I am taking the liberty of comparing the cryptocurrency world with the art world. Market value is one way to assess art, and also cryptocurrencies. Therefore, at first, I will provide you with the top 10 cryptocurrencies by market capitalization in 2020.
Other important factors are asset’s liquidity and the potential to deliver high returns. Hence, scroll down for most recent cryptocurrency trends and most liquid crypto assets to invest in 2020.
1. Bitcoin, $125 billion
No one gets bored with classics
Bitcoin is an Ancient Greek Classical piece created by an anonymous painter from who knows where exactly. I am by no means suggesting that Satoshi was Greek, only geeky enough to rise above mundane. It might as well be that we will never know who Satoshi Nakamoto is or where he is from.
What we know for sure though is that Bitcoin puts human beauty in the center of the universe and flirts with the topic of overthrowing the tyranny of current financial institutions.
At the time of its creation, the artist hardly received deserved recognition. But many blocks later, we might even find Bitcoin in the British Museum. Satoshi’s skills allowed him to create a masterpiece. Now the artist’s idea and its evocation are being adored by millions. Therefore its market capitalization is nearing $125 billion, according to Coinmarketcap.
Bitcoin’s price crashed together with almost all financial assets on March 12 but the price is still higher than last year in April. Market experts also point out that historically halving events elevated the price. In 2020 next halving event is expected somewhere in May. That may be a good signal for investors to act fast.
2. Ethereum, $17.5 billion
The emergence of a mysterious and remote genius
Ethereum’s creator Vitalik Buterin is Leonardo Da Vinci of the cryptocurrency art world. Some people suggested that he has been sent from another planet, due to the artist’s groundbreaking concepts and the depth of his vision for blockchain.
A representative of the school of thought that favors widely accepted faith in traditional institutions, he suggested putting trust entirely in programmable code, creating a whole ecosystem of developers and followers who write scripts within his blockchain. “I have been impressed with the urgency of doing. Knowing is not enough; we must apply. Being willing is not enough; we must do”, said Leonardo Da Vinci. And Buterin urges developers to act to change the world too.
His work cannot be bound to the financial application only, but reach out to even such industries as healthcare. His technological ingenuity is well recognised and his creation deserves the second place in the world of cryptocurrencies with $17.5 billion capitalization.
Da Vinci’s genius never rested. Buterin is far from retirement too. In 2020 he plans (probably the most anticipated of all launches) the launch of Ethereum 2.0. This development is expected to solve the scalability problem, using a new concept known as sharding. If all goes well, 2020 will carry ETH even further.
3. XRP, $8.3 billion
The instant depiction of the “banking” moment
Ripple’s creators Arthur Britto, David Schwartz, and Ryan Fugger have been at the forefront of starting a new movement in art: impressionism. Their creation, XRP, is a testament to that.
They resemble Edgar Degas with his banking origins, urging fans to create a more dynamic environment in the real world. Ripple is the real-time gross settlement with over 100 banks signed up for faster, cheaper and easier cross-border transactions.
Like impressionists, Ripple’s creators violated the rules of academic laws, in particular of banking, and constructed their art en plein air using the technological advantages of the time. Their ability to depict the moment – the impression – attracted many followers and $8.3 billion market capitalization.
What is a better time for cost optimisation than the era of the financial crisis of 2020? Since Ripple offers traditional financial institutions an opportunity to cut costs on cross-border payments, more banks are starting to use XRP, which historically led to price growth. Tim Draper is not alone in predicting “explosive growth” for this asset in 2020.
4. Tether, $6.4 billion
Pop art with dollar parity
The masterminds behind Tether are pop art artists like Andy Warhol. USDT was born in America and is as simple as it could be. Tether puts the most mundane currency on the canvas, or blockchain.
Some argue that the dollar has been inflated too many times. Some doubt if dollars really exist or it is just a pop art illusion. The name is well wrapped in scandals and controversy. No one knows what is the real value, but is it important?
