What If You Bought All the Top 10 Cryptos in January 2018?

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In late 2017, Bitcoin captured global attention with a meteoric rally that saw its price surge to nearly $20,000 just before Christmas. The excitement didn’t stop there. A second wave followed in early 2018, this time led by altcoins like XRP and Ethereum, while Bitcoin began to lose momentum. This period marked one of the most speculative peaks in cryptocurrency history—driven by hype, FOMO, and widespread retail participation.

But what if you had invested in all the top 10 cryptocurrencies by market cap on January 7, 2018? Would that diversified strategy have paid off five years later? Let’s dive into the data, analyze real returns, and uncover key lessons for modern crypto investors.

The Top 10 Cryptocurrencies in January 2018: A Snapshot

On January 7, 2018, the crypto market was riding high. Bitcoin sat at the top of the rankings, but the combined market capitalization of the next three—XRP, Ethereum (ETH), and Bitcoin Cash (BCH)—actually exceeded Bitcoin’s alone. This signaled a shift toward altcoin dominance during that phase of the cycle.

Here’s a breakdown of the top 10 at the time:

Fast forward to May 2023—over five years later—and only two of these assets delivered positive nominal returns: Bitcoin and Ethereum. These two remain foundational pillars in the crypto ecosystem today, consistently ranking among the top three by market cap.

The rest? Most delivered steep losses ranging from -63% to -87% if held long-term. That includes well-known projects like Cardano, Tron, Litecoin, and even XRP, which many considered strong contenders back then.

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Portfolio Performance: Equal-Weighted vs Market Cap-Weighted

Let’s compare two common investment approaches using data from January 8, 2018:

1. Equal-Weighted Portfolio

Imagine investing an equal amount into each of the top 10 cryptos. This approach assumes no preference—just broad exposure to the leaders of the market.

This illustrates a critical point: diversification alone doesn’t guarantee success—quality and weighting matter more.

2. Market Cap-Weighted Portfolio

Now consider allocating funds based on each coin’s market size—investing more in larger, more established projects like Bitcoin and Ethereum.

Bitcoin alone delivered a 63% return, outpacing even traditional benchmarks like the S&P 500, which returned 51% between January 2018 and May 2023.

This comparison underscores a powerful insight: not all "top" assets are created equal, and market leadership often reflects underlying strength, adoption, and developer activity.

Why Did Most Altcoins Fail to Deliver?

While names like Cardano, EOS, and IOTA were once hailed as future giants, they struggled to maintain relevance due to several factors:

In contrast, Bitcoin solidified its role as digital gold, while Ethereum evolved into the backbone of decentralized applications.

Lessons for Today’s Investors

The 2018–2023 cycle offers timeless takeaways:

  1. Market cap can be a proxy for resilience – Larger projects often have stronger teams, communities, and infrastructure.
  2. Hype ≠ long-term value – Just because a coin is trending doesn’t mean it will endure.
  3. Concentration in fundamentals pays off – BTC and ETH survived because they solved real problems.
  4. Timing matters less than selection – Even buying at a peak could yield gains with the right assets.

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Frequently Asked Questions (FAQ)

Q: Which cryptocurrencies from the January 2018 top 10 are still relevant today?

Only Bitcoin and Ethereum have maintained strong positions and delivered positive returns. Others like XRP and Litecoin remain active but trade far below their 2018 highs.

Q: Could I have made money by investing in all top 10 cryptos in 2018?

Not overall. An equal-weighted investment would have lost 53% of its value by 2023. Only market-cap-weighted strategies turned a small profit, thanks to BTC and ETH.

Q: How did Bitcoin perform compared to traditional markets?

Bitcoin returned 63% from January 2018 to May 2023, slightly outperforming the S&P 500’s 51% return—a notable achievement given crypto’s volatility.

Q: Why did altcoins underperform so badly?

Many lacked sustainable use cases, faced tough competition, or suffered from regulatory challenges. Investor sentiment shifted toward proven networks over speculative ones.

Q: Is diversifying across top cryptos always a good strategy?

Not necessarily. While diversification reduces risk, spreading investments too thin across low-performing assets can drag down returns. Focus on quality and fundamentals.

Q: What should investors focus on when choosing cryptos today?

Look for strong development activity, real-world adoption, clear token utility, and resilient community support—factors that helped BTC and ETH endure.

Final Thoughts: Wisdom Over Hindsight

Looking back at January 2018 isn’t about regret—it’s about learning. The crypto market has matured significantly since then. Institutional adoption, regulatory clarity, and technological advances have reshaped the landscape.

Today’s investors have access to better tools, data, and insights than ever before. Rather than chasing every trending coin, focus on assets with lasting value, proven track records, and real utility.

Whether you're new to crypto or refining your strategy, remember: long-term success comes not from catching every wave, but from staying aboard the right ones.

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