June 19, 2022, is considered the nastiest day for the market of crypto since January 2021. Just two weeks before, the market cap of crypto declined to under $800 billion. This happened after eight months of the crypto market being valued at $3 trillion and bitcoin trading at $69,000. However, there have been some tokens and coins worth trading for in perpetual future contracts since due to the fluctuating index price. This guide will help you understand the best crypto perpetuals that you should look out for during the bear tides in 2022.
Considering only the number of cryptos in circulation, picking suitable pairing for your portfolio is not easy. You may also have to find out the best crypto exchange offering the lowest fees, current market capitalization, research key metrics encompassing the project’s goals, its historical price action, and more.
While investors look forward to the next bullish season, July 2022 can still be considered a good time to invest in crypto. Keeping this in mind, we offer a complete analysis of the best cryptos to Invest In 2022. Let us have a closer look at the crypto perpetual to trade in 2022.
Bitcoin Perpetual Pairs
When bitcoin surpassed the $60,000 mark last year, investors were fuming for not investing in the crypto asset. This year, it has tumbled back to $18000 mark and offers one of the best opportunities to invest. The coin has a staggering record of making new highs every time a bear cycle is over.
Bitcoin is the most popular cryptocurrency and has been for years. It's a store of value, a payment system, an internet of money tool and more. But it's not just about bitcoin. You can invest in other cryptocurrencies as well, if you want to diversify your portfolio or play around with new technology that could revolutionize the way businesses are run online.
Ethereum perpetual pairs
Ethereum, or ether, is the second largest cryptocurrency in the world after bitcoin, which sometimes even outperforms bitcoin. It surely is a worthy pick among the best cryptos to invest in 2022. Other blockchain networks are restricted to their services, but Ethereum offers a complete ecosystem to its users. Many cryptocurrencies function on the Ethereum blockchain.
Currently, Ethereum is experiencing a significant decline and losing more than 70% of its value since the commencement of the year 2022, which is as good as major cryptocurrencies. According to some analysts, a low price signifies a good trading opportunity for those investors who wait for the appropriate time to examine the cryptocurrency waters. Moreover, the coin might attract investors who purchased high and would get benefited from DCA (Dollar-cost averaging).
Solana perpetual pairs
Solana is the next project you can choose from the list of the most influential crypto investments to purchase in 2022. Solana (SOL) is a competitor of Ethereum and is often known as the ‘Ethereum Killer’. For instance, SOL is capable of handling more than 65,000 TPS (Transactions per Second), whereas Ethereum has the capacity to handle 16 TPS.
If Solana’s team tries to improve the blockchains stability, then it could become one of the most unique performing tokens in the crypto world with one of the most efficient blockchains on the network. Also, Solana is regarded as the home to a decentralized blockchain that enables the deployment of smart contract agreements.
According to the price predictions of Solana, the SOL is likely to rise by more than 1550% in the coming five years. However, a recent hack on the solana blockchain resulted in an 8% drop in price point within just 2 hours, where about USD 6 million worth of SOL and its NFT were being stolen from 8,000 phantom wallets.
USDT perpetual pairs
An eternal crypto portfolio is incomplete without stable coins. Stable coin values are pegged to fiat currencies like the USD or the EUR. Therefore, unlike other cryptocurrencies, their values are stable. You must convert your cryptocurrency earnings into stable coins to preserve their value. One of the most well-known and widely used stable coins is USDT. Therefore, using them anywhere is never a problem, making this a stable coin that should be in your forever portfolio. Adding USDT (Tether) to your portfolio of crypto perpetual you want to invest in 2022 has some advantages such as:
- Lowering transaction costs
- Stake and earn opportunity.
With only Bitcoin (BTC) and Ethereum (ETH) in terms of market cap, USDT is currently the third largest cryptocurrency. The cryptocurrency market capitalization has undergone significant adjustments due to the LUNA crash. Even as UST lost 99% of its value, USDT was trading around $0.95, showing the stability it is known for.
Why Should You Invest in The Bears Market?
Crypto investors are facing a hard time amid increased volatility and high selling pressure, with the bears tightening their grip on the space. Primary crypto tokens have been destroyed up to two-thirds of their total value from corresponding all-time high levels. The latest crash has reduced the confidence among investors in distinct crypto segments.
However, there are different hedge products that crypto users can try their hands on during the low tide of the market, since all entry points will be lower than the bulls, which gives the perfect opportunity to practice or test out different trading strategies..
Bear markets offer an effective way of shorting assets since the prices witness substantial price drops. Nevertheless, as the crypto markets face extreme volatility, shorting assets is something that knowledgeable and skilled traders can take up. While it could be profitable, it also involves risks.
Additionally, losses identified in crypto can be utilized to balance tax liability on any profit earned. It is not necessary to use it against crypto earnings only.
Crypto and taxation are a new frontier for several tax preparers and accountants. Understanding the rules of tax governing crypto positions can offer a unique opportunity at the time of a bear market and also can help reduce taxable burdens and problems for investors. However, it is not certain that this rule will not change in the coming days. As of now, this is considered a unique characteristic of crypto and can be implemented in financial planning.
To Sum It Up
As the crypto market continues to fluctuate, we’ll continue to see price change which is great for perpetual trading. Despite the rise and fall of each coin pairings, all you need to do is just to mark your position and make your prediction on the index price point.
One thing is certain: there are plenty of opportunities for savvy investors who know how to spot these trends before they happen. If you want to get in and hedge the bear tide make sure you keep an eye out for the above coin pairings—they could become your next big income!
Although the recent bear market can be discouraging to numerous crypto investors,there’s a lot more trade strategies that you can use to profit from a bear market. For more updates you can visit C-Trade, Facebook, Twitter, and Telegram.
Disclaimer: This content is not financial advice, please do your own research before investing.