I took a closer look at how to identify a promising crypto, and honestly it's easier than you think if you know what to look for.

Basically, there are three essential things to check. First, does the project have real utility or is it just hot air? Because there's a big difference between a solid project and a simple meme coin without substance. I don't recommend throwing your money into Dogecoin or Shiba Inu just because they might go up. A promising crypto project should bring something concrete to businesses, people, or the financial system. It's like Apple, you know. If it works, it's because the products are good.

To verify that, look at the TVL (the amount locked in the blockchain) and the number of active users. If no one is using the thing, that's not a good sign.

Second point: the team behind it. It needs to be people who know what they're doing. You can check the whitepaper to see the quality of the project, and also look on LinkedIn to see what the founders did before. For example, the creator of Polkadot helped build Ethereum, so there you go.

And then third thing, the community. A good active community on X, Discord, or Telegram is a good indicator. Solana is a perfect example. Despite the FTX scandal, the community mobilized to revive the project. That shows that a promising crypto has potential.

Honestly, I had spotted several of these projects as early as 2023, and it paid off pretty well. XRP doubled, Cardano increased 2.5x, Polkadot and Polygon doubled. Even BNB, despite legal issues, finally did 2.4x in 2024. So yeah, in 2023 it was possible to position yourself well.

Now let's look at 2024 and what could be interesting.

Avalanche is definitely a project to watch. The blockchain really took off in 2023, even making it into the top 10 biggest cryptos. The idea is to allow developers to create decentralized applications quickly and easily. Avalanche's strength is speed, scalability, and ease of use. And it's not just marketing—major projects like AAVE and Chainlink actively support the blockchain. AVAX already tripled in 2023, currently around $9.52, so there's still room before reaching previous highs.

Cardano is another solid candidate. Launched in 2015 by a co-founder of Ethereum, it's an open-source blockchain designed for decentralized applications. The project's goal is clearly to become a serious alternative to Ethereum, hence the nickname "Ethereum Killer." It's a real challenge, but the project has the resources. ADA is currently at $0.26, so it's still accessible.

These two projects are really promising cryptos to consider if you're looking for serious positions in the coming months. The key is to do your research carefully before investing.