The cryptocurrency market’s continued volatility has once again taken center stage, with a sharp crash wiping out over $630 million in bullish long positions on January 7. Cryptocurrencies remain under pressure, struggling to regain momentum as uncertainty grips the market.
Amid the growing uncertainty, investors are increasingly turning to altcoins to diversify their portfolios and unlock potential growth opportunities.
Against this backdrop, Finbold analyzed market trends and consulted ChatGPT-4o, which identified two altcoins with significant growth potential.
Picks for you
ChatGPT identifies 2 altcoins for January portfolio
When queried, the AI model highlighted XRP and Cardano (ADA) as standout assets, highlighting their potential to drive diversification and growth in a well-rounded cryptocurrency portfolio amid an evolving market landscape.
XRP
XRP is gaining attention as a standout investment for January 2025, fueled by expectations of significant regulatory shifts under the incoming Donald Trump administration.
Ripple’s CEO, Brad Garlinghouse, has labeled 2025 as the start of a ‘Trump bull market,’ pointing to pro-crypto policies and the anticipated departure of SEC Chair Gary Gensler as key factors driving renewed optimism.
Adding momentum to XRP’s bullish outlook is the timing of the SEC’s appeal, scheduled for January 15, 2025, just days before Trump’s inauguration.
Market participants are increasingly hopeful that the incoming administration will bring an end to the long-standing legal uncertainties that have shadowed Ripple Labs since 2020.
Such a resolution is widely expected to pave the way for a U.S. XRP spot ETF, which could drive institutional adoption, liquidity, and long-term growth prospects for the token.
Market forecasts further support XRP’s case, with projections suggesting a market capitalization of $200 billion in Q1 2025, with legendary trader Peter Brandt predicting a potential surge to $500 billion as reported by Finbold.
Currently trading at $2.32, XRP remains well below its January 2018 all-time high of $3.84 but has shown notable momentum, gaining over 6% since the start of the month.
Ripple’s strengthened U.S. operations, combined with improving macroeconomic factors and a more favorable regulatory environment, position XRP as a strong buy for investors looking to capitalize on its growth potential in 2025.
Cardano (ADA)
Cardano has outperformed major players like Bitcoin (BTC) and Ethereum (ETH) in the market’s recovery, driven by significant upgrades and growing investor interest.
Central to its momentum is CIP-113, a proposal introducing programmable assets, enhanced security, and smart accounts, potentially enabling the support for stablecoins and real-world asset tokenization.
Investor engagement has also been on the rise, with data from IntoTheBlock showing a steady increase in funded wallets. This growth aligns with a renewed wave of market enthusiasm coinciding with Donald Trump’s inauguration.
Moreover, large-scale investors, often referred to as ‘whales,’ have shown renewed interest, accumulating over 10 million ADA within just 24 hours—a clear signal of their confidence in the asset’s long-term potential.
Currently trading at $0.9884 with a double-digit weekly gain of 12%, ADA positions itself as a standout choice for investors aiming to capitalize on the ongoing market recovery.
As the cryptocurrency market continues to evolve, these assets offer a balanced mix of growth potential and utility, making them essential additions to a well-diversified portfolio for investors aiming to capitalize on the next wave of digital asset expansion.
Featured image from Shutterstock
