Cryptocurrencies OAX, HOT and XLM are worthy of attention if you are looking for coins with the best chance of outperforming the price of Bitcoin in the fourth quarter of 2018.
Small Cap vs. Low Price Cryptos (A Trader & # 39; s Mindset)
The mentality of a cryptocurrency trader in a bull against a bear market is very different. During the last bullfight, two types of cryptocurrencies had a tendency to "pump", with a very low market capitalization for large stock exchanges and those with very low prices.
Coins with low market limits, dedicated teams, with the network to be listed on the main stock exchanges should be the acquisition targets that are heading for the next upward run against the alternative to buying low coins price.
A very low market capitalization coin with the four main four fourth quarter unknown events: OAX, it should work exceptionally well in the short term.
Market sentiment continued to move from the summer of 2018 at the start of the fourth quarter. With cryptic personalities and technical analysis pointing to a December race, the question becomes quite obvious: how can we take advantage of the shift in market sentiment and the possible imminent launch of the moon?
The last bullfight that ended 2017 had two main types of cryptocurrencies that saw significant pumps. These two types included cryptocurrencies at very low cost for each currency, regardless of their market capitalization. The other kind were coins that had a very low market capitalization. Coins with a low market capitalization are coins that should be targeted against those that the price seems "cheap".
Most people who are not used to cryptocurrencies do not understand the importance of market capitalization compared to the real price.
For example: Consider 2 cryptocurrencies, one is trading at $ 0.50 the other at $ 2.00, the former has a market capitalization of $ 100 million, the latter has a market capitalization of $ 5 million.
What is the best investment if both are going to have $ 1 million cryptocurrency request generated by an ad?
The answer is the second, with a $ 5 million market cap and a price of $ 2.00. The reason is that if a $ 1 million request is generated for a cryptocurrency with a $ 5 million market cap, total capitalization will increase to $ 6 million. This 20% increase in market capitalization will result in a 20% price increase from $ 2.00 to $ 2.40.
The first coin with a market capitalization of $ 100 million would now have a market capitalization of $ 101 million and the $ .50 cryptography would have risen to $ 0.505. If you bought the cryptocurrency with the lower market capitalization, you would earn 20% compared to 2% of the currency with the highest market capitalization.
With all the others equal, it is always better to target a cryptocurrency with a lower market capitalization than one with a "lower price".
OAX has one of the smallest market limits on Binance and is my number 1 acquisition target for this reason, along with many others. For those looking for a lower-priced coin with a significantly higher market cap, HOT and XLM are fantastic options.
OAX 00 it's one of the less known and discussed cryptocurrencies, which is a good reason to start targeting it before Twitter's personalities and "whales" begin to accumulate. OAX is also listed on the highest trading volume, Binance, which is known for only the list of tier 1 projects.
So, what is the OAX project that impressed enough Binance to list?
I had the pleasure of discussing many aspects of their project with the OAX team during a recent interview. According to Wayland Chan, technology leader of the OAX Foundation, by the end of 2018 OAX "will provide a stand-alone DEX using the work done to build a scalable level 2 solution". This very significant event is not listed on the calendar of cryptocurrencies Web sites nor is it commonly known in space.
The most impressive thing about the decentralized exchange of OAX ("DEX") is that they plan to have an "order book off-chain, execution of the order out of the chain, as well as no custody of the user resources". OAX could be the scalable solution that DEX has looked for years. The OAX project is very ambitious, but it is not necessary to challenge the legitimacy of a Binance.
The first DEX prototype was delivered in June and since the developer has finalized the level 2 solution using off-chain solutions to solve blockchain performance problems.
According to the OAX Technology Lead,
We have made great strides … and we expect to announce soon some great news that will surely drive the boat crazy.
As much as I pressed, I could not give an inside look at what this "breakthrough" was.
This year, OAX was trading up to $ 2.28, after falling to less than $ 0.35. With their platform becoming a reality, now is the perfect time to acquire a position. The future of OAX seems very bright. OAX plans to have a working level 2 prototype by the end of 2018. Their DEX has the potential to revolutionize the exchange community and the downsizing challenges they face.
At the end of 2017, the ICOs were at the end of 2017, DEX are becoming the next craze of looming regulations and government repressions already under way. With decentralized exchanges becoming the new "hot thing" and the bear market is coming to an end, OAX is clearly a purchase and a HODL for traders and investors.
OAX is one of the few cryptocurrencies capable of re-approaching their historical high, once the cryptic community awakens to the meaning of their project.
How HOT (Holochain) works 00 compete against other cryptocurrencies in space?
HOT has a lower "price per coin" than OAX, but their market capitalization is almost 20 times higher than that of OAX. This means that if both HOT and OAX received the same amount of advertising, the price of HOT would have moved by 5% while the price of OAX would have moved to 100%.
