Identifying quality cryptocurrencies that have been hardest hit by the recent market turmoil
When the market experiences a correction like the one we are all at the mercy of right now you will hear many a commentator telling you that when there is blood on the streets this is the best time to buy. But the $1 quadrillion question is… What should we be buying? What looks great value and what should still be avoided by a 10 foot long barge pole? That is what we intend to answer for you in this article.
We pride ourselves on attempting to pick quality projects despite our odd detour into the odd memecoin. So we wanted to go back over some of our picks from previous episodes of our Moonshot Monday podcast, our monthly Moonshot Portfolioand our weekly Micro Cap Watch Listand identify five cryptocurrencies we believe represent even better value than before the crypto world turned dark. We think you are going to be amazed by the difference a few weeks have made.
Now is an opportune time for a general observation about the consequences of the current apathy in the crypto market. Despite the dip, people are still making money. Look at what has been happening at projects like MATIC which have bucked the trend. We also don’t need to look very far to notice that some of our own selections saw big gains amongst the chaos of last week including Earn Bet and Candela Coin. If we are really serious about finding moonshots we have to realize that these conditions are a gem hunter’s dream. Don’t be left on the sidelines, you will regret it later.
Last week we launched our spin off podcast Moonshot Monday Q&A. This is a follow up with projects that appeared on our weekly podcast asking them probing questions posed by our community. Listen to the founder of Candela Coin going through his paces here.
Five undervalued cryptocurrencies
Yield App (YLD)
Yield is a licensed and regulated FinTech company which offers a mobile app and web platform designed to provide the easiest way to invest in DeFi using crypto or traditional currencies.
Yield’s app and web platform enables users around the world to earn high returns from DeFi products without having to go through a lengthy, complex, and often costly learning process. Operating under a banking license, Yield offers an insured investment fund managed by a team with years of experience in FinTech and cyber security. At the core of its strategy is the YLD token, which rewards community members and allows them to boost their APY.
We continue to include Yield in our monthly Moonshot portfolio and in the last few weeks Yield has seen its fully diluted market cap decline from a reasonable $217 million to $90 million. However their growth continues at a relentless pace with funds under management increasing from $140m to $200m in a little under 3 weeks — that’s a 40% increase. This is a perfect time to increase your holding of Yield at what we believe is a substantial discount to its true worth.
How to buy
You can buy Yield through Bithumb and Uniswap. There are two cryptocurrencies with the ticker YLD so be careful to select Yield App.
If you find Yield an interesting proposition listen to our Inside Track podcastwhere we speak to the founder of Yield App. This provides a good insight into the project as well as his views on the market in general. Listen here.
SYLO is the operator of the SYLO smart wallet, which has over 250,000 users.
The Sylo Protocol provides confidential communication as a utility to the Sylo Confidential Communication App. The protocol acts as the confidential networking layer for the Sylo App, creating P2P connections and providing a way for users to interact and exchange data confidentially.
Sylo is a decentralized communication and data exchange network powered by a layer 2 micro payments infrastructure and the SYLO token. User-run Service Peers provide infrastructure to the network which allows developers and businesses to run privacy-first, unstoppable apps without deploying any infrastructure of their own. A staking architecture and unique probabilistic ticketing solution ensure minimal transaction fees and limitless scalability. This scalability is already on show within the project’s flagship app, the Sylo Smart Wallet.
Like Yield we continue to include SYLO in our monthly Moonshot portfolio and in the last few weeks it has seen its fully diluted market value halve to $52 million. Sylo is still a quality project and with its current price over 60% off it’s all time high it represents a unique buying opportunity.
How to buy
You can buy SYLO through Bittrex and Kucoin.
We have been longtime supporters of PLOT and the project has only become stronger with time.
PLOT is a prediction market platform that enables users to earn rewards on high-yield prediction markets.
Dubbed as the Uniswap of Prediction Markets, PlotX uses an Automated Market Making algorithm to create, settle markets and distribute rewards without any counterparty risk. Markets are focused on crypto pairs like BTC, ETH, YFI, etc, and are automatically created in intervals of 4 hours, 1 day, and 1 week.
PLOT has seen its fully diluted market cap tumble from $61 million to $23 million despite PLOT launching its new platform on Polygon and attracting an influx of new business with 10,000 predictions in only its first 10 days. Valued at under 20% of its nearest competitor Augur we believe now is a prime opportunity to buy into PLOT.
How to buy
You can buy PLOT through Uniswap and AEX.
Polkastarter is a blockchain platform designed to provide an easy to use launchpad for cross-chain token pools and auctions. It is most commonly used by early-stage blockchain projects that want to raise capital and easily distribute their tokens at the same time.
Through Polkastarter, blockchain projects can easily create their own cross-chain swap pools, which allow them to securely raise funds, while users can invest without risks, since swaps are automatically executed by smart contracts.
Polkastarter’s main offering is its fixed swap smart contract, which allows projects to easily launch liquidity pools that execute orders at a fixed price — rather than using the AMM model made popular by Uniswap.
The platform first went live in December 2020, and has quickly grown to become one of the most commonly used platforms for initial DEX offerings.
Only two weeks ago Polkastarter had a fully diluted valuation of $295 million which we believed at the time undervalued the platform and its prospects. That value now stands at $172 million. Previously we had set a price target of $12, that figure hasn’t changed making this an excellent buying opportunity.
How to buy
You can buy Polkastarter through Binance.
It has been described as one of the most invaluable resources in the world of altcoin investing. We couldn’t agree more. Download your free micro cap watch list from our website hereand receive it in your inbox every Friday.
CertiK is a pioneering blockchain security firm that uses a cross-chain protocol with security scoring and decentralized reimbursements for building secure dApps.
Blockchain projects can receive security insights from its Security Oracle, which provides real-time guards of on-chain transactions and identifying and flagging a wide range of malicious vulnerabilities before they occur.
Depending on the level of the security score, audited blockchain projects of any protocol may be eligible for a CertiKShield membership, which is a flexible, decentralized reimbursement system for any crypto asset that is irretrievably lost or stolen due to security issues. CertiKShield memberships are open to all community members of these eligible blockchain projects, providing a safety net to holders of crypto assets in case anything unexpected happens.
CertiK has been at the forefront of crypto investor interest recently after auditing the memecoin SafeMoon. With the exponential growth of DeFi on Binance Smart Chain and in general there should be a continued demand for projects that require auditing and as importantly, insurance cover. CertiK is in a prime position to build a significant share of this insurance market competing directly with the likes of Nexus Mutual which has a $690 million market cap.
The main risk is the unregulated nature of DeFi and the possibility that governments will start coming down hard on projects which claim to be decentralized but still have an element of central control.
We tipped CertiK in last week’s Micro Cap Watch List and since then it has already seen a decline in value to $130 million. This is an opportune time to buy into a quality project at such an affordable valuation.
How to buy
You can buy CertiK through Binance.
Strike while the iron is hot
Remember that there is never a good time to buy any asset during a market downturn; there is always the distinct possibility that the price will fall some more. The overriding consideration has to be two fold; firstly, do you believe in the project? And secondly, is the valuation reasonable? With that settled you must strike when the iron is hot. The iron isn’t going to get much hotter than now.
Not Financial Advice
This article does not constitute financial advice or a recommendation to buy in any way. Always do your own research and never invest more than you can afford to lose. Investing in cryptocurrencies is high risk, and you could lose 100% of your investment. The article should be treated as supplementary information to add to your existing knowledge.