Investing in cryptocurrencies in 2025, is it still worth it? Bitcoin, Ethereum or Solana: these are the factors that matter.
Leon Bensch / t-online
An article from
While the world of finance is constantly evolving, few innovations have attracted as much attention as cryptocurrencies. Bitcoin, Ethereum, Dogecoin – terms that almost everyone knows. However, a central question arises: are cryptocurrencies a profitable investment for your wallet in 2025? And which cryptocurrencies will dominate the market like bitcoin?
What are cryptocurrencies and blockchain?
Cryptocurrencies are digital currencies based on blockchain technology. A blockchain is a decentralized database that documents transactions securely and transparently. Unlike traditional currencies, cryptocurrencies are not controlled by a central bank. They thus enable direct digital transactions between users.
Their popularity is growing rapidly, as they promise independence, security and high returns. Additionally, cryptocurrencies are seen as a kind of digital gold that could serve as a hedge against inflation. It is above all bitcoin, the first cryptocurrency, which has established itself as a store of value. But more recent projects, such as Ethereum, Solana or Fetch.ai also offer innovative types of applications, particularly in the areas of DeFi (decentralized financial services), NFTs (digital collectibles) and artificial intelligence.
What investors should pay attention to
The cryptocurrency market can be lucrative, but also very volatile and risky, says Zennon Kapron, founder and director of Kapronesia, a leading Asian consultancy in the financial technology sector. Here are the criteria to take into account before investing in cryptocurrencies:
- Market capitalization and trading volume: they give indications about the stability and acceptance of a cryptocurrency.
- Technology and types of applications: Does cryptocurrency have a clear purpose or does it solve a specific problem? Projects like Ethereum and Solana win points in this regard thanks to their decentralized applications and scalability.
- Team and development: developer competence and network activity are essential.
- Regulatory conditions: Cryptocurrencies are monitored by governments and financial supervisory authorities around the world.
- Your own risk profile: how much risk can and do you want to take? Cryptocurrencies should only make up part of your wallet.
Comparison: Top 5 best cryptocurrencies for 2025
There are thousands of cryptocurrencies that can be bought and sold on exchanges. To determine the best cryptocurrencies of 2025, bitcoin expert Zennon Kapron, author of the book «Chomping at the Bitcoin: The Past, Present and Future of Bitcoin in China» (untranslated), focused on a mix of market metrics, innovation and real profit.
Key considerations included market capitalization, price action and trading volume, and each project’s ability to address the challenges of the blockchain ecosystem.
Bitcoin (BTC)
Price as of January 24, 2025 at 10:15 a.m.
-- Peak in 52 weeks: 109 460 dollars
- Market capitalization: $1.9 trillion
- Benefits: Bitcoin is a pioneer and is considered “digital gold”. With a fixed number of 21 million coins, it provides protection against inflation. Institutional investors like MicroStrategy continue to invest heavily in bitcoin. So far, national adoption of a bitcoin standard is limited to countries like El Salvador. If the United States continues to legitimize bitcoin and institutional demand maintains, this could push the value of bitcoin to new highs in 2025.
- Disadvantages: Its high energy consumption and slow transaction time compared to newer blockchains.
Ethereum (ETH)
Price as of January 24, 2025 at 1:26 p.m.
- Peak in 52 weeks: 4 109 dollars
- Market capitalization: $383 billion
- Benefits: The platform for decentralized applications is at the forefront, especially in the field of DeFi and NFTs. Improvements such as moving to proof of stake make Ethereum more environmentally friendly. As the Ethereum ecosystem is constantly evolving, the platform is well-positioned to maintain its influence in the crypto space.
- Disadvantages: It competes with cheaper alternatives like Solana.
Solana (SUN)
Price as of January 24, 2025 at 1:26 p.m.
- Peak in 52 weeks: 295 dollars
- Market capitalization: 90 billion dollars
- Benefits: Extremely fast and advantageous transactions. Particularly suitable for games, NFTs and DeFi projects. With ecosystem developments and partnerships underway, Solana will remain an important player in the cryptocurrency landscape in 2025 and offer a viable alternative to projects seeking scalability and profitability.
- Disadvantages: Several network outages in 2024 have called into question its reliability.
Fetch.ai (FET)
- Peak in 52 weeks: 2,49 euros
- Market capitalization: $3.28 billion
- The advantages: Its focus on artificial intelligence and automation. With the rise of AI in 2024, Fetch.ai has gained attention for its practical applications, including smart city infrastructure and supply chain automation.
- Disadvantages: It’s one of those niche projects that relies heavily on the AI craze.
Dogecoin (DOGE)
Price as of January 24, 2025 at 10:16 a.m.
- Peak in 52 weeks: 0,48 dollars
- Market capitalization: $50.1 billion
- Benefits: Wide acceptance as a payment method and strong community support. Personalities like Elon Musk ensure permanent visibility.
- Disadvantages: Lack of technological innovation compared to other projects.
Is it worth investing in crypto in 2025?
2025 could be a decisive year for cryptocurrencies. But we must not forget that cryptocurrencies do not only offer opportunities, they also carry risks. The famous digital currency bitcoin remains a reliable choice for conservative investors who think long-term, concludes cryptocurrency expert Zennon Kapron. Ethereum remains the champion of innovation and diversity of uses, he adds. And For investors willing to take risks, Solana and Fetch.ai could be attractive alternativeswhile Dogecoin remains a speculative and rather entertaining cryptocurrency.
Investors should always be aware of the risks inherent in investing in cryptocurrencies. Even if the positive development is expected to continue for some time thanks to the new President Donald Trump, prices could fall sharply in the event of negative economic developments or increased regulatory control.
Consumer advocates warn novices against high instability (price fluctuations) and speculative risks. Tip: Only invest what you are willing to lose. Cryptocurrencies should not represent more than 5% of your budget. In addition, it is important to carefully inform yourself about cryptocurrencies and, if necessary, seek advice from a financial advisor.
Who should not invest? Those who hope for quick gains or who cannot afford to lose should not touch cryptocurrencies. Patience and a clear strategy are essential.
Translated from German by Anne Castella
