The best cryptocurrencies for investment in 2021
19.02.2021 | auglovoi
The end of 2020 and the beginning of 2021 were marked by significant growth in bitcoin — a new all-time high for the cryptocurrency and a record capitalization of the entire digital assets market. Some experts expect that bitcoin will soon be under correction and will go down, while others believe that the cryptocurrency has the potential to make new historical highs.
Bitcoin sets the trend in the crypto market, but at the same time analysts are increasingly looking at altcoins, which have visible potential. Many of these altcoins have long held positions at the top of cryptocurrencies, while some are just gaining momentum and could become an integral part of the cryptosystem in the future.
1. Bitcoin (BTC)
Bitcoin is the core of the entire cryptocurrency market. It is also called “digital gold”. With bitcoin, we are introduced to the crypto industry, so the first place in the ranking of the best cryptocurrencies for investment in 2021 goes to it deservedly.
Strong upward trend of bitcoin began last autumn from the mark of 10 thousand dollars, and in the middle of February 2021 the first cryptocurrency has already surpassed the historical boundary of 50 thousand dollars. You can buy Bitcoin quickly and profitably on our exchange — we do not require any verification, and the operator is available 24/7.
Internationally known entrepreneurs support Bitcoin - including the head of Tesla and SpaceX, Elon Musk, who has invested $1.5 billion in the cryptocurrency from the companies’ assets. Experts agree that the dollar will depreciate in the future, while BTC will continue to strengthen and gain recognition around the world.
2. Ethereum (ETH)
Ethereum ranks well-deserved second on the list of cryptocurrencies worth investing in 2021. Many promising cryptocurrency startups take Ethereum blockchain as a basis because of its broad capabilities — building smart contracts and decentralized applications.
Ethereum has capabilities that Bitcoin does not have, which makes it possible to make a confident prediction for a long-term uptrend. In addition, the Ethereum network has begun a transition to version two with an updated blockchain model and consensus algorithm, which has been a supporting factor and allowed ether to renew its all-time high, rising above $1800.
The update will allow you to earn income from storing Ether in your wallet, according to the PoS algorithm. The transition involves locking Ether inside the contract — thus, the Ethereum team will reduce the speculative impact on the cryptocurrency’s value, ensuring the necessary development of the network and, consequently, the growth of the ETH exchange rate.
3. Polkadot (DOT)
The cryptocurrency Polkadot was introduced in May 2020, and in August it went through a denomination - 1 DOT coin was split into 100 pieces. It can be considered that it was from that moment that Polkadot’s grandiose ascent to the tops of the cryptocurrency ranking began. Today, Polkadot is the youngest cryptocurrency out of CoinMarketCap’s top 10 (ranking based on capitalization). The DOT’s success is explained by the network’s unique capabilities, in particular its sharding technology, which makes it possible to exchange data and tokens between different blockchains.
The DOT token allows the creation of parallel chains - parachains. In terms of impact on the cryptocurrency market, Polkadot is comparable to Ethereum in 2017. Ethereum is up 18000 percent since 2017, while DOT just recently renewed its all-time high, rising to $30. Quite a jump, considering the Polkadot rate was barely over $8 at the end of last year. We believe this is not the cap, and the cryptocurrency will continue its growth in 2021.
4. Bitcoin Cash (BCH)
Bitcoin Cash has become one of the most successful forks of Bitcoin, although even now the cryptocurrency is far from its historical high. In December 2017, the rate of BCH briefly exceeded $3700. Three years later, the cryptocurrency is actively increasing in price again, and just recently renewed its three-year value record, rising to $700. The value of BCH lies in its suitability as a payment instrument — in contrast to the original Bitcoin, BCH uses larger blocks in transactions.
The high capacity of the network is provided by 8 MB blocks of BCH against 1 MB of BTC. The world’s leading payment system PayPal added the ability to store cryptocurrencies to its platform, which includes Bitcoin Cash. This shows the potential of the coin, the turnover of which will only grow, making it a valuable investment asset.
5. Litecoin (LTC)
Good old Litecoin, referred to as “digital silver,” remains an indispensable altcoin in the portfolios of investors of all ranks. The cryptocurrency has been in the top 10 digital assets in terms of capitalization for years, and it recently hit a three-year high, rising above $230 per coin.
The historical record of $375 is still intact, however, LTC has chances to continue its bullish trend in 2021. Moreover, Litecoin also gained support from PayPal, which means that the volume of transactions using LTC will grow, making it an even more affordable tool for investment in 2021.
6. Chainlink (LINK)
Until 2020, Chainlink had been on the back burner of the crypto world, but last year was a game changer for the cryptocurrency. By the end of the year, a single LINK coin had risen from $1.50 to $20, allowing it to break into the top 10 cryptocurrencies according to CoinMarketCap. In 2021, the uptrend of Chainlink continued, with a single coin hitting an all-time high of $34.
The rise of the cryptocurrency was driven by the growing demand for the Chainlink system in various areas of the global economy. Today, LINK is the most in-demand solution in the blockchain oracle segment, as proven by over 350 partnerships. This arsenal of achievements makes Chainlink a very attractive cryptocurrency for investment.
7. Cardano (ADA)
Cardano is a unique project with five eras of system development: “Byron” founding, “Shelley” decentralization, “Goguen” smart contracts, “Basho” scaling, and “Voltaire” management. The cryptocurrency was launched in 2017 and is currently in its second phase, but the ADA team promises to move into a third era in the first quarter of 2021.
For most of last year, the value of a single Cardano coin did not exceed $0.10, but now the cryptocurrency has strengthened to a historically high mark and is trading at around $0.90 on exchanges. Impressive growth and the cryptocurrency’s unique development concept allows us to make a positive forecast for 2021.
8. VeChain (VET)
VeChain cryptocurrency showed impressive growth in 2020, competing in the world of cryptotechnology with networks involved in creating decentralized applications for business. The VET roadmap talks about the goal of making all procedures related to shipments efficient and transparent, while reducing associated costs and giving users of the system absolute control over the situation. This was appreciated by many companies that sought to optimize their work with shipments, for which purpose they implemented blockchain technologies developed specifically by the VeChain team in their business processes.
In 2021, VET renewed its historical maximum — its rate exceeded $0.05 for the first time, while only a few months ago the value of the coin did not exceed 1 cent. From time to time VeChain announces the beginning of partnership with the largest retail companies in the U.S., which gives hope to VET investors that the cryptocurrency will continue to rise in price in 2021.
9. Dash (DASH)
Dash is a cryptocurrency with enhanced protection of transaction confidentiality and high transaction speed. DASH reached its historical peak in December 2017, when the cryptocurrency briefly rose above $1500, which is still a historical record. Throughout 2020, Dash traded in a narrow (by cryptocurrency market standards) price corridor of $70-110, and even Bitcoin’s rise had little effect on Dash’s position.
However, the year 2021 was marked by the rise of the anonymous cryptocurrency, in January the level of $150 was broken through, and another month later the price of Dash reached $268. According to many analysts, Dash cryptocurrency is the best option for anonymous transactions, which means that in 2021 it can be even closer to its historical maximum and increase investors’ contributions.
These are just a small fraction of the cryptocurrencies that are worth investing in 2021. Their presence in this ranking does not guarantee mandatory growth, and with the correction of the crypto market, many of them will lose in value. To avoid losses and profit from buying and selling cryptocurrencies, you should analyze market trends and follow the charts of digital assets.