Last Updated on October 4, 2022 by
The crypto market never stops to surprise its followers. With constant ups and downs, each person involved in crypto can find the path that will lead them to prosperity. Besides, the crypto market has evolved enough to adjust to any conditions. Statistically, all crypto markets grow every year, and every several months you are able to catch highs and lows. A lot of coins have matured, too, in order to provide the best user experience in any market situation. In this article, we will look into the current crypto market state and what can possibly be done to amplify one’s crypto gains.
Table of Contents
- What’s going on with the crypto market right now?
- How to benefit from the current market situation?
- Which crypto coins to take a loan in?
- NANO (XNO)
- DigiByte (DGB)
- Shiba Inu (SHIB)
- Cardano (ADA)
- Dogecoin (DOGE)
- Ravencoin (RVN)
- FIRO (FIRO)
- Monero (XMR)
What’s going on with the crypto market right now?
At the beginning of January 2022, the crypto market entered a bearish trend and thus almost all crypto coins have suffered a significant price reduction. For instance, the Bitcoin price has fallen by almost $20 000 during January (from $47 000+ to $30 000+), which was the cause for panic for some investors. Ethereum, too, has shown a fall in price from $3 700+ to $2 200+.
At the moment of writing this article (February 8, 2022) the crypto market has shown a comeback from the recent drawdown and the trend has changed from bearish to bullish. This might be great news since almost everyone loves seeing their favorite coin grow in price.
The Bitcoin price has restored and updated the local maximum, reaching $45,000. At the moment of writing this article, the BTC price is $43 725, but small corrections are quite a common phenomenon during the change of trends.
Judging by the recent events, the market has entered the bull phase, which is a loud call for action for all the crypto believers. Making money, which is the goal of 90% of crypto investors, is easier in the bull market than in the bear one. Right now all of us have the perfect opportunity to catch a profit with the help of crypto-backed loans, for example.
How to benefit from the current market situation?
First of all, it is sometimes hard to understand what to do when the market is constantly going down or is stuck in a flat position, and what are the perks to catch here, especially if we are talking about crypto loans.
Everything is quite clear with the bull market. One of the most common use cases is to collateralize your crypto asset, take out a loan and buy more crypto assets. This way when the prices go even higher (and they will since the market is bullish), you make some decent profit. Then you return back the loan, pay back the APR, and keep the rest of the profit.
There is still a risk of the crypto market going down again, but this probably won’t happen since it’s been down for quite a long time already. The cycle should be over by now, and only small corrections are possible, which won’t affect one’s profit since our loans are unlimited in time. You can close them and get your collateral back at any time, there is absolutely no rush and FOMO.
One may wonder what defines a crypto coin that can be used successfully and with no risks for collateral. We made the ultimate list not so long ago, but right now we’re going to expand it a little and give more insights on each coin.
Which crypto coins to take a loan in?
NANO (XNO)
Nano cryptocurrency has truly overtaken the hearts of many crypto investors. It has some awesome features that make it one of the fastest, most secure, and fee-less blockchains on the market besides being one of the first eco-friendly cryptocurrencies. Nano (XNO) had two rebrandings already, which means that the coin is constantly evolving and improving its technologies for the sake of its community and believers.
Since NANO reached its $17.49 All-Time-High on Jan 02, 2018 (4 years ago), the asset has a huge potential and room for growth. All the foundation updates show that the team is focused on long-term development, and it seems to us that taking out the XNO loan is a great way to earn money.
DigiByte (DGB)
DigiByte is a rapidly growing open-source blockchain created in late 2013 and released in early 2014. The project focuses on cybersecurity and scalability in order to compete with coins like XRP or Litecoin.
DigiByte focuses on decentralization and security. It is a really fast blockchain that can solve issues in peer-to-peer commerce as well as secure dApps (decentralized apps) and prevent cyberattacks.
It was announced recently that DGB will get its own Metaverse. This project aims to create an open and transparent ecosystem strengthened with the utility token $DGMV. The DigiMetaverse will help investors, enterprises, communities, individuals, and brands to deliver value and find like-minded business experts and partners as well as unlock business value for everyone and everywhere in the world.
With all that, DGB loans are a great way to amplify your portfolio and gain a lot on the rising market.
Shiba Inu (SHIB)
Shiba Inu coin is an Ethereum-based altcoin (this is the definition for all the crypto coins other than Bitcoin) that was created in August 2020 by an anonymous individual or group called “Ryoshi”.
In October 2021 Shiba Inu coin reached its All-Time High of $0.00008845, only after a year and a month since its creation. This price growth was really tremendous! And just today (February 8, 2022) we saw another 50% price growth after a long period of calm.
Shiba Inu announced in late January that Shiberse is going to be created, which will be another component of the SHIB ecosystem and another fascinating experience with the Metaverse trend.
Besides, just lately it was announced about SHIB partnership with Welly’s, which means that Shiba Inu is not just a memecoin, but a legitimate payment method. SHIB adoption is taking over the planet! Right now it’s the best time to buy more Shiba Inu coins (you might want to take out a loan for this) to avoid biting elbows in the future!