Andy Warhol with his marketing genius has also managed to be traded well in auctions, regardless of the current fashions. So does USDT as the dollar stablecoin with the biggest trust of the market with $6.4 billion capitalization.
In 2020 markets will be unstable due to Covid-19 pandemic and shutdowns. In this unprecedented situation, having some stablecoins in the pocket is a good way to hedge risks. All transactions on Nominex also use Tethers.
For other pop art masterpieces, or stablecoins, please proceed to our article on the unstable concept of stablecoin.
5. Bitcoin Cash, $4.1 billion
Neighbourly rivalry and intrigues
If Bitcoin is the Ancient Greece Classical art piece, Bitcoin Cash must have been created by its Roman followers. It has been the same until the block 478558 but the disagreements escalated and we have been transferred to the Roman Empire, which is more focused on their art creators than it was habitual for Ancient Greece.
The biggest sticking point was block size limits. Bitcoin Cash supporters were strictly against the SegWit2x update and voted for the fork with the expansion of the block size to 8MB.
Bitcoin Cash creators prophesize value growth Empire’s expansion, but not all art lovers appreciated the fork beginning with 1 August 2017. Hence, Bitcoin Cash’s price is approximately 30 times lower than the price of good old Bitcoin. The market capitalization nears billion 4.1 level.
Bitcoin Cash might never rise to its parent coin levels but 2020 can be a good year for its investors. With such partners as telecom giant AT&T starting to accept payments in Bitcoin Cash, adoption is expected to rise, hence the price can go up.
6. Bitcoin SV, $ 3.4 billion
Wars among patricians give birth to a new art piece
As if that was not enough, power struggles continued and Bitcoin Cash itself forked again in 2018. It has expanded its block even further to 2 Gb, reflecting the late period of the Roman Empire Art.
It is way more focused on the rivalry among patricians than good old utilitarian and human-centred Greek Art. Since November 15 2018, Bitcoin Cash and its fork, Bitcoin SV, are being developed by competitive teams formed after the “civil war”.
The rivalry has hardly ended with the latest split and the artists’ work is less free-spirited than it was before. But Bitcoin SV is still a valuable art piece for the collectors with it being the 6th most valuable cryptocurrency with $ 3.4 billion capitalization.
With huge opposition against BSV in the blockchain community, BSV has still managed to climb the ladder of success. This year Bitcoin Cash has already given investors a gift in the form of a price spike on Valentine’s Day. Now the price bounced back together with the rest of the market. 2020 might be a good year to witness a few more spikes.
7. Litecoin, $2.7 billion
The emphasis on instant movement
The Litecoin movement emphasizes speed, technology, youth, as did futurism. Similar to Filippo Tomaso Marinetti and his Futurist Manifesto in the art world, Litecoin’s creator Charlee Lee promised to bring lightness and high-speed movements to cryptocurrency space.
Like the dog paws on the famous art piece named “Dynamism of a Dog on a Leash” by Giacomo Balla, Litecoin aims to process a block every 2.5 minutes. Being faster than Bitcoin, it attracts followers who postulate that it is a way better cryptocurrency for everyday transactions.
“Moving objects constantly multiply themselves”, reads Technical Manifesto of Futurist Painting. Litecoin displays hope for the same effect. So far, the results are promising with $2.7 billion capitalization.
High speed is a trend in 2020. After some time catching breath, Litecoin’s developers again started attempting to seize the moment with new protocol developments. Fast-movers might have limited opportunities but 2020 is too early for LTC dismissal.
8. Binance Coin, $2.4 billion
The marvel of the utilitarian art
Binance Coin resembles utilitarian art which is practical but still keeps its aesthetic qualities. Asian swords could be a great example from the art world that highlights its creator’s Asian heritage and its practical utility.
As Masamune excelled as Japan’s created wordsmith, Changpeng Zhao, the founder of Binance, has mastered the art of trading. BNB’s market share is naturally smaller than the potential Bitcoin’s share, as its utility is limited to one craft – trading on Binance.
