Top five most traded cryptocurrencies in March 2020: risky or safe haven assets?
13:02, 12 March 2020
Though the overall crypto market is diverse and always unpredictable, investing in the most traded cryptocurrencies could be a smart move.
According to Capital.com trading community, the top five most traded cryptocurrencies at a glance are the following:
- Bitcoin – BTC/USD
- Ripple – XRP/USD
- Ethereum – ETH/USD
- Tron – TRX/USD
- Bitcoin Cash – BCH/USD
After claiming the top spot for the best form of investment in 2018, cryptocurrencies still continue to make waves throughout global financial markets today. Though there are many contrasting cryptocurrencies to choose from, let’s stick to the most traded cryptocurrencies to watch in March 2020.
Crypto market outlook
In terms of an overall crypto market outlook, prices have been steadily improving at the beginning of March. The fact of the matter is that the cryptocurrency landscape is hugely diverse and analysts are still figuring out whether cryptos are risky assets or the safe haven that many expect them to be.
Coronavirus and political instability have sent traditional financial markets reeling over the past month. However, while not showing gains anywhere near 2019 levels, crypto is still outperforming many other asset classes.
This is a bullish sign for markets heading forwards, especially with the latest Bitcoin halving on the cards.
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Most actively traded cryptocurrencies
Today, there are more than 1,600 cryptocurrencies listed on various crypto exchanges. Since the very start of the cryptocurrency’s global expansion, the two most popular cryptos have been Bitcoin and Ethereum. During the past couple of years, Ripple has proved its position within the top three. Beyond the traditional BTC, ETH and XRP, traders are attracted to other cryptos, which could draw your attention in March 2020.
While the list of most traded cryptocurrencies is never a definitive one, it is an excellent starting point for traders looking to get involved in crypto trading.
Bitcoin
The king of the crypto markets, Bitcoin, is a clear choice for top spot in our most traded cryptocurrencies list.
With a market cap of more than $145bn, Bitcoin dominance over the wider market doesn’t look like diminishing any time soon.
Seen as a form of digital gold by financial market analysts outside the crypto space, the Bitcoin price is expected to continue rising throughout 2020.
Ripple
Coming in the second position is XRP also known as Ripple.
Ripple is known as “the leader of banking infrastructure” and after its stellar year as a company, the XRP coin has climbed the ladder to join the ranks of the most traded cryptocurrencies in the world.
While XRP is currently worth $0.208, this coin has the potential to turn the entire international banking industry on its head.
Thanks to partnerships with major players in the financial sector, Ripple and the XRP coin have become a force to be reckoned with in the crypto world.
3. Ethereum
Third up, we have the smart contract platform created by Vitalik Buterin called Ethereum.
With the increase in demand for the blockchain functions of Ethereum, an increase in the currency value is all about time.
Whether this cryptocurrency would succeed or fail largely depends on the upcoming fork updates and implementation of proof of stake algorithm and things certainly look positive.
Ethereum is so much more than just a cryptocurrency. It’s an entire ecosystem of decentralised applications running on what’s been coined the new internet.
One Ether is valued at $195.23, as of March 11, 2020.
4. Tron
Sitting in the number four position for the most traded cryptocurrency is Tron (TRX).
TRX stands for TRONIX, which is Tron's base cryptocurrency unit and was launched in 2017 by Chinese entrepreneur Justin Sun.
Sun launched Tron as a blockchain-based decentralised platform to bring distributed storage technology to the digital content space, but it has turned into something much broader.
Tron now competes with Ethereum in the new internet space, aimed at hosting the best decentralised apps on the market.
Currently TRX is worth $0.0152.8 and recent technological developments have improved the position of TRX in the crypto world.
5. Bitcoin Cash
At number five and last on our list of top five cryptos, we have the top Bitcoin fork called Bitcoin Cash.
While Bitcoin is known as digital gold, Bitcoin Cash uses smaller block sizes to make using BCH as a spendable currency more viable.
Analysts have been bullish about BCH overall, but we've most recently seen a significant drop in the price of BCH. Currently valued at $263, Bitcoin Cash is down from $313 just last week.
However, the drop is more seen as a result of the increase in the cases of Covid-19 in the past few weeks, rather than something structurally wrong with BCH.
Final thoughts on the most traded crypto markets
By using this list of top five most traded cryptocurrencies as a starting point, you can start building a balanced and profitable crypto portfolio. Always expand your portfolio and ensure you never put all your eggs in one basket.
With contracts for difference, it does not matter whether your view of the crypto market performance is positive or negative. You can always try to profit from future price fluctuations, regardless of their direction. Follow the latest crypto news with Capital.com.