As far as potential goes, cryptocurrency has consistently been living up to – and even surpassing – its own. Cryptocurrencies have done so well over the past decade that their profit potential – and actual profits – are ahead of stocks and commodities. With this in mind, finding the cryptocurrency with most potential in 2021 should prove to be no simple feat. More so with over 500 different cryptocurrencies in the current market. Of course, we must start with an honorable mention for our old friend the Bitcoin.
In addition to being the father of cryptocurrency, it’s one of the most versatile cryptos around. 2020 was a banner year for Bitcoin. It dove as low as $4,000 back in March but then bounced back later this year. It has been having one of its best months this December. At the time of writing this article, it’s at nearly $30,000. According to many predictions, bitcoin is headed for the sky if things continue as they have been going. In fact, the most prominent experts predict it will cross the $100,000 mark by the start of 2022. According to the City Bank, it could hit as much as $300,000, but one must take these predictions with a grain of salt. Experienced investors will corroborate it can be as volatile as it is versatile.
So out of the other 500-plus crypto out there and their different mining algorithms, which ones stand out as the ones with the highest potential? Here are our top 5 picks for…
Cryptocurrencies with the highest potential in 2021:
In a way, Litecoin is a derivative of Bitcoin. It’s considered a light version of Bitcoin. As an organized platform with plenty of followers, it’s looking like its future is very bright. One of its most significant benefits is in block mining time, which is significantly shorter than Bitcoin. The average time to mine a block is approximately 2 minutes. This crypto is giving out signs of potential growth similar to those of its ancestor.
Saying Ethereum is a popular cryptocurrency is an understatement. The second most popular crypto after bitcoin is showing great potential for the coming months. It has also had impressive growth over the past few months. It is over $700 at the time this article is happening. This cryptocurrency is based on the same technology as bitcoin. However, it provides some significant improvements. With the recent launch of ETH 2.0, there’s very little doubt left about what will happen to this crypto in 2021.
Basic Attention Token (BAT)
Though it peaked in 2018, it’s still a force worthy of attention. It has an air of techy bohemia, being the favorite of content writers, web developers, and marketers. Its glory derives – among other things – from its creator – who co-founded Mozilla Firefox. While its fame is reserved mostly for those in the know, it continues to climb steadily from year to year.
Tron is a unique altcoin that aims to transform the entertainment industry. It is based on the previously mentioned Ethereum network. It rewards its users with TRX for creating and sharing content. The system has a fascinating concept. It enables a more transparent monetization process than the process used by social media.
Tron already has Samsung as a partner, as well as several large Asian companies. The company released TRON 4.0 in late 2020 with significant upgrades to the network. All this bodes well for the promising altcoin.
This cryptocurrency, which forked off Bitcoin in 2017, shows great potential as well. It made several improvements over its ancestor. The system is made of larger blocks, which enables more transactions per block and consequently improves scalability.
Another difference from Bitcoin is the mining difficulty. Bitcoin adjusts the mining difficulty approximately every two weeks. Bitcoin Cash did the same. Subsequently, miners started switching the mining activity between the networks. That meant the proliferation of Bitcoin Cash slows, as it isn’t mined as often as it can be. So the creators made mining easier to get full-time miners on their network.
If the success of Bitcoin is anything to go by, Bitcoin Cash wouldn’t be far behind.
Hopefully, this article gave you some idea about which cryptocurrency you’d like as an investment. At the very least, it should bring some optimism to the start of a year that’s aptly named “twenty-twenty won.”
Here’s to a glorious and lucrative 2021!