Best Cryptocurrencies To Buy In 2021
Bitcoin and Ethereum to Dogecoin and Tether, there are thousands of different cryptocurrencies, which can make it overwhelming when you’re first getting started in the world of crypto. To help you get your bearings, these are the top 10 cryptocurrencies based on their market capitalization, or the total value of all of the coins currently in circulation.
Tips to Safely Invest in Cryptocurrency
1. Bitcoin
Market cap: Over $641 billion
The king of all cryptocurrencies, Bitcoin, is the first of its kind to have the highest liquidity value. This cryptocurrency aims at becoming a fully decentralized, global, peer-to-peer digital cash with no regulations. Despite the volatile nature of the market, Bitcoin is the most stable one. While the name is synonymous with cryptocurrency, Bitcoin’s popularity, demand, and adoption are expected to grow manyfold in the coming years. The future of that is already being shaped with companies opening to the idea of accepting Bitcoins for payment.
Bitcoin’s price today in USD: $58,120.22
2. Tether (USDT)
Market cap: Over $62 billion
Unlike some other forms of cryptocurrency, Tether is a stablecoin, meaning it’s backed by fiat currencies like U.S. dollars and the Euro and hypothetically keeps a value equal to one of those denominations. In theory, this means Tether’s value is supposed to be more consistent than other cryptocurrencies, and it’s favored by investors who are wary of the extreme volatility of other coins.
3. Ethereum
Market cap: Over $307 billion
Ethereum was the first cryptocurrency to introduce smart contracts that allow developers to create desktop and mobile decentralized applications powered by blockchain technology. Ethereum has maintained its position in the top cryptocurrencies of all time ever since and has a loyal team of investors who vouch for this cryptocurrency. This means Ethereum has a better chance of remaining stable, after Bitcoins.
Ethereum’s price today in USD: $4,066
4. Cardano
Market cap: Over $51 billion
This is an affordable cryptocurrency that is becoming a cult favorite at a rapid pace. Since its inception in 2015, it has become a strong player in the market with its Ouroboros blockchain, which means having two blockchains instead of one. Here, one blockchain will manage general ordinary transactions while the other will manage smart contracts. The logic behind this is the ability of Cardano to remain scalable and fast as two types of transactions will not slow it down. Another interesting fact about Cardano is that most of the people who have invested in this cryptocurrency are from Japan. Hence, Cardano is also known as the “Japanese Ethereum” because it uses the Proof of Stake algorithm which Ethereum has been planning to do for a long time now. In February 2021, Cardano almost hit the $30.7 billion market cap.
5. Binance Coin
Market cap: Over $56 billion
If you own either Bitcoins or Ethereums and want to diversify your portfolio, look no further than Binance Coin. The parent company, Binance, has a strong business history that has created a useful ‘utility token’. The value of Binance Coin comes from its usefulness and its demand which is for traders to use Binance Coins to buy other cryptocurrencies on Binance Exchange. It is worthy to note that Binance Exchange is one of the world’s fastest-growing cryptocurrency exchanges and with every transaction done on the platform using Binance Coins, it is only becoming stronger.
Binance Coin’s price today in USD: $663.96
6. Dogecoin
Market cap: Over $44 billion
The fact that Dogecoin still stands strong after not being taken seriously is a statement in itself.
First, Redditors spiked the price to new heights in early 2021 as a way to prevent the speculated short-selling of Dogecoins by many Wall Street hedge funds. And then, Elon Musk called himself the “Dogefather” promoting this cryptocurrency further. While many argue the legitimacy of this coin, Dogecoin continues to have its share of market value. In April 2021, Dogecoin hit its all-time high of $0.2917. After a steady growth further, Elon Musk’s SpaceX has now announced that it accepts Dogecoins as a mode of payment.
Dogecoin’s price today in USD: $0.5049
7. Tether (USDT)
Market cap: Over $62 billion
Unlike some other forms of cryptocurrency, Tether is a stablecoin, meaning it’s backed by fiat currencies like U.S. dollars and the Euro and hypothetically keeps a value equal to one of those denominations. In theory, this means Tether’s value is supposed to be more consistent than other cryptocurrencies, and it’s favored by investors who are wary of the extreme volatility of other coins.
8. Bitcoin Cash
Speculations around Bitcoin’s scalability gave rise to Bitcoin Cash, a peer-to-peer electronic cash system that is supremely scalable. It has a market cap of $8,993,553,011, one of the biggest out of the lot. With the name Bitcoin attached to it, Bitcoin Cash is one of the most-eyed cryptocurrencies by big-time investors.
Bitcoin Cash’s price today in USD: $1,462.21
9. XRP (XRP)
Market cap: Over $40 billion
Created by some of the same founders as Ripple, a digital technology and payment processing company, XRP can be used on that network to facilitate exchanges of different currency types, including fiat currencies and other major cryptocurrencies.
At the beginning of 2017, the price of XRP was $0.006. As of June 2021, its price reached $0.92, equal to a rise of 15,233%.
10. USD Coin (USDC)
Market cap: Over $23 billion
Like Tether, USD Coin (USDC) is a stablecoin, meaning it’s backed by U.S. dollars and aims for a 1 USD to 1 USDC ratio. USDC is powered by Ethereum, and you can use USD Coin to complete global transactions.
11. Polkadot (DOT)
Market cap: Over $21 billion
Cryptocurrencies may use any number of blockchains; Polkadot (and its namesake crypto) aims to integrate them by creating a cryptocurrency network that connects the various blockchains so they can work together. This integration may change how cryptocurrencies are managed and has spurred impressive growth since Polkadot’s launch in 2020. Between September 2020 and June 2021, its price grew 615%, from $2.93 to $20.95.
12. Uniswap (UNI)
Market cap: Over $13 billion
Uniswap is an Ethereum-based token that powers Uniswap, a decentralized crypto exchange that uses an automated liquidity model for trading. This means there is no central facilitator, like a bank or broker-dealer. Instead, it’s powered by smart contracts and pooled user resources. Uniswap’s platform is open source, so anyone can use the code to create their own exchanges.
