2022 doesn’t seem to be a great year for the crypto market. Bitcoin, the most important currency on a platform, lost over 70% of its price compared to May 2021. As it doesn’t recover fast from such drops, it may be a good option to look for other, more stable investments in 2022. Monero (XMR) is a good option to consider.
In this article, you will learn about the investment potentials of both Bitcoin and Monero and their key differences. In the end, you will make an informed decision on whether you should exchange BTC to XMR in 2022.
Bitcoin: What Is the Investment Potential?
Bitcoin is a well-known cryptocurrency, even among people who are not into crypto trading. It is not only the most expensive cryptocurrency but also the first one. The market capitalization of Bitcoin has surpassed $1 trillion in 2021. In April 2021, the price per coin reached a record $64 000 point. However, just after that, it started to decrease, facing a few drops throughout the year. In July 2022, the average price of Bitcoin is $20 000 per coin.
Now, let’s talk a little bit about the future of this coin. PricePrediction says that Bitcoin will reach $37,000 by the end of 2022 and return back to $60,000 at the end of 2023. DigitalCoinPrice predicts that Bitcoin will cost $27,000 by the end of 2022 and $37,000 by the end of 2023.
Summing up, Bitcoin may be considered a good investment in 2022. However, note that there may be an even greater price drop, which is normal for a crypto market.
Monero: What Is the Investment Potential?
Monero was launched in 2014 by a group of anonymous developers. Some think that it was founded by the same people who launched Bitcoin. The main purpose of this coin is to make transactions as inexpensive and private as possible.
The market capitalization of Monero is $2.7 billion. The highest price — $483 — was reached in May 2021. An average price in July 2022 is $130. After the drastic drop in Bitcoin’s price, other cryptocurrencies like Monero also lost their value.
Talking about the future of Monero, here are some predictions:
- PricePrediction thinks that the price of Monero will reach $180 by the end of 2022. By the end of 2023, it will get to $273 per coin.
- DigitalPriceCoin predicts that Monero’s price will reach $200 by 2023 and $226 by the beginning of 2024.
Summing up, you can see that Monero is a good investment in 2022, as it is considered to recover in the next few months.
Differences Between BTC and XMR
The key differences between the two coins are:
- The speed of a transaction confirmation
A confirmation of Bitcoin takes on average 10 minutes. Monero’s confirmation process takes around 2 minutes. However, for a transaction to be considered confirmed, it needs to be done 10 times, which makes 20 minutes in total.
- Mining requirements
Both cryptocurrencies work on a “Proof-of-work” mining principle. However, Bitcoin can be mined using ASICs, which is expensive and requires a lot of electricity to run. As a result, a potential miner needs to invest a huge amount of money before having any Bitcoin. Monero uses RandomX — optimized for CPUs and GPUs and doesn’t require people to invest tons of money beforehand.
Should You Consider Trading BTC for XMR?
Summing up, you can see that both Bitcoin and Monero are good investments. However, taking into account recent news and updates, Monero is a more reasonable option. Plus, it is privacy-oriented and untraceable, giving you the right to anonymity when trading crypto in 2022. Still, the choice is all yours.
When you decide to buy some Monero or exchange Bitcoin for Monero, make sure you choose the right exchange platform. An anonymous cryptocurrency exchange Godex can provide you with low transaction fees, a quick process, and over 300 cryptocurrencies to trade.
Hi, I am Adam Smith, Admin Of TechSketcher, Creative blogger and Digital Marketer.