Investment in cryptocurrencies is surging worldwide. Over 300 million people globally have invested in cryptocurrencies, surging the global cryptocurrency market cap to over $2 trillion. Numerous forecasts and projections indicate that the cryptocurrency sector will exhibit an uptrend in the upcoming years. However, if you are new to the crypto world, determining the best cryptocurrency to invest in 2021 can be challenging.
Bitcoin could be a natural choice, but it recently crossed $60,000, making it almost impossible to buy for new investors.
So, let’s look at the top cryptocurrencies you can invest in 2021.
With the current market cap of around a trillion US dollars, Bitcoin is the biggest cryptocurrency in the world. Though its price recently crossed $60,000, it remains a good buy for futuristic crypto investors. Founded in 2009, Bitcoin was one of the first cryptocurrencies in the world that gained global acceptance.
However, if you plan to invest in Bitcoin, it’s better to wait for a correction. It has shown a sudden upside momentum and is likely to correct before continuing its rally.
Ether has a market cap of over $350 billion, making it the second-largest cryptocurrency in the world after Bitcoin. While Ether is smaller than Bitcoin in terms of market cap, the opportunities it presents are much greater. Ether is the native currency of the platform Ethereum, an open-source blockchain that enables you to create smart contracts.
Ether’s price, at the time of writing, is $3,865 and has substantial future potential. If you’re looking for a long-term investment pick, ETH can be a safe investment option.
Solana (SOL): Best Cryptocurrency to Invest in 2021
If you’re hearing of Solana for the first time, you’re not alone. It’s a new cryptocurrency entering the market in 2019. It has a market cap of $46.60 billion. Solana’s price, at the time of writing, is around $160. In September, it crossed $200 and is currently consolidating.
Solana’s price surged from $50 to $200 in two months, exhibiting over 200% gains. Since the price is currently accumulating, it’s an excellent opportunity for you to enter this crypto. Once it breaks out, it will cross the $200 mark easily.
Cardano is a fairly new player in the cryptocurrency world. It’s a public blockchain platform initially released in 2017. Many crypto experts and enthusiasts consider Cardano as the most critical cryptocurrency to watch out for in the next couple of years. Cardano’s current market cap is $70.68 billion.
At the time of writing, Cardano’s price is $2.15. Last month, Cardano’s price crossed $3 and was currency consolidating. If you’re looking for an affordable cryptocurrency with phenomenal future potential, Cardano can be a great pick for you.
Ripple remains to be one of the most popular cryptocurrencies in the world, with a current market cap of $44 billion. It is a digital payment platform, and XRP is the platform’s native cryptocurrency. XRP’s current price is $1.1, though it reached $1.9 in May 2021. It’s a great investment option with solid fundamentals. Importantly, it’s one of the cheaper cryptocurrencies available. If you don’t have the funds to invest in Bitcoin and Ethereum, Ripple can be an excellent alternative.
Binance Coin (BNB): Best Cryptocurrency to Invest in 2021
If you follow the cryptocurrency sector, you must’ve heard of Binance. It’s the most popular cryptocurrency exchange in the world for spot trading, derivatives trading, and other cryptocurrency applications.
Binance Coin is the native token of the Binance exchange. It has a market cap of over 464 billion. It got listed in 2017 at a price of $0.10. In four years, it has surged to around $470. It almost touched $700 in May 2021 and is now consolidating. Binance Coin has strong fundamentals and upside potential, making it an excellent long-term investment option.
Polkadot is another interesting cryptocurrency with a current market cap of $28 billion. It’s currently trading at $42, near its all-time high of $48. It fell to $9 in July-August. If you had bought the dip, you would’ve been sitting on almost a 500% gain. Nevertheless, you can still invest in Polkadot, especially if you’re looking at the long term. However, if you’re looking to take a position for a few months, wait for a correction and try to buy the dip.
Chainlink is another exciting cryptocurrency that appeals to a lot of investors for its reasonable price and strong fundamentals. It has a current market cap of over $10 billion. Chainlink is currently trading at $25. In May, it reached $50 and is now consolidating. Therefore, it’s the perfect time to buy Chainlink. If you’re looking at the short term, you can set a target of $50. If you’re a long-term investor, you can hold it forever
Axie Infinity Shards (AXS): Best Cryptocurrency to Invest in 2021
Axie Infinity Shards is an ERC 20 governance token currently priced at around $120. It got listed in August 2021 and has given over 100% returns in less than two months. If you’ve not heard of Axie Infinity Shards, it’s a blockchain-based game like Pokemon. In addition to playing the game for fun, you can earn AXS tokens. Investing in AXS can be an adventurous bet, so ensure you don’t invest too much.
Let’s end this list with one of the newest players in the market — Dogecoin. Started out as a meme (or joke), Dogecoin has mustered a market cap of $29 billion in a few months. Though it was initially launched as a joke, many consider it a legitimate investment option.
Dogecoin’s price surged to $0.75 in May, though it’s currently consolidating at $0.2. Since the price is close to $0, there’s not much to lose even if things go south. However, the profit potential is massive.
Wrap Up: Best Cryptocurrency to Invest in 2021
The cryptocurrency landscape is bolstering. There are over 2,000 cryptocurrencies in circulation, each having its unique features and functionalities. However, some less popular cryptocurrencies can be highly volatile. The cryptos mentioned above are popular and have strong fundamentals, making them an ideal buy for new investors.