In 11 years, the market went from Bitcoins to over 4,500 cryptocurrencies circulating in 2021. As of January 2021, the cryptocurrency market passed $1 trillion, with bitcoin holding 69% of the market value. The growth of cryptocurrency market value is largely attributed to the increase in investments. More and more investors are diversifying their crypto investment portfolios, investing in numerous altcoins. This lead to a rise of 30% of the top 10 leading altcoins and a 20% increase in the micro-cap altcoins.
In this article, you will read about the top 10 cryptocurrencies to watch out for in 2021.
1, Bitcoin (BTC)
In 2009, the first Bitcoin was mined, introducing cryptocurrencies to the world. Its decentralized, blockchain technology is changing the way we send and receive funds.
Since 2009 more than 18 million bitcoins are mined, expecting to reach the maximum supply of 21 million.
Bitcoin continues to be the preferred trading cryptocurrency for small and large investors, currently capturing two-thirds of the market. Today, Bitcoin has a total market value of $963 billion, with a single coin selling for $52,000.
2. Ethereum (ETC)
Ethereum launched in 2015 as a decentralized financial platform. It uses Smart Contracts, Decentralized Application, and Proof-of-Work network to make transactions in real-time.
In 2021, Ethereum is switching from its proof-of-work to proof-of-stake algorithm. The changes will increase the transaction speed and decrease energy usage, two propitious features for its future.
The second-largest cryptocurrency in the market has a market cap of $185 billion, while ether prices at $1,218.59.
3. Cardano (ADA)
Cardano is a research-based cryptocurrency. It came into the market after its engineers, mathematicians, and cryptography experts published over 90 papers on blockchain technology. Co-founded by Charles Hoskinson, one of the founders of Ethereum, Cardano’s blockchain has superior features, beating Ethereum proof-of-stake model.
Since the beginning of 2021, Cardano has been increasing significantly, ranking as the third cryptocurrency in the market with a market cap of $40 billion and a token value of $1.25.
4. Binance Coin (BNB)
Binance Coin is the cryptocurrency of Binance Exchange, one of the biggest exchanges in the world. The coin initially operated in the Ethereum network until it moved to Binance Exchange.
The cryptocurrency hit a price peak in February 2021, ranking it the fourth in the market with a total value of $39 billion and a single BNB price of $250.79.
5. Tether (USDT)
Tether is a cryptocurrency with less fluctuation in price as its price is directly tight with the US dollar price. Blockchain technology with easy transfer of crypto currencies to US dollars is what makes Tether expedient.
Today, Tether has a market value of $35.9 billion, with a Tether coin sold at $1.
6. Polkadot (DOT)
Another cryptocurrency created by former Ethereum founder, Polkadot, is unique for its interoperability of varying networks. Polkadot allows the developers to develop blockchains using the own Polkadot chain security, known as shared security.
Starting 2021, Polkadot has shown a continuous increase, now sitting as the sixth-largest cryptocurrency in the market with a market value of $34.5 billion and a coin value of $37.86.
7. Litecoin (LTC)
An alternative to Bitcoin, Litecoin is a decentralized payment network that uses scrypt as proof-of-work. Litecoin has a 2.5 minutes block generation rate, compare to Bitcoin 10 minutes transaction time.
With the fast transaction rate and the growing number of traders who accept Litecoin, the cryptocurrency is gaining its pace, currently ranking 8th. As of March 2021, Litecoin has a market cap of $12 billion and a coin value of $192.62.
8. Chainlink (LINK)
Chainlink operates in a decentralized oracle network which allows smart contracts to communicate with data from outside. Chainlink consists of an ecosystem of various decentralized oracle networks that create limitless opportunities to connect the smart contracts.
Currently, Chainlink ranks ninth in the market with a total value of $12.5 billion, while the price for a single coin is $30.45.
9. Bitcoin Cash (BCH)
In 2017, Bitcoin Cash was created as a fraction of Bitcoin, know in the cryptocurrency world as a hard fork. What changed with Bitcoin Cash was the increased size of blocks, subsequently increasing the number of transactions and scalability.
Over the past three months, Bitcoin Cash has kept a steady growth, ranking tenth in the market with a total market value of $9.9 billion and a price of $537.08 for a single token.
10. Stellar (XLM)
Stellar is an enterprise blockchain designed to support large, cross-border transactions. With its currency Lumens, Stellar facilitates large transactions in real-time, with no intermediaries and little cost.
It spiked a 200% increase in January 2021 and currently ranks eleventh in the market. Stellar holds a market cap of $9.7 billion with a Lumens value of $0.4.