With all the buzz around cryptocurrencies, are you planning to start your investment in 2021? Right now, there are more than a thousand cryptocurrencies in the market to make you feel spoilt for choice. So, how can you make a smart decision? This article is here to help you.
Firstly, you will need a source to buy cryptocurrencies. This can either be done through cryptocurrency exchanges or other sources like PayPal. But for wider cryptocurrency management tools, read about choosing the right cryptocurrency exchange here. You will also require a cryptocurrency wallet that can store your blockchain link to access crypto coins. Get all the information about that here. And lastly, before you make a crypto investment, there are a couple of things you should know about the volatile market of cryptocurrency. To know all about it, click here.
Now that you're armed with all the important information you need to know to make a cryptocurrency investment, here are the top 10 cryptocurrencies for you to choose from.
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
In addition, nowadays, verified bitcoin lending sites are used to provide you with bitcoin loans.
Litecoin comes second on our list because of its market capital and liquidity value. Unlike Bitcoin's 21 million supply, Litecoin is limited to 84 million coins with a block reward of 12.5 LTC, higher than other cryptos. For miners, mining a Litecoin will be faster than any other cryptocurrency as the average time for a Litecoin is just two minutes. The growing popularity of Litecoins makes this the best of the rest in all the altcoins.
Litecoin's price today in USD: $388.92
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
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.
Cardano's price today in USD: $1.75
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
Ripple gets a mention in this list because its vision is a little different from the rest of the cryptocurrencies on this list. Ripple is a venture-backed startup that is known to offer finance settlement services to banks in a way to facilitate transactions directly and instantly across national borders. Over the years, it has collaborated with large banks globally including the Bank of America. This makes it ideal for institutional investment rather than a personal one.
Ripple's price today in USD: $1.56
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
Did you know Tron was actually founded on Ethereum in 2017? Now with its own blockchain platform, TRON is an independent cryptocurrency that also uses the Proof of Stake algorithm to process transactions. At present, Tron has a market capitalization of $4,406,488,234 which is expected to increase. Compared to Ethereum, this crypto coin hosts more decentralized apps, which is what is making it increasingly popular.
Tron's price today in USD: $0.142
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
Zcash can do what Bitcoin cannot. The blockchain that Bitcoin uses is transparent which makes tracking transactions easier but Zcash only allows transaction tracking if the user wants them to be tracked. This means users have the option to hide their transactions for an added layer of privacy. Currently, Zcash is valued at $2,701,320,183 in the market and the researchers predict that the price will drop to open an investment window. If you want to diversify your portfolio, watch out for this.
Zcash's price today in USD: $305.40
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Disclaimer: Analytics Insight does not provide financial advice or guidance. Also note that the cryptocurrencies mentioned/listed on the website could potentially be scams, i.e. designed to induce you to invest financial resources that may be lost forever and not be recoverable once investments are made. You are responsible for conducting your own research (DYOR) before making any investments. Read more here.