Confused about whether to pick Bitcoin or other cryptos (like Ethereum or Solana) as a beginner? You’re not alone. In 2025, there are over 20,000 cryptocurrencies, but not all are safe or suitable for new investors. I’ve helped beginners navigate this: a college student who started with Bitcoin avoided losses when smaller cryptos crashed, while another learned the hard way that “trendy” coins can vanish overnight. This guide compares Bitcoin to top alternatives, breaks down which fits your goals, and gives a simple strategy to avoid mistakes.
1、Why Bitcoin Is the “Gateway Crypto” for Beginners
Bitcoin isn’t just the first cryptocurrency—it’s still the safest choice for new investors in 2025. Here’s why:
1. Unmatched Stability (for Crypto)
Bitcoin has the largest “market cap” (total value of all coins) at over $2 trillion in 2025—10x bigger than Ethereum. A larger market cap means it’s less likely to crash suddenly (unlike small cryptos that can lose 50% of value in a day). For example, when a regulatory news hit in Q2 2025, Bitcoin dropped 15%—while a smaller crypto (Solana) dropped 40%.
2. Mainstream Acceptance
More companies, banks, and governments recognize Bitcoin. You can use it to buy coffee (Starbucks), laptops (Amazon), or even invest in it via your 401(k) (Fidelity). Other cryptos? Most are only accepted by niche platforms.
3. Simple Use Case
Bitcoin’s only job is to be a “store of value” (like digital gold) or a way to send money. No complicated features (like “smart contracts” or “NFTs”) to learn—perfect for beginners who want to keep it simple.
4. Lower Scam Risk
Bitcoin has been around since 2009—no one has “hacked” its blockchain, and most scams target smaller cryptos (fake tokens, “rug pulls”). With Bitcoin, you just need to avoid fake exchanges (easy with regulated platforms like Coinbase).
2、Bitcoin vs. Ethereum: Key Differences (2025 Update)
Ethereum is the second-biggest crypto, but it’s very different from Bitcoin. Here’s how they stack up for beginners:
Factor Bitcoin Ethereum
Use Case Store of value (digital gold), payments Smart contracts (apps, NFTs, DeFi)
Market Cap (2025) $2.1 trillion $200 billion
Volatility Lower (15–20% drops in big news) Higher (25–30% drops in big news)
Learning Curve Simple (buy, hold, sell) Steeper (needs to understand DeFi/NFTs)
Best For Beginners, long-term savings Investors who want to use crypto apps
Should Beginners Buy Ethereum?
Only if you want to use crypto (e.g., mint NFTs, lend crypto for interest) — not just hold it. For example:
If you want to save for a house in 5 years: Stick to Bitcoin.
If you want to try lending crypto for 5% annual interest: Ethereum (via apps like Aave) could work—but start small (5–10% of your crypto portfolio).
3、Bitcoin vs. Solana & Cardano: Are Smaller Cryptos Worth It?
Solana (SOL) and Cardano (ADA) are popular “altcoins” (any crypto that’s not Bitcoin), but they’re risky for beginners. Here’s why:
1. High Volatility
Smaller cryptos have smaller market caps ($50–$80 billion in 2025), so they’re easily swayed by trends. For example, when a celebrity tweeted about Solana in 2025, its price jumped 30% in a day—then dropped 25% the next when the tweet was deleted. Bitcoin rarely has swings that big.
2. “Rug Pull” Risk
Some small cryptos are scams: Developers create a token, hype it up, then sell all their coins (crashing the price) and vanish (“rug pull”). In 2024, over $1 billion was lost to crypto rug pulls—most involving altcoins, not Bitcoin.
3. Unproven Use Cases
Solana and Cardano claim to be “faster than Ethereum,” but they haven’t gained mainstream adoption. Bitcoin’s use case (digital gold) is proven—altcoins’ promises often take years to (maybe) come true.
Should Beginners Buy Altcoins?
Only if you’re willing to lose 100% of your investment. If you do try them, limit to 5% or less of your crypto portfolio (e.g., $50 out of $1,000 total crypto).
4、Stablecoins: The Low-Risk Crypto for Beginners
If Bitcoin’s volatility scares you, stablecoins are a better first step. These are cryptos “pegged” to fiat currency (like USD), so their price stays ~$1 forever.
Top Stablecoins in 2025
USDT (Tether): The biggest stablecoin—used for trading crypto (e.g., buy USDT with cash, then swap for Bitcoin).
USDC (USD Coin): Backed by real banks (Coinbase and Circle)—safer than USDT for long-term holding.
BUSD (Binance USD): Good if you use the Binance exchange, but less accepted than USDT/USDC.
Why Beginners Love Them
No volatility: $1 in USDC stays $1—no late-night panic about price drops.
Easy to use: Swap USDT for Bitcoin in 1 tap on most exchanges (great for “dollar-cost averaging”).
Low risk: Regulated stablecoins (like USDC) are insured—your money is safe if the company has issues.
When to Use Stablecoins
While waiting to buy Bitcoin (e.g., “I want to buy Bitcoin when it drops to $45k—hold USDT until then”).
For sending money (e.g., send USDT to a friend overseas—cheaper than bank transfers, no price risk).
5、How to Allocate Your Crypto Portfolio (Beginner-Friendly)
You don’t need to pick just one crypto—here’s a simple portfolio for 2025 beginners (total crypto = 5–10% of your overall savings):
Crypto Type Percentage Example (for $1,000 Crypto Budget)
Bitcoin 70% $700 (buy via Coinbase Auto-Buy)
Ethereum (optional) 15% $150 (only if you want to try DeFi)
Stablecoins (USDT/USDC) 15% $150 (for trading or emergencies)
Why This Works
70% Bitcoin keeps your portfolio stable.
15% Ethereum lets you learn about other crypto uses (without overexposing).
15% stablecoins gives you flexibility (buy more Bitcoin if it dips, or cash out quickly).
6、Common Mistakes When Choosing Cryptos
Beginners often pick the wrong crypto because of hype—avoid these errors:
Chasing “Trendy” Coins: If a crypto is all over TikTok or Twitter (“It’ll be the next Bitcoin!”), it’s probably a trap. Most trendy coins crash within months.
Buying Crypto for “Features” You Don’t Understand: Don’t buy Ethereum because it has “smart contracts” if you don’t know what that means. Stick to what you can explain in 1 sentence.
Putting Too Much in Altcoins: A student once invested 80% of his crypto budget in Solana—he lost $800 when it crashed. Stick to the 5% limit for altcoins.
Ignoring Market Cap: Always check market cap first—any crypto with a market cap under $10 billion is too risky for beginners.
7、FAQs
Q: If Bitcoin is the safest, why do people buy other cryptos?A: For higher potential returns (and higher risk). Some investors bought Ethereum in 2018 for $100 and sold in 2021 for $4,000—but beginners are more likely to buy at the top and lose money.
Q: Can I start with stablecoins instead of Bitcoin?A: Yes! Many beginners buy USDC first to get used to exchanges and wallets—then swap to Bitcoin once they’re comfortable.
Q: How do I know if a small crypto is a scam?A: Check for: 1) No clear use case (e.g., “It’s a ‘meme coin’ with no purpose”), 2) Anonymous developers, 3) Sudden price spikes with no news. If any of these are true, avoid it.
Q: Should I buy Bitcoin or Ethereum for long-term savings (10+ years)?A: Bitcoin—its “digital gold” role is more proven. Ethereum’s future depends on whether its apps gain mainstream use (which is less certain).