Although the crypto market has been off to a rocky start this year, 2025 could still be one of the most important years in the history of cryptocurrency. We're featuring the top five coins for 2025 to help you decide between the countless crypto assets available on the market today.
Skipping Bitcoin to Focus on Altcoins
Before we continue, we should note that we're deliberately skipping Bitcoin in this article as we wanted to put more of a focus on altcoins. Despite this, Bitcoin remains the best choice overall if you're looking to invest in crypto.
XRP: A Resurgence in a Friendly Regulatory Environment
The first coin we're featuring is XRP, a cryptocurrency that has seen an impressive resurgence after Donald Trump's victory in the US presidential election brought expectations of a much more friendly regulatory environment for crypto.
"So on day one I will fire Gary Gensler and appoint a new SEC chairman."
This has increased the chances of Ripple definitively winning its legal battle with the SEC and has also improved the odds of an XRP ETF launching in the United States.
XRP's Fundamental Strength
There are, of course, also reasons to be excited about XRP from a more fundamental standpoint. Although the XRP Ledger doesn't support smart contracts in the traditional sense, it can still support a range of use cases, especially when it comes to tokenization.
Ripple has launched a US dollar-backed stablecoin called Ripple USD, which is live on both the XRP Ledger and Ethereum. The stablecoin is already available on a few leading exchanges, including Bitstamp and Bullish, but it has plenty of room for growth as it is yet to be adopted by the biggest industry players such as Binance and Coinbase.
Tokenization and Real-World Asset Adoption
The XRP Ledger is also becoming a hub for the tokenization of real-world assets. For example, the RWA platform Open Eden has launched a tokenized US Treasury bill product on the XRP Ledger. Shortly afterward, Ripple committed $10 million to Open Eden’s tokenized treasury offering.
In addition, Ripple teamed up with ARX to launch tokenized shares of Aine’s US dollar liquidity fund. Ripple has also established a partnership with RWA tokenization platform Ando Finance to bring a tokenized US Treasury product to the XRP Ledger.
BitTensor: AI Meets Blockchain
Next up on our list is BitTensor, which is a decentralized network that enables a peer-to-peer marketplace for machine intelligence.
The Role of BitTensor in AI and Crypto
BitTensor is composed of multiple subnets, each tailored to specific functions such as text prompting, transcription, audio generation, and even Bitcoin price forecasts. At present, 71 BitTensor subnets are actively operating.
BitTensor uses a unique consensus mechanism known as Yuma consensus, which enables validators across various subnets to influence and direct the network's learning process.
BitTensor's Recent Developments
BitTensor's native token, TAO, has been holding up relatively well recently despite a broader selloff in the altcoin markets. The BitTensor ecosystem is steadily receiving improvements, with one of the most notable upgrades being the introduction of an EVM compatibility layer, which makes BitTensor capable of interacting with Ethereum smart contracts.
When it comes to more recent upgrades, the Dynamic TAO proposal has boosted the functionality of BitTensor subnets and made it possible to invest in individual subnets, which could incentivize fresh capital to enter the BitTensor ecosystem.
We're also constantly seeing an influx of new subnets with specialized functions. For example, the Prog subnet provides high-frequency Bitcoin price forecasts that can be leveraged by traders. If you're interested in the intersection of AI and crypto, BitTensor is definitely worth strong consideration.
HyperLiquid: A High-Performance Decentralized Trading Platform
Now let's move on to HyperLiquid, a high-performance decentralized derivatives trading platform that has taken the crypto trading industry by storm.
HyperLiquid’s Advanced Trading Features
HyperLiquid functions on a specialized Layer 1 blockchain and enables decentralized trading with competitive fees and low slippage. Thanks to the focused design of the HyperLiquid blockchain, the platform can handle approximately 100,000 orders per second, resulting in a trading experience similar to using a centralized cryptocurrency exchange.
HyperLiquid is rapidly approaching $1 trillion in cumulative trading volume, which would be a huge achievement for a decentralized trading platform.
The Rise of HYPE Token
The project's HYPE token, which was launched in late November 2024 through a very well-received airdrop, has advanced to the 23rd spot in the cryptocurrency market cap rankings, which is impressive for a new entrant to the market.
HYPE holders can stake their tokens to receive rewards while simultaneously boosting the security of the HyperLiquid platform. With continued improvements to the platform, such as the launch of the HyperEVM, we wouldn't be surprised if HyperLiquid increased its market share in 2025 and became an even more legitimate competitor to centralized trading platforms.
Ethereum: A Sleeping Giant Ready to Wake
The next contender on our list is Ethereum, which doesn’t need an introduction.
Why Ethereum Could Be a Strong Investment in 2025
Although Ether has been disappointing investors with its price action for an extended period of time, it could be presenting a strong investment opportunity in 2025.
First off, there is the upcoming Petra upgrade, which will introduce 11 Ethereum Improvement Proposals that will result in more efficient smart contract transactions, cheaper Layer 2 transactions, as well as improved user experience for Ethereum wallets.
Institutional and ETF Support for Ethereum
Despite Ether's recent underperformance in terms of price, Ethereum’s DeFi ecosystem remains strong, with increasing Ether usage and continued protocol improvements. The Ethereum Foundation's $120 million investment in major DeFi projects signals strong institutional support.
Additionally, Ethereum ETFs have recently seen significant inflows, outperforming Bitcoin ETFs. A potential ETF staking approval could further boost demand, as investors in ETFs could be able to benefit from staking yields.
A Shift Away from Solana?
Solana's recent struggles may shift investor interest back to Ethereum. Sentiment surrounding Solana has taken a noticeable hit after a series of meme coin launches on the Solana platform that have burned investors with rug pulls and insider trading. Combined with the declining prices of existing meme coins, crypto investors could be looking to move away from the meme coin meta, which would bode well for Ethereum.
Litecoin: A Quiet but Resilient Performer
We're rounding out our list of the top five coins for 2025 with Litecoin, a cryptocurrency that probably isn't on the radar of most newer crypto investors.
Litecoin’s Strong Performance and Regulatory Advantage
However, Litecoin has quietly been outperforming the rest of the crypto market, as it managed to avoid major losses over the last month. Unlike coins such as XRP and Solana, Litecoin has largely managed to avoid regulatory controversy.
Similarly to what we've seen with Bitcoin, regulators are treating Litecoin like a commodity and not like a security. This makes it one of the likeliest cryptocurrencies to receive an ETF in the United States and is probably one of the biggest drivers of Litecoin's recent overperformance.
The Future of Litecoin ETFs
In fact, Bloomberg's ETF analysts James Seyffart and Balchunas give Litecoin the highest odds of a spot ETF approval in 2025 at a whopping 90%. If you're looking to play the crypto ETF narrative, LTC could certainly be an interesting option to consider.