January was a challenging month for cryptocurrencies, with market capitalization dropping dramatically to $2.7 trillion and losses exceeding $350 billion.

Currently, a sense of extreme fear permeates the market, reflected in notable declines, with Bitcoin concluding its fourth consecutive month in the negative—an occurrence not seen since the 2018 bear market.

Yet, as is often said, buying during downturns can be wise. While one can’t predict whether the market bottomed out, discounts certainly abound.

Top Cryptocurrencies to Keep An Eye On This February:

Hyperliquid: Is There a Price Increase Ahead?

Hyperliquid, a decentralized exchange, allows for the trading of perpetual futures and spot trades of both cryptocurrencies and traditional assets. Enhancements through HIP-3 (Hyperliquid Improvement Proposal) have increased its usage and popularity.

The associated cryptocurrency, HYPE, has surged 25% last month, distinguishing itself in a mostly down market.

It’s true that Hyperliquid has captured attention recently, demonstrating resilience even in turbulent market conditions. The price gains are partly attributed to the Assistance Fund, which reinvests a majority of transaction fees into buying HYPE, maintaining significant daily earnings despite the volatility.

Bitcoin: Is a Comeback Imminent?

Bitcoin faced four consecutive months of losses, a rare event over the past eight years in the crypto space. Currently, Bitcoin trades under $80,000, marking a significant decline from its peak.

This slide wasn’t exclusive to crypto as traditional assets saw steep declines too; gold and silver prices also dropped significantly recently.

GOLD-Backed Cryptocurrencies

Coins like PAX Gold (PAXG) and Tether Gold (XAUT) offer digital representations backed by physical gold. Recent market fluctuations indicate potential recovery, making gold-backed cryptocurrencies an attractive alternative for those wary of riskier assets.

Whether these coins will provide security in such variable conditions remains to be seen, but many analysts predict an opportunity on the horizon.