"For crypto investors looking to go above and beyond Bitcoin ( CRYPTO:BTC) for greater diversification or just more upside potential (at the cost of downside risk), Ethereum ( CRYPTO:ETH) and XRP ( CRYPTO:XRP) are more than worth looking into. Year to date, these two smaller cryptocurrencies have actually outperformed Bitcoin, with Ethereum and XRP both gaining around 20% versus Bitcoin's modest 16% rise. With the recent correction in Bitcoin and the relative near-term outperformance by ETH and XRP, should investors consider spreading their bets more broadly across the crypto market?"
"Though I'm not against sticking with BTC, given that other cryptocurrencies tend to be highly correlated with its performance, I do think that those with the willingness to embrace more risk may wish to consider nibbling on the likes of an Ethereum or an XRP."
Ethereum and XRP have each gained roughly 20% year-to-date, outpacing Bitcoin's approximate 16% rise. Bitcoin has undergone a recent correction while ETH and XRP exhibited near-term outperformance, supporting consideration of broader crypto diversification. ETFs have increased accessibility, and the emergence of Ethereum ETFs makes exposure to the number-two crypto nearly as convenient as exposure to Bitcoin. Ethereum's network upgrades and growing institutional and governmental acceptance bolster the case for holding some ETH alongside Bitcoin. Other cryptocurrencies remain correlated with Bitcoin, so increased upside potential comes with higher downside risk for investors.
Read at 24/7 Wall St.
Unable to calculate read time
Collection
[
|
...
]