Top cryptocurrencies to invest in 2021
Top cryptocurrencies to invest in 2021
In the past few years, we have seen massive growth in the cryptocurrency market. take us an example Bitcoin which started at less than $9000 last summer and now up over 600% in 2021. That means if you invested just $1000 one year ago today, that money would be worth over $6000 right now.
So unlike the stock market or any other types of investment, Options like bonds, real estate, or physical commodities which include precious metals, Pokémon cards, or even the latest craze of NFTS, The cryptocurrency market has a ton of unique characteristics and benefits that make it more attractive to new investors, which include the following one. It's not a bubble likely seeing pop within real estate. With the 2008 housing market crash or even the latest NFT crash where the demand has completely fallen off since earlier this year, although there could be some individual pump and dumps with low market cap altcoins, we've seen Bitcoin and the overall crypto market enter consistent cycles since it was first introduced to the public. We refer to this cycle as the Bitcoin cycle.
Now, this focuses on the Principle of what we know as the halving where every four years or 210,000 blocks are being mined get cut in half. So history has shown us that there is indeed a positive correlation between Bitcoin halving and increases in the price of Bitcoin, and it is noted that within these four-year periods we see a consistent cycle of natural pullbacks and huge bull runs. So for the year 2021, it's estimated that Bitcoin will rally to over $100,000 with some price analysts even putting Bitcoin at 250K by the end of the year for their price target.
I encourage you to make the decision for yourself if Bitcoin is right. And if there is much more room to grow, but what I know is there have been a lot of people in my own life who became crypto millionaires through nothing, just by slowly investing and holding through all the seasons. And I know that you have a chance of making money in this market as well. For me personally, I continue to average into all my investments and I don't think we're anywhere near the top of this. And we still are very early in the overall development of cryptocurrency.
I spend hours every day doing as much research as possible so you don't have to. And you'll have a full complete understanding of cryptocurrencies.
We will first start by discussing what crypto is, what the current trading price is, and why I believe it's considered one of the best investments to make.
. For the first crypto to invest in 2021.
This is going to be Bitcoin, so why is Bitcoin essential to every investor's portfolio? they were literally the first cryptocurrency to come out and be the brand face of what crypto is today with unquestionable popularity in the market and still the number one coin to rank. in market volume, bitcoin will stand to be one of the most trusted cryptocurrencies. In these four year periods, we see a consistent cycle of natural pullback san huge bowl volume bitcoin will stand to be one of the most trusted cryptocurrencies available in the future
In addition to that, bitcoins fundamentals have not changed and still offered gold-like properties where Bitcoin is expected to be completely minded by the year 2140. Now, this limited supply creates scarcity and acts as a store of value, appealing for any large institutions or newer investors. From what we know Bitcoin, is 100% safe, reliable. Many more institutions are opening up to the wide adoption of cryptocurrency, which almost always starts with enabling access to Bitcoin first. in my non-financial opinion still, a great time to buy it.
It is essential that you need to have in your portfolio now. Although Bitcoin is considered a much more stable investment and the metrics to measure a Bitcoin's value are considered much more well defined due to the similar properties it shares with gold, Ethereum is an open canvas with much more opportunity to grow and revolutionize the entire world.
Just like if you were a value investor in the stock market, any company, or in this instance a project and protocol you want to focus on making pics that appeared to be trading for less than their intrinsic value.
Etherium provides such a strong foundation that any new project trying to break through in the space just simply cannot ignore, so I've used this example many times in the past, but if you were to think of it like this. Here's what you should know. The big coin is gold, Ethereum is just like electricity, where it provides real value on thousands of different applications.
On the home page of Ethereum, Here are six benefits that they showcase
one banking for everyone.
A more private network,
a peer to peer network,
the compatibility for the win.
