against spam.

To make it clear for you the development of this crypto value, let’s see the Libra in numbers in this Infographic from Stedas.hr:

Ripple, not at all like Bitcoin and Ethereum, has no mining since every one of the coins is now pre-mined.

Also, Ripple has discovered massive incentives in the budgetary space as plenty of banks have joined the Ripple arrange.

5. Litecoin Cryptocurrency

Litecoin was one of the principal cryptocurrencies after Bitcoin and labeled as the silver to the computerized gold bitcoin.

Quicker than bitcoin, with a bigger measure of token and another mining calculation, Litecoin was a genuine development, consummately custom-fitted to be the little sibling of bitcoin.

Also, there are some people who believe that Litecoin is leading the cryptocurrency markets. Explore if it’s true in this youTube video:

6. Tether (USDT) Crypto Money

Tether is a blockchain-based cryptocurrency. Cryptocurrency with a value meant to mirror the value of the U.S. dollar. The idea was to create a stable cryptocurrency that can be used like digital dollars. Coins that serve this purpose of being a stable dollar substitute are called “stable coins.”

According to their official website, Tether crypto converts cash into digital currency various national currencies including the US dollar, the Euro, and the Yen.

Tether has a place with another type of cryptocurrency called stable coins. This means to keep cryptocurrency valuations stable, rather than the wide swings saw in the prices of other well-known cryptocurrencies like Bitcoin and Ethereum.

7. Maker Cryptocurrency

Rune Christensen is the founder of MakerDAO – Maker cryptocurrency. Ethereum powers the platform itself. It’s based on the blockchain technology and makes use of smart contract ecosystem.

The platform is famous for its different approaches to stabilize DAI – a stable coin (that’s developed to solve volatility issues in the market).

In fact, it’s an amazing approach that is well-known to follow fractional reserve banking. The best part is that the bank is can hold just a fraction of its total deposit liabilities avoiding any risks.

 

Related Article:  3 Main Benefits of Investing in Bitcoin

 

Cryptocurrency Market Capitalization & Statistics

The cryptocurrency market is as yet quite new and, past hearing the expression “cryptocurrency,” a great many people are still particularly new to the business. However, I will not cover all the cryptocurrencies market capitalization and growth. Meanwhile, I will talk about some of the biggest of them.

Before jumping into the cryptocurrencies’ market capitalization, let’s see some Blockchain wallets. The number of Blockchain wallet users globally has been steadily increasing since the 3rd quarter of 2016 to the 3rd quarter of 2019 (see the below).

Constrained liquidity exists inside the market in the event that you contrast it with progressively settled markets like conventional economies, including the remote exchange market.

As for the cryptocurrencies’ capitalization markets, we can conclude that the top crypto value with the highest market capitalization is Bitcoin.

Why?

Because the market capitalization of Bitcoin has been increasing since the third quarter of 2013 up to now. According to Statista, Bitcoin still stays the most expensive virtual currency worldwide.

Our researches show that since 2013 the Bitcoin market capitalization increased from around 1.02 billion U.S. dollars to peak at 238 billion U.S. dollars in the fourth quarter of 2017.

Now, it already costs nearly 144.96 billion U.S. dollars (see the chart below). Can you imagine that?

Ethereum is the second strongest cryptocurrency in the world.

The market capitalization of Ethereum amounted to 19.14 billion U.S. dollars in the third quarter of 2019. Nevertheless, we can see from the Ethereum graph that the Ethereum market capitalization reached even over 90.0 billion dollars at the beginning of 2018 (see the graph below).

As you may know, the Litecoin uses the memory intensive Scrypt proof of work mining algorithm. Our researches show that it’s now one of the rapidly growing crypto values in the world.

Here’s the pricing graph for Litecoin price and Litecoin market capitalization from Jan 1, 2014, to Jan1, 2020.

 

Finally, let’s take a look also on the market cap of Maker cryptocurrency from Jan 30, 2017, to Jan 1, 2020 (see the graph).

As you can see from the graph, the price of the Maker has increased rapidly at the beginning, starting from Jan 30, 2017, and jumping over $1000 dollars. The market capitalization of Maker crypto money is now more than $522 million dollars. As a result, there is a huge potential behind this crypto value, we’ll see.

To place it into point of view, the all-out estimation of all the money on the planet is more than $90 trillion, while the complete cryptocurrency market top is floating around $250 billion — a 36,000 percent distinction.

Cryptocurrency Mining

Everyone can be a digger. Since a decentralized system has no power to appoint this undertaking, a cryptocurrency needs some sort of component to keep one decision party from mishandling it.

Envision somebody makes a large number of companions and spreads manufactured exchanges. The framework would break right away.

In Bitcoin, SHA 256 Hash calculation is one of the vital pillars.

You don’t have to comprehend the insights concerning SHA 256. It’s just significant you realize that it tends to be the premise of a cryptologic riddle the diggers contend to settle.

On the way to find the answer, an excavator can fabricate a square and add it to the blockchain.

As a motivation, he has the privilege to include a supposed Coinbase exchange that gives him a particular number of Bitcoins. This is the best way to make substantial Bitcoins.

Cryptocurrency Prices

Market interest is the most significant determinant of Cryptocurrency prices. This is an essential financial guideline.

Overall, it’s vitally important to know the Dow Theory before going deeper into technical analysis.

According to Statista, as of October 2019, the most expensive cryptocurrencies worldwide were Bitcoin, Maker, Bitcoin Cash, and Ethereum.

As for the separate crypto prices, Bitcoin continued to outpace other digital currencies, with 8,266.63 U.S. dollars for one coin. Let’s see the pricing for separate Bitcoin (on the graph below) on a monthly basis from January 2016 to November 2019.

The second most expensive cryptocurrency was the Maker that could be purchased for 445 U.S. dollars for one coin.

If a cryptocurrency has a high token inventory with little interest from merchants and clients, at that point the cryptocurrency’s worth will drop.

After all, if the experts restrict the stockpile of a specific cryptocurrency and the interest is high, at that point, the estimation of the coin will increment. So master this information and keep up winning!

Conclusion

The market of cryptocurrencies is quick and unpredictable. New cryptocurrencies develop consistently, old kick the bucket, early adopters get affluent and financial specialists to lose money.

Each cryptocurrency accompanies a guarantee, generally a real issue to turn the world around though. If the crypto pros don’t build these digital currencies secure enough, all of us can appear 10-20 years back in the future, and everything should start from scratch.

Be wise, make clever investments and do your best to avoid any crypto crashes on your path to digital success. 😉