Cardano (ADA)
Cardano saw the light in 2017 and there is some historic background for such a name as well as for the ticker ADA. At the moment of writing this article, the supply in circulation has reached 33 553 038 606 ADA, and the price stays at the $1.18 mark. The All-Time High was reached around 5 months ago, in September 2021, at $3.10.
Cardano blockchain is a flexible, sustainable, and scalable platform that can be used to build smart contracts. It is also more robust, secure, and highly energy-efficient. Its key features make Cardano one of the most perspective coins on the market in 2022, which is why collateralizing Cardano is a great way to wait for the price growth and make more money at the same time.
Dogecoin (DOGE)
While DOGE is often called a “Meme Coin” it’s a widely known fact that it has globally famous followers among its holders like Elon Musk, Ben Phillips, Angela White, Mark Cuban, and even Mia Khalifa, and is regularly supported by them. It definitely reflects that these celebrities believe in DOGE potential, and there is something huge behind this currency, not just a “Meme”.
The All-Time High was reached in May 2021 at $0.7376.
For CoinRabbit, DOGE lending ensures that any DOGE owner can get an immediate loan without switching to other currencies. A Dogecoin loan service will guarantee the protection of all Bitcoin and Ethereum holders concerned about the instability of these assets.
Ravencoin (RVN)
Ravencoin is a digital peer-to-peer (P2P) network that aims to implement a use case-specific blockchain, designed to efficiently handle one specific function: the transfer of assets from one party to another. It was named in reference to the TV show Game of Thrones.
Also, RVN reached its All-Time-High on Feb 20, 2021 (almost 12 months ago) which means it has at least 62% of growth potential since its price on Nov 06 was fluctuating around $0.107. At the moment of writing this article (Feb 8, 2022), the RVN price is $0.0739.
Crypto loans such as instant RVN loans allow crypto enthusiasts to beat market volatility challenges by depositing their cryptocurrency and receiving crypto loan amounts in the form of stablecoins for immediate usage.
FIRO (FIRO)
Firo (FIRO), formerly known as Zcoin, is a cryptocurrency that focuses on being private digital cash. It created the Lelantus privacy protocol which allows users to burn their coins and redeem them later for brand new ones that do not have any transaction history. Firo was rebranded from Zcoin in October 2020.
FIRO reached its All-Time High in September 2017 at $169.99. Today the price dropped to $2.75. What a great time to take out a loan and amplify your portfolio by buying the dip right now!
Monero (XMR)
Monero was launched in 2014, and its goal is simple: to allow transactions to take place privately and with anonymity. Seven developers were initially involved in creating Monero — five of whom decided to remain anonymous. There have been rumors that XMR was also invented by Satoshi Nakamoto, the inventor of Bitcoin. One of the project’s biggest aims is achieving the greatest level of decentralization possible, meaning that a user doesn’t need to trust anyone else on the network.
Monero reached its All-Time High in May 2021 (9 months ago) at $517.62. Right now the coin is trading at $178.03, meaning that it has still a lot of potentials to unlock! With the help of our XMR loans, you can be the one to take all the profit in the near future.
Why take out a crypto-backed loan?
Taking crypto-backed loans at CoinRabbit has more different opportunities and provides wider adoption of the currency. Here are some capabilities:
- Unlock the value of your holdings without selling or switching to other currencies
- Spend received loans whatever you want. Let it be daily purchases or reinvestments
- No time frames. Repay the loan whenever you want, let it be in 1 year or in 1 month
- The APR is 14%
- No KYC required
- You only need your phone number to get the funds
- 24/7 customer support is always at your back
Possible risks of crypto loans
Though crypto-backed loans are great and powerful tools like any other financial activity, taking crypto-backed loans has its own risks. We would like to share some important points you should know and/or constantly monitor:
- There is a liquidation price of all collaterals. You should be aware of your collateral currency price fluctuations. If your collateral currency reaches its liquidation price it will be sold instantly. This is the ONLY reason to lose your collateral
- We will notify you multiple times before selling your collateral as it reaches liquidation price. The best thing you can do to avoid it is either buy your collaterals back by repaying the loan amount + accumulated APR or deposit more funds to reduce your liquidation price
- Our LTV (Loan-to-Value) is 50% which means your collateral price should drop by 50% before being sold. Still, you have to keep an eye on it closely
- The best time to take crypto-backed loans is when you believe that the currency price is going to grow in the future (no matter the time term). One more tip is to get loans when you think its “a dip” already
- Statistically, the market grows further every year. That’s why we suggest choosing mid-term and long-term loans to increase potential returns and reduce the risks
- Do not use highly volatile currencies as collateral
- Take everything moderately, let it be investing, holding, or taking crypto loans. Do not overextend
Final Thoughts
While a 20% increase in market prices is often regarded as the start of a bullish trend, most signs of an impending bull market are not that clear. However, we believe that crypto-backed loans can take your crypto experience to the next level, and right now is the best time to start!
