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Market News 3 Cryptos to Buy for a Black Swan Market Crash

3 Cryptos to Buy for a Black Swan Market Crash

Although they lately trade more like stocks, cryptocurrencies might withstand a stock market crisis.

Cory Russell
2022-08-22
582

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Solana (SOL-USD)

After gaining popularity over the last year, Solana (SOL-USD) is still a powerful network. It is speculative to say which cryptocurrencies will survive a black swan event that destroys the stock market. Investors should, however, search for enterprises with a lot of overall strength and promising futures.


That's a good way to sum up Solana, a project known for its enormous expansion in 2021. In reality, Solana's price increased throughout the year, rising from $1.80 at the start to $170 at the conclusion. The enormous 9,360% gain undoubtedly rapidly and significantly increased the wealth of many individuals. What's more, it has maintained Solana relevant even when the cryptocurrency market crashed in 2022.


Currently, it sells for around $38. But the point is that Solana is a strong organization and is unlikely to collapse, barring a self-inflicted collapse a la Terra (LUNA-USD). At the moment, no one has suggested that Solana has issues of such type. Instead, sources indicate that it already has more than 1,900 block-producing nodes, of which almost 1,700 are operated autonomously.

Ethereum (ETH-USD)

With a $229.4 billion market value, Ethereum (ETH-USD) is the second most valuable cryptocurrency. Only Bitcoin (BTC-USD), with a market value of $454.5 billion, is more valuable. It follows that it would fair well in the case of a black swan occurrence that causes the stock market to fall.


According to this reasoning, the alternative cryptocurrency market will arise as a defense against genuine anarchy when the regular financial markets actually fail. Given the decrease in both stock prices and cryptocurrency prices this year, investors may be perplexed by that idea. And it's true that their bonds are becoming closer together.


But I'm indicating that in a full-fledged stock market meltdown, cryptocurrency would decouple from the stock market. And given its size and location, Ethereum could see significant capital inflows.


Additionally, there is a motivation to purchase it more quickly since on September 15 it will transition from a proof-of-work network to a proof-of-stake network. Those who are ready to accept a little amount of risk might see immediate returns from this merger.

Dogecoin (DOGE-USD)

In contrast to Solana or Ethereum, investors should think about purchasing Dogecoin (DOGE-USD) in advance of a black swan event for many reasons. In contrast to Solana and Ethereum, which are far more established, Dogecoin is obviously on the speculative side of crypto assets.


The justification for purchasing DOGE is that, should the conventional market collapse, a stock market catastrophe would once again lead to a surge in interest in alternative financial markets. Since Dogecoin is a well-known name among cheap crypto assets, speculative money will pour into it.


It's not difficult to see speculative market makers rushing to invest money in Dogecoin in such an instance. Due to its 10X growth in early 2021, Dogecoin is naturally appealing to speculative investors.


Take solace at least in the fact that Mark Cuban just said he thinks Dogecoin has more application potential than Cardano (ADA-USD). His opinion alone has the type of power that moves markets and may bring in fast profits for investors.

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