Investments, as we knew them decades ago, have undergone revolutionary changes that accompany the advance of the massification of the Internet. Therefore, talk about What is the best Cryptocurrency to invest? It’s important.
Today, in addition to making stock investments in the stock exchange in a traditional way, many people have dedicated themselves to investing in cryptocurrencies.
Next we will answer which is the best cryptocurrency to invest.In which cryptocurrencies to invest in 2021?
A cryptocurrency, cryptocurrency, or cryptoasset is a digital medium of exchange that uses strong cryptography to secure transactions, control the creation of additional units, and verify the transfer of assets using distributed ledger technologies.
This resource has been used for several years, adding followers who decide to invest savings or generate profits through cryptocurrencies. This amplification in cryptocurrency investors made it possible for more and more crypto to join the market, granting a much larger supply portfolio that already reaches more than 10 thousand different options in cryptocurrencies.
Among the main cryptocurrencies to invest in 2021 are:Ethereum
It is the largest cryptocurrency in the world after Bitcoin. It currently has more than $500 billion in market value, surpassing huge “traditional” companies.
So far in 2021, it registers a rise of almost 500 percent and is consolidated as one of the best proposals to invest in cryptocurrency. Sunny spot
This cryptocurrency is defined as an altcoin or “alternative cryptocurrency”.
It is the one chosen by several investors since it possesses some features that are not found in Bitcoin, such as the possibility it gives users of its blockchain to make decentralized applications (DApps), non-fungible tokens (NFT) and more.
It currently competes with Ethereum for certain similarities in its operation, and is considered by numerous investors as a way to diversify.
Sola managed to raise its price by almost 15,000 percent so far this year, although it rose more than 17,000 percent and then suffered a small correction.
Thanks to this it is currently positioned as one of the 5 largest cryptocurrencies in the world, with a current market value of USD 68,000 million, and being the fourth largest non-stable cryptocurrency. Bitcoin
It is the cryptocurrency par excellence and the one that has been most installed in today’s culture. It currently holds more than $1.14 trillion in market capitalization and is the eighth most valuable asset on the planet.
Its importance is such that it came to be considered as digital gold, while its value is given by being considered as a safeguard of capital in the long term.
So far this year, Bitcoin has managed to double its price, and reach new historical peaks. Although it currently suffered a setback that led its price to fall to USD 60,000 per unit. Dogecoin
Believe it or not, this cryptocurrency was born directly from an internet meme. It garners numerous followers who classify it as one of the promises in the crypto world, while others criticize it saying that this type of token does not have any kind of validity.
Despite its controversies and short time since its creation, DOGE is currently the ninth most valuable token in the crypto world and has a market value that reaches almost USD 32,000 million dollars.
In the course of the year it has registered a rise of more than 5 thousand percent, although it rose by 16 thousand percent at its peak.
This cryptocurrency is one of the most used by large investors and entrepreneurs as a means of payment, being backed by Elon Musk himself.
It is positioned as the 25th largest token in the world. Its market value exceeds $8 billion, and it’s an ever-growing crypto investment game.
It is one of the two tokens of the company Axie Infinity and has had a solid and consolidated growth in those who find in virtual games the possibility of generating money and investing in cryptocurrencies.
The idea of investing in an asset that presents growth and good performance for millions of people who were excluded from the traditional financial system is extremely attractive.
However, it often raises questions about how much money is needed to invest to effectively make good profits with cryptocurrencies.
Various specialists in the area of finance provided some recommendations that may be useful. If you are just starting out in the world of cryptocurrencies pay attention.
Several of them agree on the following aspects:
- Do not invest in cryptocurrencies more than 3% of income or 10% of assets at risk.
- Don’t invest if you don’t have a solid emergency account or if you don’t have solid savings for retirement, college expenses, or health insurance.
- Never invest more than you can afford, that is, pay all the basic expenses first and then invest the remaining money.
Best cryptocurrencies to invest in the short term
If we remember that cryptocurrencies are today a more than interesting and striking option, choosing one of the thousands of cryptocurrencies that gives us better results is fundamental.
For those looking for short-term performance, there are some cryptocurrencies that may be better than others.
- Bitcoin: Buying now can be a good investment for the future due to the drop in its current price.
- Ethereum: It has seen massive gains since its introduction in 2015 and can be bought and sold on mass-use platforms such as eToro or Binance.
- Polygon (MATIC): is an Ethereum sidechain that is scaling at a rapid pace and could be an excellent option for short-term investing.
- Cardano: is one of the biggest competitors of Ethereum and has a proof-of-stake consensus algorithm that allows faster, cheaper transactions and is friendly to the environment.
Considering the possibility of investing in cryptocurrencies is a question that grows among millions of people around the world, being an alternative that promises and that if you have the right training and advice can bring with it excellent benefits.