New investors usually look for short-term crypto investments either to test their profit-yielding potential in the short term or when they are unable to lock in their funds for long periods. When attempting to make money in the short term, you must also be prepared to take more risks. Short-term trading can be divided into several categories based on how quickly profits are realized — in hours, days, or weeks. In general, the shorter the trading time frame, the greater the risk associated with that trade.
There are thousands of cryptocurrencies in the market today. But you might be wondering which crypto to buy today in India for short-term gains. Investors need to consider cryptocurrencies from multiple perspectives in order to choose the best cryptocurrencies for short-term investments. It is clear that cryptocurrencies are an important and new element in any 2022 investment portfolio. Here we have listed the 5 best cryptocurrencies to invest in 2022 for the short term.
(All data regarding the rank and market cap are according to the official data as reported by CoinMarketCap on 4 May 2022)
Market cap (in billions): $17.48
Dogecoin began as a joke coin until Tesla’s CEO Elon Musk announced that he would literally put Dogecoin on the moon, i.e., an entire space project would be funded by DOGE coins only. Musk has been a fervent supporter of Dogecoin and has been quite outspoken in his tweets about why Doge is better than even BTC and ETH.
Doge is the crown holder among meme coins and one of the top cryptos by market capitalization. It was also the most searched cryptocurrency in the United States in 2021.
In December 2021, the Dogecoin Foundation announced the addition of a “Dogepedia” to its website to answer all Dogecoin-related questions. The founders are also working on a GigaWallet that will allow more merchants worldwide to accept Dogecoin as a payment option. In 2021, the Dallas Mavericks announced that they would accept Dogecoin as payment. Click here to know how to buy Dogecoin in India.
Market cap (in billions): $5.25
Chainlink is a decentralized oracle network that aims to play a key role in the practical adoption of blockchain technology. This network aims to provide inputs from various external data sources.
LINK is the native token of Chainlink designed to fund the project’s growth. Given blockchain’s growing relevance in real-world use cases, LINK tokens could be one of the best cryptocurrencies to invest in the short term. Similar to Bitcoin (BTC) and Ethereum (ETH), LINK is built on its own blockchain and encourages the process of mining among its users. The LINK token is used to reward Chainlink network operators when they retrieve data from off-chain feeds, format the data into accessible formats, and perform several off-chain calculations.
In particular, Chainlink is being used to distribute non-fungible tokens (NFTs), bet on personal savings, and facilitate the readjustment of cryptocurrency token distribution.
Market cap (in billions): $14.98
Polkadot is a next-generation blockchain protocol that connects multiple specialized blockchains to an integrated network. The Polkadot protocol is designed to be fast and scalable, with transactions going on simultaneously on parallel blockchains (or “parachains”). This removes most of the processing requirements of major blockchains, adding unprecedented levels of scalability and speed to the DOT network. Once fully functional, Polkadot will be able to process over 1,000,000 transactions per second. And all of this remains truly decentralized.
DOT is the native and governance token of Polkadot. DOT allows the holders to vote on decisions related to the future of the network. DOT is also used for staking on the Polkadot network for validating transactions and issuing new DOTs. DOT can be bought and sold on exchanges like WazirX along with all the best cryptocurrencies to invest in 2022 for a short term.
Binance Coin (BNB)
Market cap (in billions): $64.20
The Binance Exchange is primarily known for cryptocurrency-to-cryptocurrency trades (transactions between two cryptocurrency pairs). It implements high-security standards with multi-tiered and multi-cluster architectures and provides users with one of the best trading experiences. It claims to be capable of processing approximately 1.4 million transactions per second. Binance also allows the investors to trade at one of the lowest transaction fees in the crypto sphere.
Binance reduces transaction fees by 50% on its network when the transaction fee is paid in its native cryptocurrency, Binance Coin (BNB). This means that if you were about to pay 10 cents for a $100 transaction, you need to pay 5 cents only if you complete the transaction with BNB. This surely makes BNB one of the best cryptocurrencies to invest in for the short term.
Binance Coin strengthens the Binance ecosystem. BNB has multiple use cases like executing transactions on the chain, paying transaction fees on Binance Exchange, paying in stores, and many more. Moreover, as stated in the Binance white paper, Binance uses 20% of its profits to buy back, burn and destroy Binance coins quarterly to keep the prices deflationary.
Market cap (in billions): $28.09
Cardano is a decentralized Proof-of-Stake (PoS) blockchain. It is the first blockchain to be based on peer-reviewed research. Cardano aims to improve the problem of scalability and other inefficiencies of the Proof-of-Work (PoW) protocol used in major cryptocurrency networks such as Bitcoin and Ethereum.
