People are showing huge interest in cryptocurrencies. Trading and investment in the same have sufficiently increased. Even the big traders have claimed that cryptocurrency holds the ability to make anyone get a good gain. There are many cryptocurrencies available in the market using which you can make a profit. Before we directly jump on the types of cryptocurrencies let’s have a brief look at what cryptocurrency is.
What is cryptocurrency?
The term cryptocurrency is derived from two different words crypto and currency. It is quite easy for you to know the meaning of currency. Just like the coins and the bells by using a cryptocurrency one can also purchase services and goods. Only the thing is the provider should be agreeable to cryptocurrency. The word crypto means the method which is used to make this currency. It includes several cryptographic techniques and algorithms that are used to make bus currencies. Altogether cryptocurrency is a form of electronic money that is available for digital transactions.
Other than its digital presence the thing which makes this different from the regular bills is its decentralized availability. No centralised authority or bank accounts are needed to save or monitor this cryptocurrency. As this one is decentralized it works entirely on the market trends. If you are thinking that only small businesses can show interest in this, then you are highly mistaken. Many gigantic business houses like Chase Bank, PayPal, Google, Facebook, Apple, Tesla and Samsung are also dealing in cryptocurrencies. So now when you know what cryptocurrency is, the next thing you have to see is the prime cryptocurrencies available in the market.
Top 5 cryptocurrencies to invest in 2021
More than 7000 cryptocurrencies are in circulation worldwide. From Bitcoin to Uniswap, all the different types of cryptocurrencies have their own market value and importance. Below we will see some of the best cryptocurrencies in terms of investment.
When it comes to cryptocurrency the first position is reserved for the trader’s favourite, Bitcoin. Bitcoin knocked the doors of the market in 2009 and the people started accepting it with open arms. Ever since this digital money was launched people have started showing major interest in it. This has made Bitcoin the highest market valued cryptocurrency till date. If you are willing to invest in cryptocurrencies, Bitcoin would be the best option for you. It is a decentralized currency that works on a peer-to-peer bitcoin network.
The major advantage of going with this currency is that it doesn’t matter if the price of this one goes higher or falls, it will always be the top currency. Bitcoin owns a market capitalization of $1.01 trillion, BTC. As the market value of this currency is higher than the other cryptocurrencies, it always shows up trends.
The next currency with a considerable market value is Ethereum. The market capitalization of Ethereum stands at the second position, after Bitcoin. It was launched in 2015 by a small group of blockchain devotees. Same as Bitcoin in Ethereum is also a decentralized currency. The software runs without any Central authority and performs peer to peer transactions. The major motto behind the creation of this currency is to make those people available with money who don’t have banks and other authorities.
Ethereum holds a market capitalization of $138.3 billion. Like Bitcoins, this one is also divided into tokens. The per token value of Ethereum is $1,218.59. If you are looking for a secure and decentralized cryptocurrency for trading purposes you can show your trust in Ethereum. It is all set to update its technique in 2021 and come up with new strategies. This has caught the attention of potential traders.
Moving with the next one we have Litecoin. If you are looking for a substitute for Bitcoin then you can certainly go with this one. If Bitcoin is gold then Litecoin is silver. It is also the world’s 6 largest cryptocurrency with a market capitalization of $10.1 billion. This one is also a decentralized currency, just like Bitcoin. The per token value of Litecoin is $153.88, as of 2021. Litecoin was created and launched by Charlie Lee in 2011. This one works on an open-source global payment network and uses “scrypt” as proof of the transaction.
Cardano is one of the cryptocurrency is released in 2017. The co-founder of Ethereum, Charles Hoskinson started developing this cryptocurrency in the year 2015. This digital money came into the market intending to create a public blockchain platform. Like all the other cryptocurrencies this one is also decentralized and is not governed by any bank. Cardano also has an internal cryptocurrency named ADA. The marketing capitalisation of this electronic money is 57,455,447,787.90 as of 2021. Cardano is a little volatile for beginners to trade with.
The last one on the list of top cryptocurrencies in 2021 is Tether. Launched in the year 2014, the previous name of this cryptocurrency was Realcoin. Tether what’s the first cryptocurrency to get a position in the economics of the US. This one holds a market capitalization of $61,774,695,807. To purchase Tether you have to get it exchanged with proportional fiat currencies. For exchange, you can use Japanese yen, dollar or euro. Investors with a good knowledge of cryptocurrencies can trade in Tether, as it holds a great opportunity for earning.
All cryptocurrencies have their advantages and disadvantages. When it comes to trading your strategies related to all the cryptocurrency will help you make a good win. However, if you are new to the trading industry Bitcoins is a good option. You can show your trust in the Bitcoin Era. It is one of the best and highly secured trading platforms. So get yourself registered and start trading with the best cryptocurrency today!
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