What crypto will explode in 2021?
The year 2020 was one of the most challenging for the global economy and the traditional financial system. With a massive global pandemic, lockdowns and a fear of a global recession, more and more institutional investors fled towards cryptocurrencies as a possible alternative to traditional financial assets or a hedge against the major economic threats. So 2021 seems perfect for further cryptocurrency adoption and a massive change in the existing financial system.
If you have any plans to invest in the crypto market this year, we have good news for you! According to many crypto enthusiasts, 2021 is going to be the best year to invest in cryptocurrencies.
Before jumping off to the list we must keep these key points well before in our mind while buying cryptocurrencies.
- Never overlook security before investing in cryptocurrency
- Stick to established cryptocurrencies when looking to invest
- Steer clear from unknown cryptocurrencies, especially when they guarantee a profit
When it comes to deciding what crypto to invest in, the choice can be somewhat overwhelming as there are thousands of cryptocurrencies available on the marketplace. It’s difficult and time-consuming to do your research and sort the worthy ones from the “unfruitful” ones.
So, in this article, we are going to give you everything you need to know about the best cryptocurrencies to buy for 2021.
By the end of the article, you should have a solid understanding of the top cryptocurrencies in 2021, how to invest in them and some of the best cryptos to get you started on your journey.
Top 5 cryptocurrencies that will explode in 2021?
This list will always be changing as cryptocurrencies come and go. Not all cryptos can stand the test of time, though there are some in 2021 that will explode next year.
Here’s a look at the top 5 cryptocurrencies to consider in 2021:
Bitcoin – BTC
Bitcoin is the most used cryptocurrency to date, often referred to as “the king of cryptocurrencies”.
Bitcoin was also the first cryptocurrency and there are still many that believe it will be the last one standing in the end.
Other than that, the reason why you should keep Bitcoin on your investment radar is that it has the highest liquidity in the crypto space, which also makes it the best cryptocurrency to buy if you are a beginner.
Ultimately, you will have absolutely no trouble buying or selling Bitcoin. People are buying and selling Bitcoin non-stop. There will always be someone on the other end ready to match your order.
As demand increases, Bitcoin’s price is expected to rise substantially as there will only ever be 21 million coins.
Litecoin – LTC
One of the main reasons to consider investing in Litecoin this year is its high liquidity and a large market cap.
If you want to avoid risks, stay away from coins with smaller market caps and communities and go with cryptocurrencies like Litecoin.
At the moment of writing Litecoin is fluctuating around $81.59, which makes it pretty affordable. The LTC market capitalisation is $5,792bn. Studies show that Litecoin will trade at $88 in one year and will climb up to $347 by the end of 2024.
Ethereum – ETH
Despite the negative performance of every crypto in late March, Ethereum was strong throughout 2020. In September, the price of Ethereum hit $480 point, which is the highest in 2020.
The success of Ethereum is quite understandable. The first factor is Defi growth. Chainlink, Wrapped Bitcoin, Maker – all those tokens made on the Ethereum basis. The second factor is the launch of Ethereum 2.0. There are almost 50,000 ETH blocked on the deposit contract, at the moment of writing.
It’s quite obvious that Ethereum is a good investment option because it’s staying along with Bitcoin for many years. The silver cryptocurrency has high liquidity, so you won’t have to worry about selling and purchasing it. By the way, Changelly allows you to buy or exchange ETH coins and other crypto-assets with just a couple of clicks.
Founded in 2017 by the foundation led by Justin Sun, TRON ranks 10th in the cryptocurrency rating: capitalization – $ 2.96 billion, daily trading volume – $ 177.87 million. The number of 4 million accounts shows just how much people believe in this crypto, and you can also use it to pay for accessing original material.
Since Tron became the owner of BitTorrent, the chances of profit have doubled. One project holds two cryptocurrencies in the market at once. However, Tron is more successful in his performance. Although the cryptocurrency did not bring large profits to its holders, it did not drop dramatically in price. In September, the price of an asset tripled from $0.01 to $0.03.
Tezos (XTZ), based on the Tezos blockchain, is already popular among crypto-enthusiasts, and many predict a pretty bright future for it, although its current worth is only $2.91. Even so, it is currently in the top twenty cryptos in the world, and by most experts, it will go further on the list in 2021.
For a year and a half, this crypto was losing its value, but in the last couple of months, there was a trend of steady growth. Due to the high interest and the investment of Elevated Returns financial group, a prosperous future is expected for this virtual money, and the utility token is something to expect to come to the market by the end of 2020.
Wrapping it up
Given all the mentioned innovations and advances of cryptocurrencies and blockchain technology, we can all agree that some of them still have pretty tremendous growth potential. Wider acceptance and inflows of institutional money will certainly have a positive impact on price developments. But of course, there will be a need for attention and caution, as the cryptocurrency market is still pretty unpredictable if you do not have the right knowledge.