Cryptocurrency prices jumped on Friday, spurred on by big gains for cardano and solana. The recent rallies for Bitcoin have some predicting the digital currency will reach $100,000 and that Ethereum could go up to $5,000.
Lyn Alden, founder of Lyn Alden Investment Strategy, said in an interview with Insider that “I think we’re still in kind of the early-to-mid stage of its long-term trajectory. So that remains, I think, the best risk-reward as kind of a set-it-and-forget-it allocation.”
The latest bullish push on cryptocurrency comes as the market for digital assets has superseded the $2 trillion dollar mark.
Ethereum Has a New Competitor
Cardano, the third-largest cryptocurrency with over $75 billion in total value, surged 30% last week as investors anticipated market reaction to an upgrade due to launch September 12th. It is up $150% since its July 21st low and it continues to gain momentum.
Meanwhile Solano is also gaining attention as a potential rival for Ethereum.
“I think solana is a well-designed ethereum competitor,” Alden said. “Its main risk is that it’s newer. It doesn’t really have a significant network effect yet. And so it hasn’t really reached a critical mass, but it is well-designed.”
Digital Assets Need Digital Infrastructure
With the cryptocurrency market hopping, exposure to the sector doesn’t just have to come from owning tokens. The infrastructure around the sector has explosive growth potential, which makes VanEck Vectors Digital Transformation ETF (DAPP) a great option for investors interested in gaining exposure to technology equities and the cryptocurrency market. DAPP utilizes the MVIS Global Digital Assets Equity Index and tracks the performance of companies that are participating in the digital assets economies.
Some of DAPP’s holdings include Square, Inc. (SQ), Coinbase Global (COIN), and Marathon Digital Holdings Inc. These are innovative companies that are building digital infrastructure, lending opportunities to investors no matter which cryptocurrencies are currently hot.
For more news, information, and strategy, visit the Crypto Channel.