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Bitcoin and Co. in 2022: Which Assets Have Lost the Least?

The combined market capitalization of all cryptocurrencies shrank from $2.3 trillion at the beginning of the year to currently just over $800 billion, which clearly demonstrates the losses across the board. Hardly any expert expects a quick turnaround and therefore it is even more true: Without own research, it is a gamble to filter out the altcoins that manage to develop their own momentum in a cloudy environment.

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Now it’s the perfect time to take a look at price developments and trends in the crypto year 2022. As the leading currency Bitcoin (BTC) with 60 percent minus since January 1st already indicates: real winners were absolutely scarce. In most divisions, it’s all about identifying the stocks that were able to cut into their losses compared to the competition.

  • DeFi and Ethereum (ETH): the world’s second most valuable cryptocurrency after Bitcoin was unable to buck the trends, Ethereum slid nearly 70 percent since New Year’s Day despite the seminal protocol change (“The Merge”). But in the Decentralized Finance (DeFi) division, Lido Staked Ethereum (stETH) is able to defend its market leadership: stETH currently has a market capitalization of around 5.7 billion US dollars, a drop of “only” around 4 percent relative to the beginning of the year. stETH from Lido is thus the most successful token backed by Ethereum contributed for staking. It will be exciting when stETH can also be exchanged back into “normal” ETH from probably March 2023.

Still encouraging in DeFi: The token of the most important decentralized crypto exchange UniSwap (UNI) recorded “only” 48 percent minus in market capitalization in 2022 and in the case of the DeFi stablecoin DAI, the losses in market capitalization remained limited to 42 percent. This shows that DeFi is not a quitter.

  • Trust Wallet Token (TWT): Among the 100 most capitalized cryptocurrencies in the world, Trust Wallet Token is the coin that managed the biggest gains. As of January 1, TWT was still trading at $0.71; the current levels of just over $1.50 represent more than 100 percent gains. Trust Wallet Token was launched by crypto exchange Binance in early 2021, and TWT is a ballot in the self-governance of the project. The Trust Wallet as a software solution for the safe storage of Bitcoin and Co. received influx also because the crash of the crypto exchange FTX showed how important it is to have crypto assets under control yourself and not to store them with crypto exchanges for a long time.
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Other coins with gains: GMX as a token of the eponymous DEX (Decentralized Crypto Exchange) made 100 percent plus in 2022. LEO with still 6 percent plus in 2022 is also a native token of a crypto exchange, here of Bitfinex, a centralized provider.

  • Dogecoin (DOGE) and other meme tokens: Not least due to the Twitter takeover by “Dogefather” Elon Musk, Dogecoin was able to experience some rallies of its own in the meantime. The bottom line remains that DOGE is down around 55 percent in 2022, more than holding its own against Bitcoin. The self-proclaimed “Dogecoin killer” Shiba Inu (SHIB) could not keep up, with losses in 2022 for SHIB adding up to about 75 percent. ELON (Dogelon Mars), as a meme coin, alludes to Elon Musk and DOGE at the same time, but this did not protect it from a good 80 percent minus this year.
  • Crypto stocks: the financial services provider Block was formerly called Square and has a focus on cryptocurrencies. The stock, with the symbol SQ, is down about 55 percent in 2022, which still left Block comparatively well off as a crypto-related exchange-traded company. COIN shares of crypto ransom Coinbase lost 85 percent in value since Jan. 1. MicroStrategy (MSTR), as a pioneer among NASDAQ companies with a focus on long-term investments in Bitcoin, was down a good 60 percent this year.
  • Classic Alternatives: Credit card giant Visa continued to be more open to the crypto industry in 2022 than its big rival Mastercard. The stock, with the abbreviation V for Visa, came away with about 5 percent down in 2022, compared to nearly 7 percent for Mastercard (MA). Western Union (WU), as one of the major financial service providers specializing in international money transfers, lost about 26 percent in share price this year.

Bottom line: crypto markets in 2022 for investors with lots of bitter pills

You had to look for a needle in a haystack in the crypto year 2022 to find the altcoins that demonstrated sustainable profit opportunities. The combined market capitalization of all cryptocurrencies shrank from $2.3 trillion at the beginning of the year to currently just over $800 billion, which clearly demonstrates the losses across the board. Hardly any expert expects a quick turnaround and therefore it is even more true: Without own research, it is a gamble to filter out the altcoins that manage to develop their own momentum in a cloudy environment.

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(Featured image by sergeitokmakov via Pixabay)

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First published in BLOCK-BUILDERS.DE, a third-party contributor translated and adapted the article from the original. In case of discrepancy, the original will prevail.

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Michael Jermaine Cards is a business executive and a financial journalist, with a focus on IT, innovation and transportation, as well as crypto and AI. He writes about robotics, automation, deep learning, multimodal transit, among others. He updates his readers on the latest market developments, tech and CBD stocks, and even the commodities industry. He does management consulting parallel to his writing, and has been based in Singapore for the past 15 years.