While it’s hard to determine how well cryptocurrency will do tomorrow, there are more than 7,000 cryptocurrencies on the market today and it can get confusing on which ones to invest into.
From the more mainstream popular digital currencies to some of the lesser-known currencies, here are five of the best cryptocurrencies to buy in 2021.
First on the list is of course Bitcoin.
Bitcoin has dominated the market since 2009 and has recently seen a massive comeback as prices surged to more than $40,000 by January 2021.
That means that Bitcoins have accounted for about 69% of the cryptocurrency market as the market capped at $1 trillion.
The most notable feature of Bitcoin is its blockchain technology where it accounts for all transactions across all members of a network.
This well-established digital currency has seen worldwide acceptance in the market making it one of the most attractive currencies for investors to buy.
At number two we have Ethereium or ETH.
Etherium took Bitcoins similar approach to blockchain technology, but it takes it one step further in decentralizing the currency.
“Ethereum is an open-source, blockchain-based, decentralized software platform used for its own cryptocurrency, ether.”
They enable smart contracts where they can run the program without any worry about fraud, control, or interference from a third party.
It is quickly approached a market cap of $139 billion putting it right behind bitcoin in second place.
We have Litecoin coming in for number 3.
Even though Bitcoin is the leading digital currency at the moment, it has been known for its slow transaction speeds.
“Created from a copy of the Bitcoin blockchain, Litecoin is designed specifically to address this problem, outspeeding Bitcoin by almost four times when it comes to transaction throughput.”
Litecoin uses a different mining algorithm giving you the ability to make payments as quickly as possible.
For number 4 we have Cardano’s ADA coin.