Dividend Stocks

3 Cryptos With 5X Potential in the Next Bull Market

The uptick in the cryptocurrency market in recent months has investors looking for the best cryptos to buy. However, navigating the cryptocurrency market can be a difficult process. Cryptocurrencies are inherently risky, and while you can achieve substantial outperformance in a bull market, loss of funds in its entirety is a possibility. 

In 2022, the cryptocurrency sector faced a wide liquidity crisis, and Bitcoin (BTC-USD) fell more than 60% from one of its all-time highs. The collapse of major cryptocurrency exchanges, most notably FTX, highlighted the fundamental risks that still plague this new emerging asset class.

With the prospects of a new Bitcoin ETF on the table in 2024, there is reason to believe institutional adoption can push the market to new heights. While this is a major catalyst, investors should always proceed with extreme caution.

Now, let’s discuss the three best cryptos to buy for the next bull run!

Ethereum (ETH-USD)

A concept image of a virtual coin based on the Ethereum logo.

Source: Filippo Ronca Cavalcanti / Shutterstock.com

Ethereum (ETH-USD) is one of the best cryptos to buy as the new bull market approaches. As the second largest cryptocurrency, Ethereum has distinguished itself as a pioneer in decentralized finance (DEFI) and non-fungible tokens (NFTs).

Ethereum has been making a major transition to Ethereum 2.0 to reduce high gas fees and longer transaction validation times. The upgrade aims to enhance scalability, efficiency and security, moving away from the proof-of-work model. Ethereum believes the shift to the proof-of-stake model can cut energy usage by 99.9%. Additionally, in recent years, Ethereum’s ecosystem has seen an increase in institutional adoption. As the cryptocurrency market enters into a new paradigm, Ethereum is one of the top cryptos with 5X potential.

Solana (SOL-USD)

Abstract 3d rendered coin solana (SOL-USD)

Source: solvertv / Shutterstock.com

Solana (SOL-USD) is a compelling crypto to consider for the next bull market. The crypto’s key strength relies on its high throughput, capable of processing more than 65,000 transactions per second. 

During the 2020 cryptocurrency bull run, Solana saw significant outperformance relative to its peers. That was primarily driven by large venture capital dollars and the widespread adoption of non-fungible tokens (NFTs). Solana also experienced a growing number of decentralized application (dAPP) developers building projects on the Solana blockchain. More recently, Solana also completed the Hyperdrive Hackathon, driving increased visibility to the Solana ecosystem. With increased adoption from decentralized finance (DEFI), gaming applications and NFTs, investors should consider Solana as a top candidate in the next bull run.

Ripple (XRP-USD)

A concept image for the XRP (XRP-USD) token from Ripple.

Source: Shutterstock

Ripple (XRP-USD) has been one of the leading cryptocurrencies since its adoption exploded during the 2020 COVID-19 pandemic. Over the last few months, XRP has experienced significant tailwinds that make it a strong contender for outperformance. 

One of the key developments involved the legal clarity surrounding Ripple Labs. In July 2023, XRP’s coin surged after winning its lawsuit against the Securities and Exchange Commission (SEC). The win marked a nearly 3-year battle as the SEC classified XRP as an ‘’unregistered” security. The lawsuit has definitely relieved some overhang, as token holders awaited the ruling. However, what makes XRP one of the top cryptos to buy is its prospects to facilitate cross-border transactions. The ecosystem’s low-cost scalability and efficiency could be a key driver going forward. 

On the date of publication, Terel Miles did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.

Terel Miles is a contributing writer at InvestorPlace.com, with more than seven years of experience investing in the financial markets.

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