Investors with nerves of steel and a thirst for immense returns should have small-cap cryptos in their sights. While the general crypto market may appear lackluster, the window for the next altcoin surge could open at any moment – the time when these lesser-known digital currencies truly shine.
During the last cycle, we bore witness to obscure altcoins skyrocketing overnight with triple and quadruple-digit gains. Locating the next under-appreciated gems requires research and patience, but the payoff can be nothing short of magical if the stars align in your favor.
Of course, navigating the treacherous waters of crypto requires caution as the space is teeming with scams and flops. It’s imperative to sift through to find the true value amidst the noise. With thorough analysis, one can unearth genuine crypto treasures waiting to be discovered. Let’s delve deep into it!
Sonorus (SNS-USD) – The Melody of Innovation
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Sonorus (SNS-USD), an AI-driven crypto, has been skyrocketing in recent weeks. Sitting at a modest market cap of only $15 million, SNS seems poised for significant growth ahead. Despite concerns about future dilution with 60 million circulating tokens out of a 1 billion maximum supply, the full share isn’t expected to hit the market anytime soon. These small altcoins are not for the long haul; the aim is to cash in on spikes.
Sonorus occupies a unique space at the vanguard of music industry innovation, blending AI and blockchain to revolutionize music discovery, voting, creation, and monetization. Its TrendFi model fuses music trends with DeFi rewards to drive engagement. Central to its approach is BeatMint AI, a tool enabling users to craft original compositions via basic prompts.
Having surged 650% since March, with a recent doubling in value, Sonorus has caught the crypto community’s eye for its immense promise. This ascent likely marks just the beginning for this diminutive altcoin as excitement swells around its distinctive model.
Alephium (ALPH-USD) – Scaling Up for Success
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Alephium (ALPH-USD) has retraced post a robust rally, offering an appealing accumulation juncture before its next major upswing. Possessing resemblances to Kaspa (KAS-USD) in supporting scalability and efficiency for DeFi applications, Alephium boasts a proficient development squad.
Existing blockchains like Ethereum (ETH-USD) grapple with congestion and high fees impeding the smooth functioning of particular applications. This is the issue that Alephium aims to address. It stands as a sharded layer-1 blockchain that delivers scalability, security, and efficiency tailor-made for DeFi and dApps. Employing a unique stateful UTXO mechanism mirroring Ethereum’s account-based programmability while bolstering security, Alephium truly shines with its innovative Proof-of-Less-Work consensus that dynamically adjusts mining difficulty to cut energy consumption versus Bitcoin (BTC-USD).
From trading around a mere 20 cents in the past year, ALPH shot up to nearly $4 at its peak – a 20x spike. This meteoric escalation mirrors that of Kaspa, a crypto from its early days of fractions of a penny soaring to 18 cents with a $4 billion market cap. Riding on Kaspa’s coattails due to their shared focus on DeFi scalability and efficiency, Alephium still stands at a minor $209 million market cap compared to Kaspa’s $3 billion, despite comparable technological capabilities. This suggests to me that ALPH may still deliver substantial returns moving forward.
DevvE (DEVVE-USD) – Charting a Path to Potential Prosperity
The Race for Speed: DEVVE-USD’s Journey Towards Innovation
Revving Up for Success
DEVVE-USD, a high-throughput layer-1 blockchain designed for institutional and enterprise applications, is making bold claims with a technical whitepaper boasting the capability to process up to 8 million transactions per second with sub-second finality. The validation of these ambitious throughput capabilities will play a pivotal role in the network’s success.
Testnet Launch: A Potential Game Changer
All eyes are on the upcoming public testnet launch of DEVVE-USD in March. This milestone event has the potential to act as a significant catalyst, propelling DEVVE-USD to new heights if it delivers on its promises. The prospect of winning over institutional investment could position DEVVE-USD as a serious multibagger with promising prospects. Additionally, the network’s focus on environmental, social, and governance (ESG) factors presents another compelling advantage.
Charting a Course Amidst Challenges
One notable risk to consider is the issue of token dilution stemming from early investors before the official launch. With only 18.7 million tokens currently in circulation out of a total supply of 300 million, DEVVE-USD is facing upward pressure from token sales. This factor has repeatedly thwarted attempts to rally above the $2 mark, indicating a critical hurdle for the cryptocurrency’s progress.
It’s advisable to exercise caution and wait for an opportune entry point below the $1.20 threshold, taking into account the impact of token dilution on the market dynamics. While the gradual release of locked-up tokens may temper immediate concerns, the persistent selling pressure could potentially dampen DEVVE-USD’s short-term gains. Investors are advised to proceed thoughtfully while keeping a close watch on developments.
Considering the Playing Field
Small, low-volume cryptos
On Low-Capitalization and Low-Volume Cryptocurrencies
InvestorPlace emphasizes its stance on refraining from regular commentary on cryptocurrencies with a market capitalization below $100 million or those trading with volumes under $100,000 daily. This precautionary approach is rooted in the recognition of the risks associated with such “penny cryptos,” often targeted by fraudulent schemes and market manipulation. Transparency and clear warnings are paramount when discussing low-volume cryptos to safeguard investors’ interests.
Insights from the Writer
On the publication date, Omor Ibne Ehsan affirmed a neutral stance with no direct or indirect holdings in the securities addressed. The views expressed in the article reflect the author’s opinions within the guidelines outlined by InvestorPlace, highlighting a prudent approach to growth, cyclical stocks, and speculative investments like cryptocurrencies and penny stocks.
