As the awareness about cryptocurrency and blockchain technology increases, the demand for crypto coins has greatly increased. These cryptocurrencies are gaining popularity and their case uses are becoming increasingly acceptable. If you are in the market scouting for the best cryptocurrencies to buy, you have come to the right place.
Investing in cryptocurrency is not something you do without doing your due diligence, since it involves money. You need a comprehensive list of the top-performing cryptocurrencies and their growth potential before putting your money into it. Without further delay, let’s delve into the best cryptocurrencies to buy in 2021.
Top-Performing Cryptocurrencies in 2021
Market Cap $1,041,123,964,999.65
From its creation in 2009 to this present time, the price and market cap of Bitcoin has grown to attract the attention of financial experts, governments and market speculators who thought it was a fluke. Because of the coin’s growing adoption, more individuals and institutions now accept Bitcoin as a means of payment for goods and services.
One of the advantages Bitcoin has over other financial instruments is that it is built on blockchain technology. Every transfer of Bitcoin is open to the public through the distributed ledger which is confirmed by solving cryptographic puzzles.
Market Cap $427,953,990,841.38
Ethereum is currently the second-best crypto coin you can purchase. It’s one of the useful and versatile coins with practical case uses. It is also known as ether (ETH).
Ether is widely popular among program developers because it is used to create smart contracts. And when pre-established conditions are met, the contract executes automatically. In addition, the coin is used as a gas fee to make crypto transfers. With such large market capitalization, Ethereum should be included in your cryptocurrency portfolio.
Market Cap $11,504,353,817.59
Ever since the creation of Bitcoin Cash in 2017, the coin has gained popularity among crypto investors worldwide. Its creation stems from the frustration Bitcoin users and developers faced with the 1-megabyte limit placed on data blocks on the Bitcoin network.
This limitation slowed down transaction times, thereby increasing the transfer fees. Developers of Bitcoin Cash adopted a data block size of 8 megabytes, making this altcoin an overnight success. Although Bitcoin Cash is not as stable as Bitcoin, it has the potential to grow in use cases, market cap, and price. So, it is a worthy investment to buy Bitcoin Cash.
From the chart of BCH, it is obvious that the coin is in a consolidation phase and will see higher values in 2022.
Market Cap $73,073,884,025.99
Created in 2017, Cardano has become a widely used coin in the crypto world. Thanks to the coin’s early adoption of a proof-of-stake confirmation system. This system of validation boosts crypto transaction time significantly and more importantly, it reduces the amount of energy used. Unlike many other cryptocurrencies, Cardano’s creation and usage do not impact the environment negatively. On the other hand, Cardano works just like Ethereum because it enables developers and users to execute smart contracts. Also, it is used as decentralized finance through its native coin, ADA.
Market Cap $12,099,438,883.53
Created in 2017, Chainlink is built on the concept of blockchain layer which supports smart contracts that are universally connected. Working through the decentralized oracle network, this altcoin enables blockchains to securely interact with external events, payment methods, and data feeds. Through the secured interaction, Chainlink provides the vital off-chain info required by smart contracts to function.
Key data providers like Huobi, Brave New Coin, and Alpha Vintage have taken interest in Chainlink because they sell access to data to Chainlink thereby monetizing the info they’ve got. Also, this coin enables users to operate nodes and to jointly power a broad range of decentralized price feed oracle networks. Because of these critical use cases, Chainlink had become a widely used altcoin. To buy Chainlink, go to exchanges such as Binance, Coinbase Pro, Kraken, Houbi Global, and Gate.io where you can trade LINK, the internal currency of the platform against Bitcoin, USDT, USD or BUSD.
Market Cap $32,798,160,364.30
Although the creation of Dogecoin started as a joke, it has become one of the most widely used altcoin. Even billionaires and celebrities like Elon Musk and Mark Cuban have an interest in the coin. Although Dogecoin does not have defined use cases like other cryptocurrencies, lots of people have used it to sponsor life-changing and charitable causes.
