According to crypto experts, Bitcoin, Cardano, Ethereum, Tezos and Binance Coin are the best performing cryptocurrencies of 2021 so far.
With Bitcoin reaching a new all-time high of $60k, the first quarter of 2021 has been outstanding for the cryptocurrency market. However, we believe that 2021 is only going to get better!
The financial markets suffered tremendously during the early stages of the coronavirus pandemic and it prompted folks to turn to cryptocurrencies as a safe haven asset.
But the economic meltdown didn’t last as long as expected and surprisingly at the beginning of 2021, there was a huge bullish momentum that we are still witnessing today, and it is widely believed that this is just the beginning.
2021: The year the cryptocurrency market boomed!
2021 is already a year to remember for cryptocurrencies. After 2018’s bear cycle and the consolidation period that followed in 2019 and 2020, business has picked up fast this time around.
The crypto market exploded and reached $2 trillion for the first time in early April 2021. There were three main factors behind this rise.
- Firstly, as we have already mentioned, people tend to look at cryptocurrencies as a safe haven asset (a position typically held by precious metals, such as gold). This has helped cryptocurrencies, particularly Bitcoin, gain immense value and credibility in the middle of the economic collapse.
- Extending on the first point, institutional investors have opted to invest more in cryptocurrencies to secure and grow their wealth, as cryptocurrency market performance vastly outweighs other assets.
- The DeFi revolution has brought unprecedented use cases and utility into the crypto ecosystem and is growing exponentially.
So, having said that, let’s look at five cryptocurrencies expected to continue their upward momentum in 2021.
5 Top-Performing cryptocurrencies in 2021:
- Bitcoin
- Cardano
- Ethereum
- Tezos
- Binance Coin
#1 Bitcoin will rule 2021
Bitcoin is officially in uncharted territory right now. At the time of writing, Bitcoin is ranging between lows of approximately $56k and highs of $58k, and some experts believe it is well on its way towards $70,000.
And here’s the exciting part.
Even the most conservative analysts are predicting BTC to reach at least $30,000 in 2021. The more optimistic ones are hoping BTC to reach $100,000 by the end of 2021.
What this means is that BTC should definitely be on the top of your shopping list right now.
With financial institutions buying up huge chunks of BTC over time, a potential upcoming “supply crunch” could be an important factor as demand for the premier cryptocurrency goes through the roof.
Read More: Bitcoin Price Analysis for 2021 (In-Depth Review)
#2 Cardano is a dark horse in the game
Over the last year, there has been a massive demand for DeFi applications, which caused a significant strain on the Ethereum blockchain.
This has led many developers to look for an alternative to Ethereum and Cardano often stands out as the best possible solution.
Cardano is currently moving into its third development phase called “Goguen”. In this phase, Cardano will actively work on smart contract integration and decentralization. ADA contracts will support certain conditions, such as making users hold tokens for a fixed period to complete a contract.
ADA rose approximately 720% at the beginning of 2021 and briefly snatched the spot as the third-largest cryptocurrency by market cap. If Cardano rides the DeFi momentum, it may even reach $2.
#3 Ethereum is going to have a strong 2021
Ethereum has continued its 2020 surge moving into 2021, mainly due to the upcoming Ethereum 2.0 upgrade and it being a DeFi platform leader.
However, another major factor that should boost ETH’s price is institutional interest.
In fact, the Chicago Mercantile Exchange (CME) Group recently launched ETH futures catering to its institutional investors in February 2021 and it could push Ethereum trading to new levels.
Read Also: How to Buy Ethereum - Beginner’s Guide 2021
#4 Tezos is another great DeFi alternative
The price of Tezos gained a whole dollar over 2020, having gone up from $1.34 to $2.33.
It uses the delegated proof of stake (DPoS) algorithm, which allows it to be far more scalable and flexible than its competition.
Along with that, Tezos has recently reduced its smart contract gas fees by 75% via the Delphi upgrade. This should make it more DeFi friendly and an alluring platform for developers.
#5 Binance Coin may become the most used coin in the cryptospace
Binance Coin’s price more than doubled throughout 2020, having gone up from $13.60 to $30.50.
But that all turned out to be a minuscule improvement as BNB’s price has now soared to approximately $418 at the time of writing! And we expect its price to continue to rise up throughout 2021 for one simple reason – its association with Binance.
The Binance Exchange is the most popular crypto exchanges in the world. In the last 24 hours, Binance did a staggering $28.5 billion in trading volume.
As the cryptocurrency market gets bigger, Binance will likely experience a massive influx of new users, which would also drive BNB’s usage through the roof.
What this means is that this is just the start for BNB and it could be on the course of having a monstrous 2021. Keep an eye out for this coin!
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