Crypto trader and analyst Ivan Liljeqvist is naming three altcoin gems that he believes have the potential to skyrocket next month.
On a new episode of The Moon with Carl Martin, the trader, who is also known as Ivan on Tech, says he’s personally holding PancakeSwap (CAKE), which is a decentralized exchange (DEX) that’s running on Binance Chain.
“I think soon PancakeSwap will be having more volume than Uniswap (UNI) Why is it so? Because on ETH (Ethereum), you have very high fees right now and the reason is because people who use ETH, they normally do big transactions. Look if you’ve done a 10x in your trade on Uniswap, you don’t care if the fee is $10 or $100, even $500 you’re okay with it because you just did a 10x…
Now Binance Chain, what they do now is that they create this niche, they carve out the niche for the community that does a bit lower volume transactions and there also you can have lower fees… People know it’s more centralized but they don’t care. Why? Because it’s the same functionality but just lower fees.”
In the last 24 hours, PancakeSwap’s trading volume stands at $1.04 billion compared to Uniswap’s $905 million.
The second coin on Liljeqvist’s radar is DEX aggregator 1inch. According to Ivan on Tech, 1inch has witnessed a lot of growth as it is within the top three most used decentralized finance (DeFi) app in the world.
“Why is 1inch used? Well because they aggregate DEXs. So if I want to do a large order, I don’t want to go straight to Uniswap. Why? Because it might not be liquid enough. If I go to 1inch, 1inch will aggregate liquidity from Uniswap, from SushiSwap (SUSHI), from all kinds of other different DEXs and I will get way better execution price…
The use case here is for people that do big transactions. If you do a big transaction, it doesn’t matter if you pay $100, $400, $600, if your execution price is better and you can gain $6,000 in better execution, it’s okay. So that’s why there are so many users using 1inch.”
The last coin on Liljeqvist’s list is layer-two blockchain scalability platform Matic which is now rebranded as Polygon.
“It is layer two and it is now getting adoption. Many, many projects that I know about are expanding to Polygon, ex-Matic. A layer two is the next frontier for this whole Ethereum space because the fees are very high… It’s good that we have, for example, Matic or Polygon now solving that.”
The crypto trader also highlights that Polygon is one of those layer-two solutions that is experiencing actual adoption.
Disclaimer: Opinions expressed at The Daily Hodl are not investment advice. Investors should do their due diligence before making any high-risk investments in Bitcoin, cryptocurrency or digital assets. Please be advised that your transfers and trades are at your own risk, and any loses you may incur are your responsibility. The Daily Hodl does not recommend the buying or selling of any cryptocurrencies or digital assets, nor is The Daily Hodl an investment advisor. Please note that The Daily Hodl participates in affiliate marketing.
Featured Image: Shutterstock/Zelenov Iurii