The current market decline has left many would-be investors wondering which altcoins to invest in. VeChain (VEN), Zcash (ZEC), and Bitcoin Cash (BCH) are three altcoins one could consider. These three coins provide an opportunity to take advantage of the downtrend. It’s however, not easy to just go out and buy the coins. Here are the things you would have to consider before you buy any of them.
VeChain (VEN) like many other cryptocurrencies has been in a decline over the last few days. Its price has dropped by 25% in the last 7 days, currently trading at $3.25. Considering that VEN was valued at over $5.00 a couple of weeks ago, it’s important to note that this value could rise in the future if the market turns bullish.
What should you know?
VeChain will launch its mainnet on June 30th. When that is done, there will be a dual token platform utilizing VET and THOR. When the mainnet launches holders of VEN, will qualify for an allocation of 100 VET. The more VEN, the more VET tokens you get. However, nothing much will change in terms of price value.
If the token split goes as planned, more companies could end up building dApps on the VeChain platform. Staking VET coins will earn users daily rewards as well as drive more adoption. If you buy VEN, then you’d do well to hold VET tokens. The tokens will be important for enterprises that want to use the platform to deploy future dApps or Smart contracts.
There’s a lot of hype building around VeChain and the future looks bright.
Zcash (ZEC) is a cryptocurrency platform that emphasizes the privacy of transactions and the protection of user identity. To reach this goal, the crypto maintains integrates a number of features that enable its users to make anonymous transactions.
What should you know before you buy ZEC?
The all-time high price of ZEC was $955 reached on January 07, 2018, which means the current price of $249 against the USD is a far cry. It experiences very volatile price movements, as shown recently when it rose by almost 50%. It nevertheless has lost that as the decline across the market continues. Though not encouraging, it also means that the coin has the potential to rally to greater heights.
Another thing to consider is where to buy or sell the crypto. ZEC is currently available for trading on a number of major cryptocurrency exchanges like Binance, Bithumb, Huobi, Upbit, HitBTC and many others. Its main volume is on the BCEX platform though. Most importantly, ZEC is now traded on Gemini, its first licensed exchange.
ZEC can also be used as a payment currency, especially vendors interested in anonymity like VPN. However, it faces stiff competition from other privacy coins like Dash, Monero, and Verge.
It’s important to know that the zk-SNARKS protocol is still under development and testing and thus the platform could be vulnerable.
As far as cryptocurrencies go, Bitcoin (BCH) is among a handful that had a great Q1 in 2018. It gained in value to cement its place as a top-four currency. However, its price has also seen huge price fluctuations, dropping from a high of $1838 in early May. The current $932 to the dollar is nearly 50% drop.
What else should you consider?
One factor to consider is where you are likely to spend the coins. There’s a growing list of vendors and merchants accepting Bitcoin Cash. This initiative will likely make BCH demand increase long-term, a factor that could play towards a price increase.
Bitcoin Cash is also widely available on various exchanges including LBX and the possibility of getting on Gemini soon.
It is important for an investor to remember that BCH is a fork of Bitcoin. While BTC has remained the most popular, Bitcoin Cash has been mired in some unpopular events. Furthermore, note that BCH wants to replace BTC by improving upon its weaknesses. However, there’s a concern that the tussle to replace Bitcoin (BTC) may not bear any fruit and thus the coin could fade into oblivion in the future.