Nevertheless, since Binance is the top exchange by trading volume in the world, according to Coinmarketcap, the blockchain market trusts Zhao’s mastership. Therefore, Binance Coin enjoys $2.4 billion capitalization.
Market is expected to be a battleground in 2020. Having a sword is handy in this situation. Trading activities are not likely to fall any time soon. Additionally, with the hype around DEX launch, BNB can strengthen its positions this year.
9. EOS, $2.3 billion
Freeing art from “the dead weight of the real world”
Kazimir Malevich wrote that art has to be freed “from the dead weight of the real world”. EOS’s original authors, Daniel Larimer and Brendan Blumer, also aimed to create a platform for decentralized applications and free it from the need to pay fees for the transactions by improving the classical technical architecture.
Similarly to suprematism, EOS is heavily criticised for being not transparent enough. Critics say EOS is not as decentralized as it should be. Some highlight the lion’s share of Chinese investments and fear governmental intervention. Indeed, there is something from communism both in suprematism and EOS.
The investment in suprematism has been risky at the time. By eliminating the “transaction fees” and simplifying the art, EOS can conduct millions of transactions per second. And if EOS follows the suprematism path, it will be highly rewarding. For now, EOS has grown to $2.3 billion capitalization.
Avant-garde is destined to be at the cutting edge. Launch of the EOSIO 2.0 platform can potentially attract more developers, leading to sustainable growth of the ecosystem and the coin’s price in 2020.
10. Tezos, $1.4 billion
Elasticity of the imagination
Tezos does not rely on Proof-of-Work like Bitcoin or Ethereum. It resembles surrealistic art. It is as elastic as Salvador Dali’s clock in the art piece “the persistence of memory”.
Launched in 2018, Tezos is also incredibly flexible. It is limited by only the imagination of the developers. Tezos blockchain is capable of modifying its set of rules with minimal disruption.
Surrealists also were drawn by the idea of overthrowing oppressive rules in the society of then, and Tezos has been created to free blockchain with its Proof-of-Stake consensus model. So far it has attracted $1.4 billion.
The flexibility of surrealists is attracting some serious partners like Singaporean and Brazilian governments. With more traction, Tezos has all chances to become a major cryptocurrency in 2020.
New trendy cryptocurrencies to watch for in 2020
Dynamic and risky conceptual art
After discovering the 10 most trusted cryptocurrencies, you might ask yourself: “What about the new entrants and the most promising ones?”
Other coins could be compared to conceptual art where the most important thing is the idea – the concept behind the art piece. It might be confusing to the point where people start to ask whether it is even art or not. But conceptual art is the future and no collector can miss its masterpieces.
Some art critics argue that conceptual art is much closer to social agenda as any other previous movement. It might as well be true that the Coronavirus pandemic will bring light to Dash which is reportedly best suited for instant payments.
With the mainstream getting into “total transparency”, there is a new group of thinkers who advocate privacy in all forms. Here we have Monero and Beam that highlight confidentiality and intractability. Let’s not forget BAT that puts anonymous internet browser Brave to the blockchain canvas.
Asian art is expectedly growing as well with China-based Ethereum analogue NEO that competes with not only Ethereum but its smaller rival Cardano. At the contemporary galleries, we might also see new entrants like LBK, Powercoin, Defi but only time will show if any of them has real value.
Some projects become popular before creation. TON is heading to the status of the most expensive art piece of all times. The artist Pavel Durov certainly does not suffer from lack of ambitions after raising $1.7 billion in 2018.
Liquidity as investors’ navigator
Keeping in mind that cash was the king before crypto has been invented
Some collectors do not care about money. They participate just out of appreciation of the idea and artistic skills. Most cryptocurrency collectors see art as an investment, just like in the real art world. And the art market has its ups and downs.
There is no need to emphasise that one of the biggest factors to consider in investments is art piece’s liquidity. Some investments are made long-term, some can be traded back into the market right away.