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The best cryptocurrencies of 2021

Welcome friends! If you are looking for the best cryptocurrency to invest in 2021, you have come to the right place. There are currently more than 5,200 altcoins on the market, but which ones deserve attention and which ones are best avoided? This guide will tell you which cryptocurrency is best for investing, which altcoins are best and what advantages they have over Bitcoin, how to choose altcoins to trade, where to buy cryptocurrencies, and introduce you to the best cryptocurrencies in the world Year 2021.

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What are altcoins?

Altcoins are all cryptocurrencies with the exception of Bitcoin, meaning it is an alternative to Bitcoin. Altcoins often trade for less than $ 1. Such coins often attract the attention of investors because they can significantly increase the price in a short period of time. This article only looks at cheap 2021 altcoins, which literally cost pennies.

According to Coinmarketcap, cheap altcoins make up almost 35% of the total cryptocurrency market. The list of cryptocurrencies is huge, but only a few of them will turn out to be highly profitable. Since most cryptocurrencies may not survive until the end of this year and everyone will soon forget that they ever existed, it is important to develop a reliable algorithm for selecting such coins.

All cryptocurrencies can conditionally be divided into the following categories:

  1. Mining-based cryptocurrencies;
  2. Stablecoins (cryptocurrencies linked to the rate of fiat currencies);
  3. Security tokens (digital analogues of securities);
  4. Utility token (a digital asset that gives its owner the right to access network products).

Most cheap cryptocurrencies are volatile and can be subject to price manipulation through pump and dump systems. However, not all altcoins are created equal, they differ greatly from one another.

Why invest in altcoins?

If you still don't know whether it's worth buying cheap cryptocurrencies, let's name the main reasons why you need to invest in altcoins today:

  1. Altcoins offer a high rate of rewards. Many of the cryptocurrencies are underestimated, and together with the potential for mass adoption of blockchain technology, we can assume that the cost of altcoins will be higher in the foreseeable future.
  2. Diversification of investments. If you want your crypto portfolio to generate constant profits, you need diversification. The collapse of the cryptocurrency market on the backdrop of a coronavirus outbreak couldn't destroy every coin. In addition, there are coins that showed positive momentum during the crisis.
  3. Some cryptocurrencies offer passive income. Recently, an alternative to mining has emerged - this is staking out cryptocurrencies. If you only have one specific cryptocurrency in your wallet or exchanger, you can make money. Receiving dividends on cryptocurrencies works the same way as paying dividends on stocks.

We hope that you are now seeing the value that you can get by buying cheap altcoins.

Before we select the best cryptocurrencies to invest in in 2021, let's consider what criteria should be considered when choosing altcoins.

See also cryptocurrency brokers.

How do I choose altcoins to invest?

In this section we analyze our list of criteria for choosing cryptocurrencies before buying:

  1. Turnover from 10 million to 1 billion coins;
  2. Market capitalization of at least $ 20 million;
  3. Cryptocurrency should appear on major cryptocurrency exchanges (Binance, BitMex, OKEx, Huobi, etc.).
  4. The growth percentage in the last 7 days should exceed 50% (you can view these indicators in Coinmarketcap);
  5. High liquidity - at least $ 1 million per 24 hours;
  6. Presence in social networks (Twitter, Facebook, Reddit and cryptocurrency forums);
  7. Experienced blockchain development team.

And last but not least, use technical analysis to find cryptocurrencies with limited reach, support-level trading.

Where can you buy cryptocurrencies?

As with the Bitcoin exchange, there are cryptocurrency exchanges that specialize in offering digital currencies that trade for less than $ 1. The largest cryptocurrency exchange that offers a wide variety of altcoins is Binance. On the Binance exchange, crypto traders can trade more than 685 coins with an average trading volume of $ 3.9 billion for 24 hours.

The Complete List Of The Best Cryptocurrency Exchanges For 2021 To Buy And Sell Cheap Altcoins Has Names Like:

  • HitBTC gives you access to over 827 coins and an average daily volume of $ 650 million.
  • With Hotbit, you have access to more than 625 altcoins and an average daily volume of $ 2.3 billion.
  • With KuCoin you have access to over 447 cheap cryptocurrencies and an average daily volume of 40 million US dollars.
  • OKEx gives you access to 372+ coins and an average daily volume of $ 1.9 billion.
  • Bitfinex gives you access to over 277 altcoins and an average daily volume of $ 93 million.

It is almost impossible to buy altcoins for less than $ 1 directly for fiat money. Most cryptocurrencies are exchanged for BTC or Ethereum. If you don't have bitcoins, you need to buy BTC first and then exchange it for your cryptocurrency.

