The cryptocurrency market is in recovery mode, led by the growing interest of institutional investors in blockchain technology. Some of the best cryptocurrencies have been trading with a double-digit rise for a week.
Additionally, alternative crypto tokens apart from Bitcoin and Ether are likely to capitalize on the bullish sentiments.
Here are seven of the best cryptocurrencies investors can explore in 2021.
- Ripple (XRP)
Ripple’s native token XRP climbed by more than two times against Bitcoin on Wednesday, July 28. The crypto coin gained over 232 per cent year-to-date (YTD), capitalizing on the current crypto rally.
XRP witnessed a massive pullback early this year due to the US Securities Exchange Commission (SEC)-led the lawsuit against Ripple Labs. The recent court hearing was reportedly Ripple-inclined, where the fintech company demanded testimony of the former SEC chair on July 15.
Ripple plans to explore the nearly $2 billion annual remittance flow between Japan and the Philippines by providing its on-demand liquidity (ODL) solutions.
One of the top cryptos at the moment, Ripple posted a market cap of US$ 73 billion at a price US$ 0.729 apiece on July 28. It may recover to US$ 1 apiece in the current quarter.
- Cardano (ADA)
Cardano’s utility token ADA continues to deliver positive returns for the current calendar year. The token was trading at US$ 1.30 per unit on July 28, with a market cap of US$ 42 billion and posting a growth of 621 per cent YTD.
The smart contract platform’s native crypto could rise by multiple folds once it opens its blockchain project for developers in October 2021.
The platform plans to enable software engineers to create decentralized applications using the Haskell programming language. Cardano uses the ‘proof of stake’ concept, which is likely to upgrade to “proof of work”.
ADA soared to a lifetime high of US$ 2.47 per token in the first half of 2021. It may set a new record price by the end of this year.
- Polygon (MATIC)
Polygon is Ethereum’s second layer that performs faster execution of transitions at a reasonable gas fee. Its native token is MATIC, which ranks among the top decentralized utility cryptos.
MATIC soared over 48 per cent in the week ending July 28, surpassing BTC that has registered a 30 per cent surge in the same period.
Polygon, formerly known as MATIC Network, has become popular as its token gained 5,800 per cent YTD, led by billionaire Mark Cuban’s undisclosed investment in the project.
However, the token was down 61 per cent from its lifetime high of US$ 2.68 apiece (noted on May 19, 2021). The blockchain project could bounce back to its all-time high by early 2022.
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- Polkadot (DOT)
Polkadot is a blockchain network that enables multiple source transactions concurrently, backed by the parallel processing ability. Its coin, the DOT token, posted a price of US$ 14.64 apiece on July 28 and a market cap of US$ 15.75 billion.
The virtual token yielded nearly 102 per cent this year, 2.5x up against the largest cryptocurrency, Bitcoin, which has registered a rise of 40 per cent relatively.
DOT held a circulation of 1.08 billion coins at the time of writing this. Crypto experts believe that the relay chain platform-based utility token could recover to US$ 50 apiece in the next one year. However, any bearish sentiment could force DOT holders to pull back.
- Filecoin (FIL)
File is a peer-to-peer storage network. Its utility token, FIL, has doubled on a YTD basis. The decentralized data storage solution provider’s native token saw a massive slump of 79 per cent from its all-time high of US$ 237 apiece (recorded in April 2021).
The project helps its client in securing private information through blockchain technology. The token debuted on the crypto exchanges in late 2017, with a successful initial coin offering (ICO) where it raised nearly US$ 205 million at the time of its closing.
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The token follows the “market for data” model, where users can sell their data storage. This project could boom amid the rising digital presence due to the COVID-19 pandemic. Its token was trading undervalued, which could grow amid the crypto surge.
- Monero (XRM)
Monero is a peer-to-peer payment platform that always decentralized transactions across borders. Its utility token, XMR, increased by 48 per cent YTD, as per its July 28 price of at US$ 228 apiece. It was posting a market cap of over US$ 4 billion.
XRM token achieved its record price of US$ 542 per unit in early May 2021. It was down by 58 per cent from its all-time high.
The token does not have a cap on its maximum supply.
The anonymous team of the decentralized payment project claims that transactions through Monero are securer than Bitcoin. However, the token faced criticism due to its anonymity as the drug mafia started using it as a mode of payment.
- Stellar (XLM)
Stellar’s utility token XLM is said to rank among the top 10 cryptocurrencies. The native crypto token was marching at US$ 0.2733 apiece on July 28, with a market cap of US$ 29 billion.
The crypto coin, at this price, was down by 69 per cent against its all-time high of US$ 0.8577 apiece (recorded in April 2021). The token could rise to a value of US$ 1 per unit as the decentralized finance (DeFi) platform seeks to bring in more financial firms on its network.
The blockchain technology network claims to allow a secure flow of tokens by using an algorithm model instead of general crypto mining.
XLM token noted a gradual climb amid the bear market, and posted a growth of about 24 per cent in the week ending July 28.