Top of such events is the raising of $50,000 to sponsor the Jamaican Bobsled team in 2014. Also, the Doge4Water campaign championed by Eric Nakagawa sought to raise $30,000 before World Water Day. They succeeded in their charitable cause. Unlike other coins, there is no limit to the creation of Dogecoin. This could lead to devaluation as the supply is ever increasing. DOGE has found wide use as a coin used for tipping in many platforms.
Binance Coin (BNB)
Market Cap $73,149,371,947.60
Although the Binance Coin is not the most widely used crypto coin, it is owned by one of the largest exchange platforms in the world. Originally, the coin was created to serve as a means of payment of fees on the Binance exchange. But since the launch of Binance Coin in 2017, It has become more useful for paying travel expenses and processing payments. Also, it is traded and exchanged for better known coins like Bitcoin and Ethereum. From time to time, the exchange gives out its coin to users. Watch out for such giveaways to add more free coins to your portfolio.
Market Cap $33,209,692,403.23
Some cryptocurrencies have more defined use cases compared to others. The Polkadot happens to be one of such coins. Since cryptocurrencies are designed to use different numbers of blockchains, Polkadot is created to integrate the various cryptocurrency. This is done by creating a network of cryptocurrencies that connects different blockchains to function as one whole network. These use cases of the Polkadot coin are feasible and it has resulted in an enormous growth rate since its inception in 2020. The coin has great potential as an investment asset. The coin is ranked 8 according to the market capitalization. This should tell you that it is worth investing in having been made acceptable due to the inter-chain connectivity utility of the platform.
Axie Infinity (AXS)
Market Capitalization: $7,731,372,909
Even if you’re not a gaming enthusiast, the value of NFT collectibles would certainly be a matter of interest to you. This is especially so if you’re aware of the high premium placed on these collectibles by those interested in owning these works of art and the participation in virtual universes (metaverse). The value of these tokens is a sure reason to add AXS, the internal currency of the Axie Infinity metaverse to your portfolio.
This is one of the tokens or rather among the group of tokens that will gain more attention in 2022. Axie Infinity is presently ranked 26 according to coin market capitalization.
Solana took the coin market by storm by its immense growth. The platform has severally been described as the Ethereum Killer because it was built to become a blockchain network that supports the building of dApps such as is applicable on the Ethereum network. Furthermore, it has improved on some of the shortcomings of the Ethereum blockchain as seen from its scalability while making it possible for developers to deploy dApps and build more on its smart contract enabled blockchain.
SOL, the Solana token has seen much growth even when many digital assets slumped during some bearish moments in the market. Solana is presently ranked an amazing 7 according to market capitalization. This is an astounding performance for a blockchain network that is barely up to 2 years. Solana was launched in March 2020.
Market Capitalization: $15,474,299,474.83
You should consider investing in UNI, the internal token of Uniswap, the automated market maker (AMM) that gained prominence as the decentralized finance (De-Fi) phenomenon became a mainstream phenomenon among token holders. Uniswap makes it possible for those with tokens to trade them without the input of intermediaries. This has been made possible through its decentralized exchange (DEX) and the use of smart contracts.
Market Capitalization: $7,395,380,172.33
The Tron network has built a reputation as a file-sharing and entertainment platform that makes everyday demand for such a reality. The Tron Foundation acquired Bit-torrent, the file-sharing platform and has subsequently become a brand among networks through its support for decentralized applications.
The network has been made popular due to the many gaming app developments and projects that are built on it. Even though the price of Tronix, its native token is still relatively low. The network has seen growth to make it a good choice for investors who are seeking long-term gains.
Armed with the right information on the best cryptocurrencies to buy, you can choose the right coins to create a profitable portfolio and also guard against loss due to the volatile nature of cryptos. There are lots of altcoins that are of lesser prices (such as TRX) that you can purchase and hold for a long time. You can also trade them against popular cryptocurrencies to make short-term gains. In all, ensure you research any cryptos you want to buy.
Note: The market caps and prices of these coins are subject to changes.
All figures are gotten from coinmarketcap.com