Only altcoins with a strong foundation will be successful and emerge victorious after the COVID-19 crisis. Although more money is being returned for bitcoins and other safe coins, we believe these cryptocurrencies can bring maximum return on investment.

Also see what bitcoin brokers are.

TOP 10 best cryptocurrencies to trade in 2021

In this section, we will examine in detail which cryptocurrencies are best invested in 2021. While we find ourselves in a bear market due to fears of the coronavirus COVID-19, professional crypto traders know that times of crisis are the best times.

If the cryptocurrency market rebounds, this list of the best cryptocurrencies less than $ 1 shows the best return on investment in 2021.

1. Cryptocurrency Ripple (current XRP price is $ 0.20)

Ripple is also known as the most popular cryptocurrency among world banks. The XRP payment system has existed since 2012 and hit a record high of $ 3.5 in January 2018. According to Coinmarketcap, Ripple is the fourth cryptocurrency in the world by market capitalization.

2. Stellar cryptocurrency (current XLM price is $ 0.08)

Stellar currently ranks 13th in terms of market capitalization worldwide. XLM has a lot of use in the sense that it helps people convert cryptocurrencies into fiat currencies. Stellar hit a record high of $ 0.83 in January 2018.

3. Cryptocurrency Basic Attention Token (current BAT price is 0.25 USD)

Basic Attention Token is another promising cryptocurrency that ranks 31st in market capitalization. BAT is built into the Brave browser and has an amazing team led by the original JavaScript developer and co-founder of Mozilla and Firefox. BAT has a great future. It hit a historic high of $ 0.88 in January 2018.

4.Cryptocurrency Enjin Coin (current ENJ price is $ 0.20)

Enjin Coin ranks 50th among the best cryptocurrencies in the world. ENJ has entered into one of the largest cryptocurrency partnerships with Samsung, one of the largest cellular companies in the world. Enjin Coin also has partnerships with Unity, the world's most popular game engine. Hence, every crypto portfolio should contain this coin. The maximum ENJ for all times was $ 0.44.

5.Cryptocurrency Steem (Current Price - $ 0.23)

With over 1 million active users, Steem is one of the most active blockchains in the ecosystem. Steem is an application that focuses on providing social networking and other types of internet communication services. Steem currently ranks 74th on Coinmarketcap. It hit a record high of $ 7.21 in January 2018.

6.Cryptocurrency Ren (Current Price - $ 0.09)

Ren's cryptocurrency has great growth potential in the years to come. Ren facilitates transactions between cryptocurrencies and tokens. Basically, you can transfer any coin or token between blockchains. Ren's record high of $ 0.18 was recently hit in August 2019.

7. Ravencoin cryptocurrency (current RVN price is $ 0.02)

Ravencoin has gained huge popularity in the cryptocurrency market. According to Coinmarketcap, RVN ranks 56th among the best cryptocurrencies. Ravencoin hit its all-time high of $ 0.07 in April 2019.

8. Tron cryptocurrency (current TRX price is $ 0.018)

Tron is another digital currency that is a good candidate to become a hit in the years to come. Tron has one of the largest online communities in the crypto space and around $ 1 billion a day. TRX ranks 16th among the most popular cryptocurrencies, reaching its all-time high of $ 0.20 in January 2018.

9. Cryptocurrency OMG Network (current OMG price is 1.68 USD)

OMG Network is another cheap cryptocurrency that you can buy today. Previously it was called OmiseGO. With limited supply and average daily volume exceeding OMG's market cap, this coin has real potential to grow in value many times over. In January 2019, OMG hit a record high of $ 25.49.

10. Cryptocurrency Ontology (current ONT price is $ 0.57)

Ontology is another cheap cryptocurrency with great potential in 2021 and beyond. The ONT is trading below its market cap, and that divergence could be a catalyst for the next price surge in Ontology. The ONT cryptocurrency hit a record high of $ 9.91 in May 2018.

See also Ethereum brokers.

Conclusions

So you have good reasons to search for the best cryptocurrencies for less than $ 1 to invest in 2021. Altcoins offer you the opportunity to familiarize yourself with innovative projects and diversify your investment portfolio.

Of course, nobody can predict with 100% certainty which cryptocurrency is best for investing in 2021. However, we know from history that as time goes on, cryptocurrency markets tend to grow at lower rates. In addition, altcoins that cost a dime can grow many times over compared to the giants of the cryptocurrency market.

Risk warning. This is not financial advice. This manual only expresses our personal opinion. Do your own analysis before making any investments.

Also read the article "How can I withdraw bitcoins using the LocalBitcoins platform?".