The Cardano Foundation that strengthens the Cardano network has partnered with many academic institutions to review and research every aspect of the blockchain. ADA is the native cryptocurrency of the Cardano ecosystem. It is the first 3rd generation cryptocurrency and one of the best cryptocurrencies to invest in for the short term.
Third-generation cryptocurrencies usually take examples from first and second-generation cryptocurrencies and improve their limitations. In particular, Cardano aims to solve issues related to the scalability, interoperability, and sustainability of other cryptocurrency platforms. To develop versatility, Cardano plans to leverage new advances over the years, such as security, sustainability, and multi-tiered architecture.
So this was our list of the 5 best cryptocurrencies to invest in 2022 for the short term. Whether you are a beginner or an experienced investor in cryptocurrencies, WazirX could be your go-to choice.
WazirX is India’s most trusted cryptocurrency exchange. It offers trading in over 300 cryptocurrencies, including the best cryptocurrencies for short-term investments. In addition, it enables ultra-fast transactions with very good security features and KYC procedures. So start your trading journey through WazirX and take a step forward to the motion #IndiaWantsCrypto.
We hope this guide puts an end to your query about which crypto to buy today in India for the short term. Happy trading!
Bitcoin has had the highest market capitalization, has been around the longest, has the most experienced development team, and has enormous network impact and brand recognition. As a result, while trading cryptocurrencies, the rate of return on Bitcoin is commonly used as a benchmark. However, the risks associated with cryptocurrencies remain, and the safest cryptocurrency for you depends on your analysis.
Pi Network (PI) is the newest digital token to catch the cryptocurrency community's interest, even before it has wholly debuted. Some users see it as a chance to get engaged in a cryptocurrency from the beginning and profit in the future, similar to how early Bitcoin adopters made huge profits by mining and keeping the coin. Other users have compared Pi to a worthless multi-level marketing (MLM) scheme.
Satoshi Nakamoto invented cryptocurrencies and the technology that makes them function in 2009. The presumed pseudonymous individual or persons who invented Bitcoin used this identity. In addition, Nakamoto created the first blockchain database. Even though many people have claimed to be Satoshi Nakamoto, the person's identity remains unknown.
Crypto or a cryptocurrency is a digital currency protected by cryptography, making counterfeiting and double-spending nearly impossible. Blockchain technology is used to produce cryptocurrencies (a distributed ledger enforced by a distributed network of computers). Cryptocurrencies are distinct in that a government does not issue them. The word "cryptocurrency" refers to the encryption methods employed to keep digital currencies and the network secure.
There are two ways of investing in cryptocurrency, mining and via exchanges. Cryptocurrency mining is considered the procedure of verifying and adding transactions to the blockchain public ledger. Another option is via cryptocurrency exchanges. Exchanges generate money by collecting transaction fees, but there are alternative websites where you can interact directly with other users who want to trade cryptocurrencies.
In India, cryptocurrencies are legal; anyone can purchase, sell, and trade cryptocurrencies. They are currently unregulated; India does not have a regulatory framework in place to regulate its functioning. According to the Ministry of Corporate Affairs (MCA), companies must now declare their crypto trading/investments during the financial year, according to the Ministry of Corporate Affairs (MCA). Cryptocurrency transactions have been taxable in India when people receiving such gains are Indian tax residents or where the crypto is considered to be domiciled in India
A cryptocurrency is a digital currency secured by encryption, due to which chances of activities such as counterfeiting and double-spending taking place get close to impossible. Cryptocurrencies get created on blockchain technology ( a distributed ledger enforced by a distributed network of computers). Cryptocurrencies are unique in that they do not get issued by any central authority. The term "cryptocurrency" comes from the encryption techniques used to keep digital currencies and the network safe.
Cryptocurrency can be purchased in two ways: through mining or exchanges. The process of confirming and adding transactions to the blockchain public ledger is known as cryptocurrency mining. Cryptocurrency exchanges are another option. Exchanges make money by charging transaction fees, but there are alternative platforms where you may communicate directly with other cryptocurrency traders.
Many altcoins are flourishing to invest in. Some cryptocurrencies with great potential are Ether, Ripple, Tron, and more. Investors are trying to diversify their portfolios and are flocking to the leading cryptocurrencies. Many growing businesses are already accepting cryptocurrency as acceptable payment methods.
Cryptocurrencies use cryptography technology to keep transactions and their units (tokens) secure. Cryptocurrency works via a technology called the blockchain. A blockchain is a decentralized technology that handles and records transactions across numerous computers. The security of this technology is part of its value.