How much could you have made with $100 invested in cryptocurrencies in 12 months?
It really boils down to which cryptocurrency you chose to invest in back in September 2020, but the potential profits from the top performers have been truly spectacular.
The numbers speak for themselves, and help to underpin the level of enthusiasm traders have for cryptocurrency. While we recognise that most investors are still risk averse, committing only a few hundred pounds – or dollars – at most, the profits have been large for those who have stuck with their cryptocurrency of choice in the last 12 months.
Here are what you could have made with $100 in 12 months from just the top five performers:
- Dogecoin – $8,635.47
- Binance Coin – $2,002.03
- Ethereum – $788.92
- Ripple – $421.48
- Bitcoin – $403.27
This can be contrasted with the performance of the highest performing stock, Moderna (NASDAQ:MRNA), which could have turned $100 into $602.52. Moderna, of course, leaped in value when it made its Covid vaccination breakthrough. Nine of the top 10 performing assets measured over the last 12 months were cryptocurrencies.
There have been some other blue chip stocks that did well in the last 12 months – for example, Nvidia, Apple and Zoom have all been great performers for traders. But they have not been able to compete with the stratospheric performance of Dogecoin, a cryptocurrency set up as a joke, and boosted by Tesla founder Elon Musk.
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Dogecoin was trading at USSD 0.002778 this time last year. It rose to hit a peak of 0.737 in early May, which still stands as its high point. It saw some selling in the early summer months, and has seen a few smaller rallies recently. At time
Binance Coin has also done well and is actually a coin that can be used to pay for things. Ethereum is obviously the most established of the top three performers, with a very large following, a high level of adoption and it is being widely touted as a successor to Bitcoin.
Bitcoin is not among the leaders, but it has still seen amazing growth. It is also still the Big Daddy of crypto thanks to its market capitalisation, and the coin that most institutional investors still favour.
Tesla has lost some ground
Tesla stock had been delivering comparable performance to investors going into the summer holidays. The share price slipped in February, eroding some of its earlier gains for investors over the 12 month time frame. It had been looking a little moribund in July and August. The Tesla stock price has been seeing some further growth in recent weeks, however, and at time of writing was trading at $75. It has delivered a return for investors over over 70% in the last year.
Dogecoin remains a favoured punt for both seasoned and newbie investors. The coin was in the news again this week, as New York Attorney General Letitia James shut down cryptocurrency exchange Coinseed Inc. This was because Coinseed was alleged to have violated the US Martin Act by changing customer funds into Dogecoin.
The Martin Act is considered to be one of the severest ‘blue sky’ laws in the US, applies in New York, and provides the Attorney General with huge powers to investigate potential fraud.