Cryptocurrencies have revolutionized the financial world, offering a digital and decentralized alternative to traditional currencies. In addition to the technological advantages, they have become popular for investors who want high rates of return on the one hand and portfolio diversification on the other. However, any investment in cryptocurrencies should be made with care and in full knowledge of the facts, as potential profits can come with a number of risks. If you have cryptocurrencies to invest in, a sound strategy and a thorough understanding of the market is necessary to avoid potential financial losses as much as possible.
Cryptocurrencies to invest
1. Bitcoin (BTC) – King of cryptocurrencies
It is globally recognized and widely accepted.
Supply is limited to 21 million coins – which is sure to increase its value over time.
Bitcoin is ideal for long-term value deposits.
Today, on February 14, 2025, Bitcoin (BTC) has a price of approximately $97.043 USD, a change of $915 (0.95%) from the previous close.
2. Ethereum (ETH) – Platform for decentralized applications and smart contracts
Extensive use in decentralized applications (dApps).
Recent update “Ethereum 2.0” promises more efficiency and faster speeds.
It is the leading cryptocurrency for blockchain projects.
3. Solana (SOL) – Fast and efficient
Scalable system capable of handling thousands of transactions per second.
Attracts large NFT projects and decentralized applications.
Transaction costs (gas fee) are significantly lower than on Ethereum.
4. Cardano (ADA) – Stability and Sustainability
It uses a green consensus protocol called Proof-of-Stake (PoS).
It is constantly evolving, with updates expanding its functionality.
Active community and team support.
5. Ripple (XRP) – Ideal for global payments
Extremely fast transaction time (under 5 seconds).
It is used by banks and financial institutions for international transfers.
Higher short-term stability compared to other cryptocurrencies to invest.
6. Dogecoin (DOGE) – More than a meme
Why join the DOGE community?
It’s backed by influential people like Elon Musk.
It facilitates fast and affordable transactions.
Currently, DOGE has a price of $0.267505 USD, up $0.00939 (0.03639%) from its previous close.
7. Shiba Inu (SHIBA) – Warrior of the Memes
The ShibaSwap ecosystem adds functionality through staking and farming.
It is supported by a strong community.
Shiba is on the lists of several major exchange platforms as it is a cryptocurrency often used in both crypto trading and crypto investing.
If you are interested in crypto trading, then you should know that currently, SHIB has a price of $0.00001657 USD, with a change of $0.00000014 USD (0.00852%) from its previous close.
8. Binance Coin (BNB) – An appreciated cryptocurrency
BNB is the native currency of Binance, the largest and most popular crypto trading platform. It is primarily used to pay crypto trading fees and to run various applications (such as staking for rewards, purchasing NFTs) within the Binance ecosystem.
BNB is part of those investable cryptocurrencies that are enjoying widespread adoption within the Binance ecosystem. BNB currently has a price of $670.13, down $27.47 (-3.94%) from its previous close.
9. Stellar (XLM) – Affordable financial transfers
What makes XLM remarkable:
It simplifies international money transfers and has extremely low fees.
It’s backed by the Stellar Foundation, which is focused on social benefits.
It works with major partners such as IBM.
Currently, XLM’s price is USD 0.352215, up USD 0.02828 (0.08730%) from its previous close.
10. Chainlink (LINK) – Connecting blockchain to the real world
Chainlink is known for its unique “oracle” technology, which allows the blockchain to access real-world data and facilitates the integration of external data into smart contracts.
Chainlink’s strengths:
Plays a crucial role in the DeFi ecosystem.
It is used by companies to ensure smart data integration.
It has an extensive community and strong partnerships, including with Google.
Chainlink (LINK) currently has a price of $18.86 and is also up $0.20 (0.01065%) from its previous close.
How to build a crypto trading portfolio
They reduce exclusive reliance on traditional markets.
They have a high potential to generate profit. Some digital currencies, such as Bitcoin and Ethereum, have seen significant price increases in recent years.
Steps for building a crypto trading portfolio
To build a crypto trading portfolio follow these 6 simple steps:
1. Set your investment goals
If you want quick gains, you can choose volatile but high-potential currencies such as Doge or Shiba Inu.
If you’re interested in stability, opt for established currencies like Bitcoin, Ethereum, Solana or Ada.
2. Education is key
Before buying any cryptocurrency, make sure you understand the fundamentals of the project. Ask yourself:
What problem does this cryptocurrency solve?
