Which Are The Most Popular Cryptocurrencies Of 2021?

In the recent decade, cryptocurrency has gone a long way and advanced at a lightspeed pace. Value is kept, moved, and spent in numerous ways via different assets and solutions, and DeFi has launched new pathways for borrowing and lending.

Let us dive into the most popular cryptocurrencies in 2021:

Bitcoin

It is without a doubt that Bitcoin is the most popular cryptocurrency in 2021 despite its high volatility. It has made mainstream headlines since March 2020 being the crypto with the highest market cap. BTC continued into this year after a rally that saw it get to an all-time high of about $63,000.

Bitcoin’s initial purpose came up as a digital payment system, but analysts suggest its volatile nature disputes the use case. It was created in 2009 by someone under the pseudonym Satoshi Nakamoto. BTC operates on a network of thousands of computers on blockchain or ledger log transactions like several cryptocurrencies. Bitcoin is trading at around $33,000 with a market cap of 596.82B at the moment.

Ethereum

Ethereum comes second because it provides its users with more than just a way of transferring currency. Ethereum formed a base to most smart contract applications and NFTs creation hence the popularity.

Vitalik Buterin, its developer, initially suggested it in 2013, and the blockchain technology-based cryptocurrency came to life in 2015. Ethereum likewise has been growing enormously. In only five years, the price rose from around $11 to more than $2500, roughly over 22,000%.

XRP

Ripple announced earlier that in the first quarter of 2021, its XRP sales were almost double those of the last three months of last year, 2020. The sales were up 97%, from $76.27 million to $150.34 million. Even though the price went down in April, it has stabilized since then and is trading at $0.57 currently.

Ripple’s XRP is popular due to its interlink with traditional banking, something that other cryptocurrencies tend to shy away from. It provides liquidity providers and financial institutions with a way to settle their finances hence more adoption worldwide.

XRP’s direction may be unclear right now, but the currency is performing well and going against the odds, even making it among the top 10 cryptocurrencies in terms of Market Cap.

Dogecoin

If you thought that memes couldn’t make money, this year has proved you can. Well, it technically isn’t the meme but the currency that came out of it.

If you frequently read articles and news in the cryptocurrency market, you must know the Dogecoin narrative and its origin. Yes, what happened as a joke has now become one of the most popular digital currency cryptocurrencies. The meme-inspired cryptocurrency recently made the coin the top five traded crypto with a monthly trading volume of over $253 trillion.

As you mention Dogecoin, Elon Musk comes up because he has been at the forefront through his Twitter account. He is actually among the reasons that cryptocurrency is growing so much in popularity.

Cardano

When a bearish market swings on the market, most altcoins suffer the severe wind of the storm. Also, when Bitcoin and Ethereum plummeted steadily following the major rally, other cryptocurrencies could only follow their lead. Luckily, with Cardano, that wasn’t the case.

Cardano’s adoption rate has increased dramatically since last October, by 227%. However, the current year also imposes a similar tendency for digital currency in line with its price shifts in 2018.

Its popularity can be attributed to the fact that its entire system uses less than 0.01% of Bitcoin’s network. In turn, it makes it more eco-friendly and sustainable, appealing to crypto enthusiasts.

Litecoin

At the beginning of the year, Litecoin trading was not exactly positive. However, crypto investors still saw it as an excellent worthwhile investment due to its efficiency in terms of fees and speed.

The strength of Litecoin resides in its resilient durability and constant evolution. A creator like Charlie Lee, a prominent speaker, and influential advocate, is a driver of further support and one step in the downfall of most crypto-asset ventures. It is unlike the still-anonymous Satoshi Nakamoto.

Continued advances in its codebase could form the basis for further long-term support. Primarily, it includes Lightning Network integration, the improvement of MWEB, and spending and uses developments, such as the Litecoin Card and several other connectors.

At the beginning of last year, Litecoin price was at around $42. It is currently trading at around $126, a major shoot that shows how much popularity it has gained over the year.

Polkadot

Crypto fans find Polkadot appealing due to its focus on giving interoperability between blockchains.

Polkadot intends to combine it by building a cryptocurrency network that connects the many blockchains to function together. The integration could change the management and impressive growth of cryptocurrencies since the start of Polkadot in the year 2020.

Polkadot, a blockchain network that may be defined as a “blockchain of blockchains” or a “multichain,” enjoyed the price increase as never before by Polkadot investors in 2021. According to the crypto exchange Coinbase, their patience showed its worth, as the digital currency rose by more than 70% last month.

Uniswap

Using an automated liquidity model for trading, Uniswap is an Ethereum based token that powers Uniswap, a decentralized crypto exchange. It means that there is no central facilitator, such as a bank or broker. Instead, it is fueled by smart contracts and pooled users. The platform of Uniswap is open source, so anyone can make exchanges using a code of their own hence why it has become so popular.

After it launched in 2020, Uniswap’s price started at $0.48. By July 2021, its price was $16.35 showing that it has grown in popularity.

Conclusion

Every day, increasing numbers of individuals and institutions accept cryptocurrency as an acceptable form of payment. It is safe to say that the number of digital currencies that substantially impact our society is cut to two numbers. These are from the total number of cryptocurrencies and digital tokens.

Some major organizations are also interested in blockchain technology and assess potential applications, like the supply chain. There looks to be a bright future for cryptocurrency and its related technologies, assessment for growth, and adoption. It’s proven from when Nakamoto presented the Bitcoin framework for a minor asset in 2008.

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