Introduction
Cryptocurrencies are quickly becoming popular investment options for many people around the world. As we move into 2021, it’s essential to review the top five cryptocurrencies that are expected to perform well in the long run. In this article, we’ll provide information on the five best cryptocurrencies that you should consider investing in 2021.
Bitcoin
Bitcoin is undoubtedly the most popular cryptocurrency globally and has been around for over a decade. It accounts for more than 60% of the market share by market capitalization and trading volumes. Bitcoin’s market dominance is a testimony to its reliability, liquidity and wide acceptance as a digital currency.
Ethereum
Ethereum is second on our list, which boasts the second-largest cryptocurrency market capitalization after bitcoin. While it is similar to bitcoin, Ethereum has a unique feature where users can build dApps (decentralized applications) that run on a blockchain network. The technology behind Ethereum has exciting use cases, including the development of smart contracts and fundamental technology for DeFi (Decentralized Finance).
XRP
XRP is the third-largest cryptocurrency globally by market capitalization. It has banking and cross-border payments as its primary use case. XRP has partnered with several large financial institutions globally, making it an attractive investment opportunity.
Cardano
Cardano (ADA) is a relatively new cryptocurrency that is making waves in recent times. Its technology is designed to provide solutions to critical issues facing the blockchain industry, such as scalability and security. Cardano is also becoming a popular choice for DeFi because of its low transaction fees and faster transaction processing.
Tether
Tether (USDT) is a stablecoin, and it’s the only cryptocurrency in this list that doesn’t fluctuate in value. The stablecoin is pegged to the US dollar, making it an excellent option for investors looking to hedge against traditional currency fluctuations. Additionally, USDT is becoming increasingly popular among crypto traders due to its ability to protect against high market volatility.
Conclusion
The cryptocurrency market is expanding at an overwhelming pace, which makes it challenging to keep up with the latest trends and changes. As a long-term investor, you need to do your due diligence to ensure you invest in the right cryptocurrency that aligns with your investment goals and style. The five cryptocurrencies mentioned in this article are excellent choices for anyone looking to invest in crypto in 2021, but it’s also essential to note that investing in cryptocurrency is a high-risk high-reward game, of which one should only invest with what they can afford to lose.
(Note: Do you have knowledge or insights to share? Unlock new opportunities and expand your reach by joining our authors team. Click Registration to join us and share your expertise with our readers.)
Speech tips:
Please note that any statements involving politics will not be approved.