Looking to Invest? Here are the Top 6 Cryptocurrency Picks for 2021
Cryptocurrency has increasingly become a popular investment option for many people around the world. The year 2020 witnessed significant growth in the cryptocurrency market, and that trend is expected to continue in 2021.
If you’re planning to invest in cryptocurrencies, here are the top 6 picks for 2021 that you should consider.
1. Bitcoin
Bitcoin continues to retain its position as the king of cryptocurrencies. It has been around since 2009 and has a massive market capitalization of over $844 billion (as of May 2021). Its value increased by over 300% in 2020, and many experts predict that it will continue to soar in 2021.
2. Ethereum
Ethereum is the second-largest cryptocurrency globally, with a market capitalization of over $300 billion (as of May 2021). It operates differently from Bitcoin, in that it is based on smart contracts. Its underlying technology is the Blockchain, which makes it easy to secure and impossible to hack. Ethereum’s value grew by over 460% in 2020, making it an attractive proposition for investors.
3. Binance Coin
Binance Coin is a rapidly growing cryptocurrency that powers Binance, one of the biggest cryptocurrency exchanges globally. It has a market capitalization of over $62 billion (as of May 2021) and has grown by over 2,000% since January 2021. It’s an attractive investment option because of its use in transaction fee discounts in the Binance exchange.
4. Polkadot
Polkadot is a relatively new cryptocurrency that promises to solve the interoperability problem between different blockchain platforms. Its market capitalization has grown by over 800% since January 2021, and industry experts expect it to grow even more. Polkadot is quickly gaining traction because of its broad range of use cases in decentralized applications.
5. Chainlink
Chainlink is a decentralized oracle network that connects smart contracts to real-world data. Its value grew by over 500% in 2020, and it has a market capitalization of over $16 billion (as of May 2021). Chainlink is an attractive investment option because it addresses a significant problem in the smart contract space – how to get reliable data from the real world.
6. Dogecoin
Dogecoin is a cryptocurrency that started as a meme but quickly grew in popularity. Its value has grown by over 8,000% since January 2021, making it the most significant gainer amongst the top cryptocurrencies. While Dogecoin’s fundamentals are shaky, it’s an attractive investment option because of its growing popularity and mainstream acceptance.
In conclusion, investing in cryptocurrencies can be tricky. Still, the above list provides a starting point for selecting the right cryptocurrencies to invest in today. Remember to conduct thorough research into any cryptocurrency before investing in it and never invest more than you can afford to lose.