In the past year we've seen Ethereum start at just $200 and now up over 1263 cent what I really love about Etherium is that in comparison to the more major pullbacks with Bitcoin in the overall crypto market, Ethereum continues to stand strong on its foundation, and continues its independent bullish movement forward.
so the third crypto on this list is going to be Cardano, also referred to as Ada and Fun fact, The token was shortened to ADA for Ada Lovelace, a 19th-century mathematician, and Cardano for some famous English poets. One thing I need to mention is that Cardano and Ada are not the same things. So Cardano is a blockchain while Ada is a cryptocurrency that lives on the Cardano blockchain. The whole idea of Cardano is that it's built to simply solve problems the way they do.
This is by using peer-reviewed research to develop a network that avoids. Any negatives of Bitcoin or Ethereum, where the rules have already been set in place? If you know crypto you know that not all cryptos are perfect, all of them have some type of individual flaw.
We know with Bitcoin, network speed isn't the fastest and there could always be upgrades made to the system. There's a lot more to Cardano, like how it has three different layers at all. Work in conjunction to support the purpose of this token. Or how it also focuses on creating an Internet of Blockchains where all cryptocurrencies can communicate with each other. In the future, I do highly recommend you to do your own research before investing so you know exactly what you're backing up. In the past year, Cardano has increased over 2600% and has been trading sideways for the past Right around the $1.00 mark and I see this as a potential buying opportunity here as well.
Now the next crypto we have on this list is tethered, so unlike the last few cryptocurrencies I mentioned on my list, Tether is what we call a stable coin. So this means it mirrors the value of the US dollar and the idea was to create a more stable cryptocurrency that could be used like digital dollars.
So one tether is going to be equivalent to one U.S. dollar, and although this may not sound appealing to any new investor trying to Yellow Moon shot their money to 100 extra turn tether is great crypto for anyone who virtually hates any type of risk yet still get some upsides.
how does Tether have any type of upside? If it's back to the US dollar, several exchanges offer huge interest deals for just holding.
I go over the fundamentals of the crypto, its use case applications, and talk a little bit more about how it's trading. Now. I consider chain link one of the best cryptocurrencies to invest in right now because of what this token offers and the current market price. So chain Link allows the digital world to connect with real-world applications through oracles and smart contract programs. Getting information.
In and out from digital blockchain to the outside world has always had an array of issues such as vulnerabilities, security, accurate information, and just overall reliability chain link offers the solution to all that and has huge potential in this market. I personally love the most about chain link because their price is high enough to not be considered a dog water dookie coin but still appealing. Many new investors who are just getting started with crypto and have their eyes gauged on the market price chain link are sitting at around $35 at the time of this writing and has a growth of over 877% in the last year.
Polkadot is another proof of stake cryptocurrency that's built to help. We've all the blockchains together. This is like that anime. Think of the name it implies polka dot or connecting the dots together.
Another example to make this easier to understand if you were to think about how HTML allows sites, browsers, and security to all connect with each other. Polka Dot is focused on offering those same benefits but on the blockchain networks, Opoka dot does this by using something called Para Chains to access a network's proof of stake and validate transactions and. Security polka dots mission is to become the framework of where all blockchains will be built, so companies know that their foundation is solid and engineered on a network from the ground up.
on this list is one of the most controversial cryptocurrencies and that is going to be XRP, so XRP is oftentimes used interchangeably with Ripple. However, both are surprising. A very different ripple is the name of the company. A network behind XRP, which is a cryptocurrency itself. The benefit that XRP alongside Ripple is that this provides a payment platform that processes transactions at an affordable and rapid pace, which solves many of the issues within the current financial system. Unlike Bitcoin, where was designed to help people stay away from traditional financial institutions. XRP was intended mainly to help them by offering those lower fees and lightning-fast transaction settlements.