Who is the team behind the project?
What are industry experts saying about this asset?
For more information, explore each coin’s whitepaper and check the official websites.
3. Choose the right cryptocurrencies
As you familiarize yourself with the market, start selecting the cryptocurrencies that best suit your strategy. Here are three important categories to choose from:
1. Established coins: Bitcoin (BTC), Ethereum (ETH), Litecoin (LTC).
2. Tokens with potential: Cardano (ADA), Solana (SOL), Chainlink (LINK).
3. Stablecoins: Tether (USDT), USD Coin (USDC), which give you stability in volatile times.
4. Diversify your portfolio to reduce the risk of any crypto trade
The golden rule in investing is diversification. In a well-balanced portfolio we might have, as an example:
50% investment in secure coins like Bitcoin or Ethereum.
About 30% invested in emerging projects.
20% in stablecoins or other low-risk assets.
Portfolio diversification can help significantly reduce financial risk.
5. Manage your funds responsibly
Nevertrade more than you are willing to lose. The market is volatile, and it is essential to:
Set clear limits for each trade.
Use functions such as stop-loss to minimize your losses.
Keep a clear record of your investments using apps like CoinStats or Blockfolio.
6. Store your coins safely
Security is essential in the world of crypto investing. We recommend:
Hardware wallets Ledger and Trezor offer the highest level of security. Learn more about digital wallets in our article: “Cryptocurrency wallet: Ledger, the perfect solution for investors”
Avoid leaving large amounts in exchange platforms: Transfer funds to your personal wallet.
image generated using AI
Useful tips for crypt trading
Here are some practical tips for crypto trading:
1. Before anything, learn
Success in any crypto trading starts with learning some basic rules. Before you invest your hard-earned money, make sure you understand how blockchain technology works, what factors influence cryptocurrency prices, and what risks are involved.
You can learn about cryptocurrencies and crypto trading by reading articles on the Abarai blog or exploring courses offered by the Abarai Academy.
Participating in online communities and forums, such as Reddit, can provide valuable insights into the top cryptocurrencies to trade or invest in.
2. Choose the right crypto trading platform if you have cryptocurrencies to invest
Beginner investors should choose easy-to-use platforms that offer security and transparent fees.
What to look for:
Security: Choose a platform that uses advanced protection methods such as 2FA authentication.
Fees: Check if trading commissions are competitive and if there are any hidden fees.
User-friendly interface: If the platform is complicated, the trading process can become frustrating.
3. Set clear goals and limit your emotions if you have cryptocurrencies to invest
Im impulsive crypto trading can quickly generate significant financial losses. It’s essential to have clearly set goals and stay firmly in your positions, regardless of market fluctuations.
Planning helps you to:
Make a clear strategy for each position you take – for both entry and exittiming.
Use stop-loss or take-profitorders to protect your investments.
Remain calm during periods of extreme volatility and avoid decisions based on fear (FOMO – Fear of Missing Out) or panic.
A well-trained and disciplined investor or trader is much more likely to succeed in the long run.
4. Protect your assets
Essential strategies if you have cryptocurrencies to invest
Here’s what to keep in mind if you have cryptocurrencies to invest:
1. Which do you choose, long term crypto investing or short term crypto investing?
Long-term crypto investing involves holding cryptocurrencies for several months or even years, speculating on their increase in value. This style of investing is recommended for those who believe in blockchain technology and the future of digital assets.
Short-term crypto investing focuses on buying and selling cryptocurrencies quickly to take advantage of price fluctuations. While it offers the opportunity for quick gains, it requires a deep understanding of the market and strict risk management.
2. Have you considered diversifying your portfolio?
Avoid crypto investing in a single cryptocurrency. Your portfolio should be diversified across cryptocurrencies of different types and purposes:
Bitcoin (BTC): is considered the safest option due to its longevity and global recognition.
Ethereum (ETH): Popular for its smart contracts and DeFi ecosystem.
Other smallercoins: Such as Cardano (ADA), Solana (SOL) or Polkadot (DOT), which come with significant growth potential but also higher risks.
3. How will you manage the risks associated with a crypto investment?
Volatility is a key characteristic of the crypto market. Never invest more than you can afford to lose. Constantly monitoring the performance of the cryptocurrencies you invest in is crucial to making profitable decisions.