3 underrated crypto investments to maximize profits

Finding undervalued cryptocurrencies can be a difficult proposition, as pump-and-dumps, scams, and questionable investments abound. You can put your money into various cryptocurrencies and hope for one or two big wins, but it’s better to consider where practical applications meet consumer enthusiasm.

Each of these three undervalued cryptocurrencies is advancing with significant tailwinds despite widespread crypto skepticism. And in both cases, the current valuations of cryptocurrencies are surprisingly low considering their near-term appreciation.

Bitcoin (BTC)

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Bitcoin (CCC:BTC-USD) is unlikely to be underestimated by most standard metrics. In fact, Bitcoin is probably the least undervalued cryptocurrency available. Its size, popularity, and name recognition all combine to make Bitcoin a name in cryptocurrencies. But this week’s series of Bitcoin ETF announcements illustrate key points that, when we look back more than a decade later, today’s valuations will look undervalued by comparison.

While spot ETFs don’t significantly change Bitcoin’s value proposition (in fact, I would argue that they subvert the core tenets of cryptocurrencies), the access they provide has led to record cash inflows into Bitcoin. It is true that you are more likely to see . Less than 20% of Americans use cryptocurrencies as an investment vehicle, and bad reputation and difficulty navigating exchanges can leave some of your investment money on the sidelines. But now even the most conservative asset and retirement managers are likely to allocate some amount of client capital. Even if it’s just a token (pun intended) investment, small inflows add up. This is doubly true for investors looking for a “buy-and-hold” angle rather than pump-and-dump.

Whether or not Bitcoin’s utility is fully realized, this week’s developments mark a major milestone for the crypto world and for investors fighting to find undervalued cryptocurrencies.

Decentraland (MANA)

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Decentraland (CCC:Mana – US dollar) is an in-game cryptocurrency used to buy and sell within a Metaverse-style ecosystem. And given the momentum of Web3 gaming, MANA definitely ranks among the top undervalued cryptocurrencies at a price well below $1. In 2022, the global blockchain-based gaming market will total more than $4.5 billion, and its future value is estimated to reach $65 billion by 2027. There is likely to be a gold rush within blockchain gaming platforms, and Decentraland is one of them. Some of today’s top picks.

Decentraland also recognizes the utility of expanding its in-game services. Last year, the company announced a cross-chain upgrade that allows players and users to utilize other cryptos besides MANA in-game. Counterintuitively, this move could help keep players within the decentraland ecosystem, even if it puts pressure on MANA’s pricing in the short term.

Sandbox (SAND)

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of sandbox (CCC:sand-usd) is another undervalued cryptocurrency that is positioned to capture the large emerging blockchain gaming sector.companies like playboy (NASDAQ:PLBY), Atari, and Ubisoft (OTCMKTS:UBSFY) has already claimed rights within the Metaverse gaming platform.

At the same time, a diverse range of celebrities and wealthy individuals exist within the sandbox, including Snoop Dogg, Gordon Ramsay, The Smurfs, and Deadmau5. While many have criticized the Metaverse “real estate” boom of the past for being bumpy, the reality is that platforms like The Sandbox (along with other advertising spaces) have seen more and more users coming to the platform. It will become a popular item as it gathers. Similarly, the value of the in-game currency would skyrocket, resulting in a huge backlash for SAND investors.

If you are good at technical analysis, Analyst’s points SAND’s current pricing is right in the “recession” phase of the average investment cycle. This means that a rebound for the undervalued cryptocurrency could be just around the corner.

On the date of publication, Jeremy Flint had no positions in the securities mentioned. The opinions expressed in this article are those of the author and are subject to InvestorPlace.com Publishing Guidelines.