2018 was a defining year for cryptocurrency. Coming off the spectacular bull run of 2017, the market entered a prolonged bear cycle that tested the resolve of every investor. But what did it mean to be the "best cryptocurrency" in 2018? This guide examines the criteria, the top contenders, the market data, and — most importantly — the lessons that remain relevant for today's investors.
Updated July 2026 • 10 min read
To understand what the "best cryptocurrency" meant in 2018, you first have to understand the market landscape. The year began with Bitcoin trading around $14,000 after peaking at nearly $20,000 in December 2017. The initial months saw a series of sharp corrections, and by mid-year, the market had entered a full-blown bear cycle.
2017 had been a year of unprecedented growth. The total cryptocurrency market cap surged from around $17 billion in January to over $800 billion by December. Initial Coin Offerings (ICOs) raised billions, and retail FOMO (fear of missing out) was at an all-time high. 2018 was the hangover: a year of capitulation, regulatory scrutiny, and the gradual realisation that many projects were overhyped.
Regulatory pressure intensified throughout 2018. The SEC in the United States began cracking down on unregistered ICOs, China maintained its ban on crypto exchanges, and South Korea implemented stricter rules. This regulatory uncertainty contributed to the market's decline.
In a year marked by widespread losses, the criteria for being the "best" cryptocurrency were different from those in a bull market.
The most important metric in 2018 was relative resilience. Coins that lost less value than the market average were often considered "best" by investors seeking to protect capital. Bitcoin, for example, lost "only" 73% compared to Ethereum's 93% — making it a relatively safe haven within the crypto ecosystem.
As the hype of 2017 faded, investors began to focus on projects with actual utility. Cryptocurrencies that had functioning products, active developer communities, and strategic partnerships were viewed more favourably.
In a bear market, liquidity becomes paramount. Assets that could be bought and sold without significant slippage were preferred. Bitcoin and Ethereum remained the most liquid options throughout 2018.
Projects that continued to build and release updates during the downturn were seen as having strong fundamentals. GitHub commit activity became a popular proxy for project health.
2018 saw the growing adoption of stablecoins like USDC and Tether (USDT). For investors looking to preserve capital without exiting the crypto ecosystem entirely, stablecoins became an essential tool.
While no cryptocurrency delivered strong positive returns in 2018, several were notable for their relative performance, resilience, or long-term potential.
The market leader. Despite losing 73% of its value, Bitcoin retained its dominance and proved to be the most resilient asset in the downturn.
The dominant smart contract platform. Ethereum lost over 90% but maintained a strong developer community and continued to power the DeFi and token ecosystems.
Focused on institutional payments, XRP was one of the top 3 cryptocurrencies by market cap throughout the year.
Often considered Bitcoin's "silver," Litecoin maintained a significant market presence and developed its adoption as a payment method.
One of the few altcoins that saw periods of strong growth in 2018, driven by founder Justin Sun's aggressive marketing and the acquisition of BitTorrent.
A privacy-focused coin that maintained its niche appeal and technological integrity throughout the bear market.
The numbers tell a stark story. 2018 was a year of brutal price corrections across the board.
The total cryptocurrency market cap fell from approximately $800 billion in January 2018 to around $130 billion by the end of the year. This represented an 84% contraction and erased the vast majority of gains from the 2017 bull run.
Daily trading volumes also declined significantly as retail interest waned and institutional investors remained on the sidelines. However, the market continued to operate 24/7, and liquidity remained available for major assets.
Note: All historical data is for context and education. Current prices, market caps, and trading volumes are vastly different. Always verify current data from reputable sources.
Investors and analysts used a variety of frameworks to assess cryptocurrencies in 2018, many of which remain relevant today.
Chart patterns, moving averages, and volume indicators were widely used to identify entry and exit points. The bear market provided plenty of opportunities for traders to short or accumulate.
Project whitepapers, team backgrounds, and development activity were scrutinised more closely as the hype died down. Investors increasingly asked: "Does this project actually solve a real problem?"
Metrics like active addresses, transaction counts, and network fees became more prominent. These on-chain indicators provided a view of actual network usage, separate from price speculation.
Social media sentiment analysis tools were used to gauge market mood. However, as 2018 progressed, social sentiment turned overwhelmingly negative, making it a less reliable indicator.
Projects that proactively engaged with regulators and complied with AML/KYC requirements were viewed more favourably than those that operated in a legal grey area.
The 2018 market was fraught with risks beyond just price volatility. Investors had to contend with exchange hacks, scams, and the collapse of numerous projects.
2018 saw several major exchange hacks, including the Coincheck hack in January ($530 million in NEM stolen) and the Bancor hack in July ($23.5 million). These incidents underscored the importance of self-custody.
