There are multiple ways you can benefit from a declining market. The most straight-forward one would simply be to keep an eye out for undervalued opportunities.
Whilst it may be difficult to value cryptocurrencies according to traditional metrics, some cryptos display promising initiatives and can be analysed through their track record in terms of achievements, adoption, and price performance.
With that in mind, this article will discuss two established and highly promising projects that have been trading lower over the past weeks and months and that might offer very attractive value at the moment, and two other interesting projects undergoing their presale now.
Terra (LUNA) is a leading cryptocurrency launched back in 2019 and experienced a surge in popularity throughout 2021, rising over 15,000%.
Terra developed a dynamic cross-chain ecosystem based on a variety of decentralised stablecoins, allowing users to save, stake, build, and more across its platform.
Terra is part of the “Ethereum killers” club, which includes other leading cryptos with the potential to come head-to-head with Ethereum (ETH) in the coming years, such as Binance Coin (BNB), Cardano (ADA), Solana (SOL), Avalanche (AVAX), Polkadot (DOT), among others.
Terra uses Cosmos’ (ATOM) consensus mechanism called Tendermint, and is currently able to process around 1,000 transactions per second (TPS).
The organisation behind the Terra project, South Korean fintech Terraform Labs, also launched Anchor Protocol in March 2021. This protocol achieved massive popularity due to the high-flying yields it offers on stablecoin deposits. Indeed, users can earn up to 19.8% yield on TerraUSD (UST) stablecoin, making it a low-volatility, low-risk, and high return investment.
Last September, the Terra ecosystem underwent a major upgrade called Columbus-5, described as the “most significant mainnet upgrade yet” by Terraform Labs. Notably, Columbus-5 introduced a systematic burning mechanism for Terra’s currency, LUNA, making it a highly deflationary asset, a valuable criteria for investors seeking protection against today’s historic inflation levels.
Also, this upgrade included inter-blockchain initiatives, making UST compatible with other networks such as Cosmos (ATOM); along with the integration of Wormhole, a bridge connecting the Terra and Solana ecosystems, allowing increasing communication and interaction between these two industry-leading projects, and creating a wider user-base for UST.
LUNA is trading at $86.03, down from its high of $119 less than a week ago
Following Terra, Stellar (XLM) is another very interesting project that has been around since 2014, making it a veteran in the ultra-fast-paced world of cryptocurrency.
Essentially, Stellar developed a network aimed at facilitating the transfer of money worldwide. Its main objective is to make the current financial system more inclusive by allowing populations with lesser access to banking and financial services to still be able to transfer money easily and for negligible cost.
Stellar also works toward creating a more interconnected digital financial network by leveraging blockchain technology to connect financial institutions with one another.
Stellar’s native currency is called Lumen, or XLM, which essentially serves as a universal translator between all fiat currencies. Thanks to XLM and a built-in decentralised exchange built-in the Stellar network, users are able to send payments in every currency anywhere in the world.
For instance, if a user needs to send euros but only has US dollars in his bank account, Stellar converts USD into lumens which are then re-converted in euros, all of which in a matter of seconds, allowing instant transactions rather than the several-day-long wire transfers.
Besides, Stellar transactions only cost $0.000001, making its network extraordinarily cheap and accessible for anyone.
Stellar is on track to revolutionise the payment industry, and investing in XLM is the best way to get exposure to this upcoming revolution. XLM is currently trading around $0.19, much lower than its historical average, an interesting investment opportunity!
Quitriam Finance (QTM)
Quitriam Finance (QTM) , a DEX that is in the process of being launched, is now pre-selling its native token, QTM, before its official market launch.
There are important challenges with scalability in existing blockchains and DEXs, and Quitriam Finance claims to be able to solve these issues by using multichain transactions.
Like Uniswap, PancakeSwap (CAKE), and other popular DEXs, Quitriam Finance's DEX lets people trade directly between one another, without intermediary interference. Quitriam Finance says its DEX will be able to process up to 50,000 transactions per second for only $0.000011 each.
As a multichain project, Quitriam Finance reaches more people and users. Quitriam Finance also features a protocol for saving and lending crypto-assets, which lets users earn interest on deposited crypto and generate returns without having to do anything.
This project is very similar to Acranup (ACR) , which is also in presale now. However, Acranup differs from Quitriam Finance in that, just like Terra, it focuses on decentralised stablecoins. These crypto-assets have become increasingly popular since, as we saw, they can now easily produce double-digit yields on certain protocols.
In general, both Quitriam Finance and Acranup want to make cryptocurrencies more accessible to crypto novices and democratise DeFi.