Since December 2020 the SEC has been undergoing a lawsuit against Ripple where they claim that the defendant failed to register the proper securities needed which put them in violation of the Federal Securities law. This resulted in XRP being delisted from most popular crypto exchanges like Coinbase, just as an example. Now, although XRP was delisted in the price, I started to plummet since the public mention of this lawsuit, you can still find the various amount of ways to purchase XRP even during this time. Many investors, myself included, believe once XRP settles this lawsuit, they will continue their pace for another ebola run. XRP is currently up over 500% this year and is trading at $1.33 during the time of this recording.
7. Stellar lumens
So Stellar and XRP actually have a ton of similarities where they focus on offering fast, reliable, and affordable global payments. Stellar aims to accomplish this by offering a network that connects banks, payment systems, and people all around the world.
To send money right now, anywhere in the world, you often have to first exchange that currency to whatever countries it is, then send it through a middleman service, and then make sure both parties have a bank account linked. So you can verify that they got that transaction if you ever tried to send money to a friend or loved one from all around the world.
You know how scary, inefficient the process can really be. Now look stellar is trying to solve that problem and remove a lot of those steps and allow people without bank accounts to receive or send money wherever they wish.
Stellar Lumen is ranked number nine among the entire crypto market and is currently under $0.50 during the time of this record. In the past year, they are up 600% with more expected room to grow. You can purchase sellers on most crypto exchanges and if you go on coin base you can do something pretty interesting where you can get paid to learn more about how stellar works. I went ahead and took their lessons and earned a $10 in Stellar in 5 minutes of work. If you have not yet signed up for Coinbase, I have a link for that down below where if you deposit $100 into the app will also be giving you. A meat little treat of an extra $10 as well,
In the past year, this crypto has increased 6869% and is ranked number 14 on coinmarketcap.com.
This cryptocurrency is called Solana and instead of trying to solve an issue with new innovative methods, these guys go ahead and focus on improving on what has already been done.
So Solana focuses on solving the problem of scalability in the blockchain, and they do this by increasing the capacity of more than 50,000 transactions per second. They're able to accomplish this through the proof of history consensus model, and this system plans to embed historical records such as timestamps, to prove that transactions were established at a certain point in time, which will organize and speed up the network. Solana is one of the more complex cryptocurrencies in terms of trying to explain how they work, but for the scope, you can just think of it like this. Transaction networks like we know PayPal and Visa can Hundreds of thousands of transactions every single second because of how they're optimized. Just try to wrap your head around how many transactions visa is completing right now with the amount of volume happening around the world. Every credit card swipe is getting processed, attract, and approved every second of the day. Right now, in today's age, crypto is nowhere near that level of scale. But if we were able to create a system that could better optimize this capacity to serve more pe That could come from Solana. Currently, this cryptocurrency is trading for $46 and has had an incredible year of over 6800% in total gains. If you're looking to invest in Solana, they're currently not supported by Coinbase or crypto.com, but they are available on other exchanges. Like Binance. I'll have a link down below in the description if you guys want to check that out.
Now the final crypto on my list is gonna be the chain, so I've been an investor in Vechain since the summer of 2020 and I've made a return of over 2500% in that span of time.
Now the purpose of Vechain is to help build a system where the supply chain is monitored through anti-fraud technology combining physical tracking with blockchain records to help crackdown. On fraud and fake knockoff products to make this easy to understand, think of it like this. Imagine you want to go ahead and buy your mom or significant other a brand new designer Goyard bag. So what you do is you go to the designer store and you pick it out. You buy it and when you gift it to your mom, she looks at you and says, wow, why did you buy me a fake? You realize that the go yard store just sold you a counterfeit product. And you gave your own mother a fake bag, believe it or not, this happens all the time and in many different industries from across the world.
This could be in food production to car manufacturing and much much more. So Vechain offers a technology where each product throughout its stage in the supply chain can be tracked and recorded onto blockchain technology. So it could be verified and authenticated. To make sure that it is legit, I personally love the chain because of the real-world applications it has to offer alongside the incredible support team of advisors that they have at the time of this recording, the chain is just at $0.20 for each coin, and I believe this is one of the cryptocurrencies you want to consider holding for a very long time now.