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While Bitcoin (BTC USD) may be risky enough for most of us, but there are some cryptos for risk-tolerant investors that are in for even greater volatility. These digital assets are often relatively new entrants to the crypto market with unproven use cases and small market capitalizations. Their prices can fluctuate widely due to factors such as speculation, regulatory uncertainty and general sentiment.
These highly volatile cryptocurrencies can be tempting for investors looking for potentially high returns, but they also pose significant risks. Their values can decline quickly, resulting in significant losses. Additionally, many of these digital assets lack the robust infrastructure and adoption found in more established cryptocurrencies like Bitcoin.
However, investing a small portion of one’s portfolio in these cryptos could yield significant returns for risk-tolerant investors. I am absolutely optimistic about the market outlook this year, which could be beneficial for everyone. So here are three coins you should consider purchasing.
Render Token (RNDR-USD)
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usage of ether (ETH-USD) Blockchain, Render tokens (RNDR USD) enables secure and efficient exchange of GPU computing power for digital rendering tasks. At the time of writing, the token has risen from $3 in January to around $11. The massive trading momentum and trading volume shows that it is one of those risky cryptocurrencies that the bulls are buying up in droves.
However, not all RNDR price increases are speculative. 2023 marked a significant phase for RNDR with the Introducing a new burn and mint model after a community vote. This model aims to optimize the economics of the token and its utility within the network.
RNDR is sometimes also stylized as Nvidia (NASDAQ:NVDA) of crypto. This is thanks to generative AI and decentralized GPU computing technologies, as well as growing market capitalization and valuation.
For this reason, it is one of those high-risk tokens that every bull should have on their watchlist.
Solana (SOL-USD)
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Known for its high throughput and low transaction costs, Solana (SOL USD) is a strong candidate for decentralized app development despite previous stability issues. SOL has also risen to over 100,000 $179 per coin At the time of writing, it also has the sixth largest trading volume of all coins tracked by CoinMarketCap.
Key initiatives for 2024 include the launch of token extensions for complex tokenomics, the launch of Firedancer (a new validator client to improve network throughput and efficiency), and the development of Runtime v2 to improve network performance. These plans appear to have caused investors to be very optimistic about SOL’s future prospects.
The platform’s total value (TVL) exceeded $2.5 billion this month, with total revenue reaching $5 billion. Additionally, the NFT ecosystem on Solana reached new milestones with a record sales volume of $5 billion and over 3.8 million transactions.
The risk with SOL is uncertain, but it is certainly one of those cryptocurrencies for risk-tolerant investors.
Avalanche (AVAX-USD)
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avalanche (AVAX-USD) provides a compelling platform for developers, especially as it aims to solve scalability issues encountered in other blockchains.
Because of this, AVAX is high risk Largest token unlock operation In its history, the company has recently released approximately 9.54 million AVAX, valued at approximately $320 million. Such token unlocks are crucial in adding liquidity to the market, but can also increase selling pressure as early investors may look to make profits.
Despite its selling pressure, it is among the top 20 most traded coins tracked by CoinMarketCap and has also increased significantly in value, rising to $56 from around $40 at the end of 2023.
Looking to the future, the focus is on technical improvements such as: B. shortening transaction finality time and introducing optimistic fast finality. The goal is to usurp Ethereum’s dominance in the market, which is a risky proposition, but it is one of those coins that bulls can’t get enough of.
At the time of publication, Matthew Farley did not hold (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed are those of the author, subject to InvestorPlace.com Disclosure Guidelines.