Top 10 Promising Cryptocurrencies to Invest in 2021: Market Data Analysis

2025-12-26 11:04:12

With over 7,000 cryptocurrencies in circulation, choosing which coin to invest in becomes a major challenge for new investors. This article will help you filter the list of cryptocurrencies worth investing in based on market capitalization, liquidity, and underlying technology.

Why Is the Cryptocurrency Market Growing Strongly?

2020 saw a surge in cryptocurrencies as governments continued to print money and inject economic stimulus packages. Bitcoin is widely regarded by analysts as “digital gold,” a safe-haven asset during times of economic uncertainty. As yields from traditional investment channels decline, cryptocurrencies become an attractive option for investors seeking growth.

Capital flowing into the virtual currency market helped the total industry capitalization surpass $600 billion by the end of 2020, signaling a continued positive trend into 2021.

Top 10 Cryptocurrencies to Invest in 2021

1. Bitcoin (BTC) - The King of the Market

Bitcoin remains the most valuable cryptocurrency, with a market cap of approximately $635 billion as of the end of 2020. Launched in 2009, Bitcoin pioneered the world of cryptocurrencies and has the highest liquidity.

Launch Date: 2009
Market Capitalization: $635 billion
Total Supply: 21 million BTC
2020 Return: 235.1%

Thanks to its long-standing stability and widespread recognition, Bitcoin continues to be considered the safest choice for crypto investors.

( 2. Ethereum )ETH### - Platform for New Applications

Ethereum is not just a cryptocurrency but also an ecosystem for decentralized applications (DApps). Developed by Vitalik Buterin on the Smart Contract platform, Ethereum offers limitless programming possibilities for developers.

Launch Date: 2015
Market Capitalization: (billion
Current Price: $2.97K )↑1.80% 24h$152
2020 Return: 470.2%

The application potential of Smart Contract technology is highly valued, even more than blockchain itself, leading ETH to experience rapid growth.

( 3. Litecoin )LTC( - An Improved Version of Bitcoin

Litecoin operates as a faster version of Bitcoin. Transaction processing speed is four times faster, with a total supply of 84 million units )compared to Bitcoin###.

Launch Date: 2013
Market Capitalization: $5.94B
Current Price: $77.42 (↑1.70% 24h)
2020 Return: 216.0%

Litecoin has successfully tested the Lightning Network, enabling instant transfers with very low fees, opening up broad practical applications.

( 4. Ripple )XRP( - Global Payment Solution

XRP is designed as a bridge for international transactions, with faster transfer speeds than traditional internet banking and minimal costs.

Launch Date: 2013
Market Capitalization: $113.82B
Current Price: $1.88 )↑1.23% 24h(
2020 Return: 14.52%

Major financial institutions like American Express and JP Morgan have adopted Ripple technology. Negotiations with the Central Bank of Saudi Arabia and other financial groups could further drive XRP prices upward.

) 5. Bitcoin Cash ###BCH( - Daily Payment Cryptocurrency

Bitcoin Cash uses larger block sizes to optimize for use as a practical payment currency.

Launch Date: 2017
Market Capitalization: $12.09B
Current Price: $605.25 )↑3.87% 24h(
2020 Return: 74.73%

As long as Bitcoin remains the market leader, Bitcoin Cash will continue to develop as a more liquid alternative.

) 6. EOS - Free Application Platform

EOS operates similarly to Smart Contracts but with the competitive advantage of free transactions within its ecosystem.

Launch Date: 2017
Market Capitalization: $2.5B
2020 Return: 0%

Although it hasn’t experienced sharp price fluctuations like BTC or ETH, the daily transaction volume of EOS is steadily increasing, indicating growing demand for practical applications.

( 7. Tezos )XTZ### - Advanced Security Technology

Tezos promises an annual return of 6-7% through its Proof-of-Stake mechanism. You only need to hold XTZ to receive periodic dividends.

Launch Date: 2018
Market Capitalization: $2.1B
Current Price: $0.45 (↓0.08% 24h)
2020 Return: 48.1%

Compared to mining coins, Tezos’ Proof-of-Stake is much simpler and suitable for investors looking to accumulate cryptocurrencies.

( 8. Maker )MKR( - Stable Cryptocurrency

Maker is a platform on Ethereum that helps maintain the stability of the DAI token close to )USD. MKR tokens are created or destroyed based on demand.

Launch Date: 2018
Market Capitalization: $1.4B
2020 Return: 27.62%

After two years of operation, Maker has proven effective even during periods of high market volatility.

9. TRON (TRX) - Content Sharing Platform

TRON is designed so that users receive rewards for sharing content on decentralized applications.

Launch Date: 2018
Market Capitalization: $26.37B
Current Price: $0.28 ###↓0.03% 24h(
2020 Return: 106.9%

TRON’s market cap has grown to $1.8 billion, and the trend of earning from content sharing is increasingly popular, promising continued growth.

) 10. Cardano (ADA) - Sustainable Technology

Cardano, developed by Charles Hoskinson (co-founder of Ethereum), focuses on scalability, interoperability, and sustainability.

Launch Date: 2017
Market Capitalization: $10.6B
2020 Return: 436.36%

Cardano’s technological infrastructure is highly regarded and continues to be improved, laying the foundation for long-term growth.

Why Invest in Cryptocurrency?

Three Main Advantages

1. Fractional Units Cryptocurrencies can be divided into millions of parts, allowing investors to start with any amount of capital.

2. High Liquidity Crypto exchanges operate 24/7, enabling trading anytime and anywhere.

3. Transparency All transactions are recorded on the blockchain, and all network users can verify them.

4. Portfolio Diversification Over 5,000 different cryptocurrencies with various technologies allow risk diversification.

5. Low Costs Transaction fees on blockchain are significantly lower than traditional bank transfers.

Three Ways to Profit from Cryptocurrency

( Long-Term Investment )Hold$1 Buy and hold promising coins with high liquidity such as BTC, LTC, XRP. Since cryptocurrencies are considered the future of the financial system, increased demand will positively influence prices.

Advantages: Easy to implement, no daily monitoring needed Disadvantages: Long profit-taking period, requires patience

( Mining Cryptocurrencies Solve encryption algorithms with computers to earn coins. This method requires high technical knowledge and investment in expensive hardware.

Advantages: High profits without buying at high prices Disadvantages: Requires programming skills, high equipment costs

) Contributing to the Community Participate in decentralized applications, share content, or play games to earn tokens as rewards.

Advantages: Easy way to earn virtual money Disadvantages: Small earnings, long-term commitment needed

Conclusion: Smart Choices for the Top 10 Cryptocurrencies to Invest In

To succeed with the top 10 cryptocurrencies, follow diversification principles. Do not concentrate all your capital on a single coin but allocate across multiple cryptocurrencies with different underlying technologies.

If you are a new investor, prioritize large-cap coins like BTC, ETH, XRP—coins that have proven their resilience in the market. Avoid newly issued coins due to high risk of disappearance.

Finally, always conduct thorough research before investing, as the cryptocurrency market remains highly volatile. Monitor the market, stay updated with news, and adjust your strategy according to macroeconomic conditions.

BTC-0,49%

ETH-0,84%

LTC-0,62%

XRP-1,17%

View Original

This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.