The bear market did not eliminate pump-and-dump schemes. Low-liquidity altcoins were frequently targeted by coordinated groups, leaving retail investors with significant losses.
Many ICOs from 2017 failed to deliver on their promises. By late 2018, a significant percentage of ICO projects were either dead or failing, and the funds raised in 2017 had been largely depleted.
As investors lost money, a new wave of scams emerged: recovery services that promised to retrieve lost funds for an upfront fee. These were almost universally fraudulent.
Looking back at 2018 with today's perspective, it is important to understand the limitations of the data and the conclusions we can draw from it.
2018 was only a few years into the mainstream cryptocurrency era. The market had not yet seen the institutional adoption, derivatives markets, and regulatory clarity that exist today.
The cryptocurrencies that survived 2018 represent only a fraction of those that existed at the time. Many projects are no longer listed or active, making historical data incomplete.
Market data from 2018 may have discrepancies due to variations in reporting, wash trading, and the absence of standardised metrics.
Blockchain technology has evolved significantly since 2018. Layer 2 solutions, DeFi, and NFTs have transformed the landscape, making direct comparisons between 2018 and 2026 difficult.
This table compares the largest cryptocurrencies of 2018 across key metrics.
| Cryptocurrency | Start Price (2018) | End Price (2018) | Annual Loss | Key Use Case |
|---|---|---|---|---|
| Bitcoin (BTC) | $14,000 | $3,700 | -73% | Digital gold, store of value |
| Ethereum (ETH) | $1,300 | $85 | -93% | Smart contracts, dApps |
| Ripple (XRP) | $2.50 | $0.35 | -86% | Cross-border payments |
| Litecoin (LTC) | $240 | $30 | -82% | Peer-to-peer payments |
| EOS | $12 | $2 | -83% | dApp platform |
| Cardano (ADA) | $0.60 | $0.04 | -93% | Smart contract platform |
ⓘ Prices are approximate and based on historical data. Actual values may vary depending on the data source.
The 2018 market was a masterclass in risk management. Here is a checklist of lessons that remain relevant.
Jake entered the cryptocurrency market in January 2018, inspired by the 2017 bull run. He allocated $10,000 across Bitcoin, Ethereum, and a few altcoins that had been recommended on social media.
His portfolio:
By December 2018, the market had declined dramatically. Jake's portfolio had shrunk to less than $1,500. He had lost over 85% of his initial investment.
What Jake learned:
Outcome: Jake decided to hold his remaining assets and use the experience as a learning opportunity. He returned to the market in 2020 with a more cautious and researched approach.
ⓘ This scenario illustrates real experiences from the 2018 bear market. Names and details are illustrative.
Cryptocurrency investments carry significant risk. The market volatility demonstrated in 2018 is a stark reminder that prices can, and do, decline substantially. Past performance does not guarantee future results.
This guide is for educational purposes only. It does not constitute financial, legal, or tax advice. You are solely responsible for your own investment decisions and risk management.
The data and scenarios presented are historical. They do not predict future market behaviour. Always consult current market data, regulatory guidance, and professional advisers before making investment decisions.
Never invest more than you can afford to lose. This principle is as relevant today as it was in 2018 — and always will be.
Verify all data independently. Prices, fees, and platform availability can change rapidly. Always cross-check information from multiple reputable sources.
By using this guide, you acknowledge that you are fully responsible for your own research, decisions, and risk management.
In terms of price performance, Bitcoin Cash (BCH) was one of the top performers early in the year, while Tron (TRX) saw significant gains during the year. However, 2018 was a bear market overall, and most cryptocurrencies lost over 70% of their value from their peaks.
Bitcoin was the most stable and liquid option during the 2018 bear market, but it still lost over 70% of its value from its peak. It was considered 'best' by many investors due to its resilience and long-term potential, but it was not a profitable hold in the short term.
The 2018 crash was driven by a combination of factors, including the bursting of the 2017 ICO bubble, regulatory crackdowns, and a broader risk-off sentiment in financial markets.
Ethereum fell from around $1,300 at the start of 2018 to below $100 by the end of the year, losing more than 90% of its value. Despite the price drop, development continued, and it remained the dominant smart contract platform.
Very few. Some stablecoins like USDC and Tether held their value. Among volatile assets, a handful of new tokens launched in 2018 had brief periods of growth, but most projects lost significant value.
At the start of 2018, the total cryptocurrency market cap was around $800 billion. By the end of the year, it had declined to approximately $130 billion, representing a loss of over 80% of value.
Key lessons include the importance of risk management, understanding that past performance does not guarantee future results, and recognizing that hype-driven investing can lead to substantial losses.
While both periods have seen significant volatility, the crypto market has matured since 2018 with greater institutional adoption, improved infrastructure, and clearer regulation in many jurisdictions. However, volatility remains a defining characteristic.