This is the main reason why the targeting of small cap cryptodes with platforms at the top of development makes "moonshot" investments better than a crypt with a capitalization of over $ 100 million.
However, HOT gets a single premium to be the least expensive currency on Binance (although it has a huge market capitalization). During a bull run, "stupid" new money enters the market and flock to both the cheaper and the lower capital markets (once they become smarter). HOT qualifies as the "cheapest cryptocurrency on Binance", and therefore the money will probably enter it when the markets begin to move north.
Understanding the limits of the market means that those who are looking to choose between HOT and OAX, choose OAX very easily. However, when choosing an investment, it is important to look beyond the market capitalization. How is the team? What is the product or the platform?
Holochain is distributed in hosting, owned and managed by users. The goal of HOT is to facilitate businesses and communities to build the next Internet paradigm. Their goals seem to be extravagant, but the team is continually pushing forward with their roadmap.
For those who want to capitalize on new "stupid" money spilling into the encrypted space in the coming months, HOT is not a bad option. OAX will probably provide much higher returns than the larger coins in the cap market, such as HOT, however, diversification should not be overlooked for short-term profits.
XLM (Lumen stars) 00 It was all the news this week with their announcement of the Blockchain wallet that offers $ 125 million of XLM.
This, together with the probable upcoming addition to Coinbase, makes them a short-term speculative game that receives a lot of attention. With a market capitalization in the Top 10 cryptocurrencies and a coin value of less than $ 1.00, XLM could record impressive gains.
However, the "moon" that everyone seeks is unlikely to come from a cryptocurrency with a market capitalization of $ 1 billion. You can expect reasonable earnings by following a Coinbase list, but this is really what everyone is HODLing at this point.
Although XLM is unlikely to publish earnings associated with coins with a market capitalization of less than $ 10 million, they still have plenty of exciting developments.
XLM has worked with IBM to enable them to use their Stellar network to bring more transparency into their payment structure. Analysts have predicted that this partnership could effectively replace the current SWIFT / IBAN structure as a global standard. If this partnership is resolved into something significant, XLM will have the lunar potential even with a cryptocurrency of 1 billion and more of market capitalization.
Another of XLM's unique partnerships is with Veridium and IBM to make carbon credits globally. This is one of many partnerships that will make XLM relevant in the short and long term.
Projects for XLM continue with Stellar X. This is the Stellar version of a DEX. Also:
- Open Garden is a project that allows users to turn their phone into a hotspot while earning a reward in XLM for the data used.
- TillBilly is the Stellar version of a point of sale system, which relieves the burden of a paper receipt.
- SmartLands aims to symbolize agricultural lands on the star network.
- Sure Remit is one of the main networks of remittances in Africa that allows the transfer of funds. They have worked with Stellar and have branches in Kenya, Rwanda and many other African countries.
The list of partnerships and use cases for XLM goes on and on. XLM is a very good long-term HODL when compared to other cryptocurrencies in the Top 10. However, for significant short-term gains, the lowest cryptocurrencies in the market and the main events under the radar are better options.
Cryptocurrencies classified by risk
As the new money spills into cryptographic space, they will probably end up in 1 of 2 places: low-cost coins or very low-cap coins. As regards the percentage of return, it is always better to focus on small-cap coins, not just "low-cost" coins.
This is why OAX is a favorite this week with their DEX on the horizon, a 1-on-1 interview and a list of Binance; this project is well positioned being one of the smallest market capitalization coins on Binance. With little public awareness of their background news, OAX could be one of the most significant gainers of the fourth quarter. If OAX ends the fourth quarter with a market capitalization of $ 28 million, more than 200% will be returned for those reading this article.
HOT will probably be a "stupid" money target looking for an economic currency on the major stock exchanges. Once they have learned what a market capitalization is, they will probably change their position. The HOT project is fantastic, but as for the undervalued cryptocurrencies, there are better options.
XLM could be a top 10 cryptocurrency but with a list of Coinbase that seems imminent and the partnerships competing with Ripple will probably record positive returns in the short term. This is important as they are also positioned for long-term success. Their short-term gains are likely to be lower than those with micro-capital but their long-term guaranteed success reduces a large amount of risk to investors.
Those seeking the highest risk and the crypt with the highest reward should choose OAX. Those who want a safer game that will probably still publish positive gains, XLM is the choice. For those who want to chase stupid money entering the HOT market is an acceptable choice, but OAX will probably still publish better returns based on their market capitalization of 1/20th of the dimension.
To read the previous articles of Crypto King or to get in touch directly with him, you can do it on Twitter (@JbtheCryptoKing) or Reddit. The king is the founder of ANON and actively markets cryptocurrencies.
[Disclaimer: This views expressed in this article belong solely to the author and do not reflect the views of Bitcoinist. They are intended as opinion for educational purposes and should not be taken as financial advice.]
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