Cryptocurrencies have shown that there are projects for everyone and that diversity is attached to anyone who wants to invest in a decentralized environment that guarantees juicy profits. There are several Software to use in trading cryptocurrency.
So much so that anyone who knows the blockchain environment can create their cryptocurrency. To date, there are a large number of cryptocurrencies that are found on various exchange platforms.
Digital assets play an exciting role in digital financial instruments because they have been positioned in a way that the same users, depending on the type of investor, have been subdivided into small groups.
If cryptocurrencies are classified according to the usefulness of their tokens and the functionality of their projects, they can be reduced from a huge number such as more than 8,000 types; it can be reduced to only 20 or a maximum of 30 cryptocurrencies that are usually the ones with the most excellent use and impact in the digital financial market.
It is no secret that the two most used cryptocurrencies that could mark the history of the active crypto phenomenon are Bitcoin and Ethereum; the first is the one with the highest valuation in terms of price, market capitalization, and interest of people to invest.
It is also clear that in the various phases that the crypto market is going through, there are different types of investors, and that is where the holders stand out.
What are holders?
Just as there are endless cryptocurrencies, there are also trading strategies and types of operations that you can carry out if you are attracted to investing in cryptocurrencies, which with proper use, can generate quite exciting profits.
That is why when talking about Holding, reference is made to a term that emerged after a conversation with a crypto investor known by the pseudonym of GameKyuubi, who acknowledges that he does not learn how to recognize the right time to buy and sell crypto assets and that these, in turn, generate the expected return.
Faced with this situation, he states that he prefers to do HODL what, due to a writing error, he wanted to indicate HOLD, and this type of operation is carried out by all those investors who, after analyzing and evaluating the active crypto market, select that asset on which they feel complete security about their value despite possible adverse fluctuations.
These types of investors usually store their cryptocurrency units for the long term, waiting for the best moment of their valuation for then if they proceed to execute a sale that, of course, will grant relatively high profits; in the case of Bitcoin, it has come to be worth from USD 1 to its last historical maximum that exceeded USD 60,000.
Holder Ranking
Cryptocurrency investors are variable, so when talking about the long term, it is interesting to evaluate the characteristics that Holders have to recognize when executing a transaction in the cryptographic market.
The individual type holder usually accumulates its active crypto units in small amounts for the long term; its first financial tool is always Bitcoin.
In second place are the large holders, who tend to invest long-term in a strategically diversified cryptocurrency portfolio.
In third place, we find the exchange platforms, which are usually classified as large holders due to their investment nature.
In the last place, we find the whales; this original qualifier is usually given to all those institutional investors who not only invest in cryptocurrencies but also carry out negotiations with them while maintaining millionaire amounts invested; they are usually more common in the use of Bitcoin.
The cryptocurrencies of the HOLDERS
The Simple way to find out which projects are most attractive to people who venture into the digital financial market under Holders, is by evaluating the various portals that keep the value and market capitalization of cryptocurrencies updated.
In this 2022, after maintaining a market in a strong crypto-winter promoted by the various economic factors external to the cryptocurrency market, crypto-asset investors who prefer to hold indicate that it is through the following cryptocurrencies:
- Bitcoin
- Ethereum
- Cardano
- Polkadot
- THETA
Conclusion
It is pretty interesting to know the investment position that can be created at a given moment, and depending on the market’s characteristics, the decisions made by the investor are usually crucial for obtaining returns.
The most used cryptocurrencies may represent the sentiments of the market in terms of security, trust, and profits; since there are cryptocurrencies for everyone, it only knows how to choose the one that best suits it, considering that any of them is volatile in the same way.