Best Cryptocurrency to buy in 2024
From Bitcoin to Ethereum and Dogecoin, Tether, there are thousands of different cryptocurrencies that can make it overwhelming when you first get started in the crypto world. To help you to get started in the crypto world, these are some best cryptocurrencies to invest in based on their market capitalization or the total value of all the currently circulating coins.
What Are Cryptocurrencies?
All the cryptocurrencies are digital asset and its based on blockchain technology, that can circulate without the centralized authority of a bank or government. In August 27, 2024, more than 8,000 cryptocurrencies are in the crypto market, representing a huge $2.21 trillion market capitalization.
Here are the top 10 cryptocurrencies
1. Bitcoin (BTC)
• Market cap: $1.25 trillion
• YTD: 142.52%
Bitcoin was created in 2009 by Satoshi Nakamoto. Bitcoin (BTC) is the first cryptocurrency. Like other cryptocurrencies, it works on a blockchain, which is a record of transactions shared across many computers. Because additions to the distributed ledgers must be verified by solving a cryptographic puzzle, To keep bitcoin safe and prevent fraud, This process is called proof of work.
Bitcoin’s price has skyrocketed as it’s become a household name. In May 2016, you could buy one bitcoin for about $500. As of August 27, 2024, a single bitcoin is $63,065.
2. Ethereum (ETH)
• Market cap: $323.42 billion
• YTD: 63.00%
Ethereum is both a cryptocurrency and a blockchain platform. It’s popular with developers because it can be used for things like smart contracts, which automatically happen when certain conditions are met, and non-fungible tokens (NFTs).
Ethereum has grown a lot. From April 2016 to the end of July 2024, its price went from about $11 to around $3,409, which is an increase of 30,893%. By August 27, 2024, the price of Ethereum (ETH) was $2,687.
3. Tether (USDT)
• Market cap: $118.05 billion
• YTD: 0.06%
Tether (USDT) is different from other cryptocurrencies because it is a stablecoin. This means it is backed by regular currencies like U.S. dollars or euros, and it is supposed to always have the same value as those currencies. This makes Tether’s value more stable compared to other cryptocurrencies, That's why investors who don’t like big price changes prefer it. As of August 27, 2024, the price of USDT is $1.00.
4. Binance Coin (BNB)
• Market cap: $81.11 billion
• YTD: 157.00%
Binance Coin (BNB) is a form of cryptocurrency that can be used to trade and pay fees on Binance, one of the biggest crypto exchanges in the world. Since it started in 2017, Binance Coin has grown beyond just being used on Binance. Now, you can use it for trading, paying for services, or even booking travel. You can also exchange it for other cryptocurrencies like Ethereum or Bitcoin.
In 2017, BNB's price was only $0.10. By the end of April 2024, it had increased to about $560, which is a rise of 560,394%. As of August 27, 2024, BNB is priced at $555.70.
5. Solana (SOL)
• Market cap: $73.94 billion
• YTD: 682.23%
Solana was developed to help power decentralized finance (DeFi) uses, decentralized apps (DApps) and smart contracts, Solana runs on a unique hybrid proof-of-stake and proof-of-history mechanisms to process transactions quickly and securely. SOL, Solana’s native token, powers the platform.
When Solana was launched in 2020, SOL’s price started at $0.77. By late July 2024, its price was around $156.62, a gain of 20,241%. As of August 27, 2024, Solana is trading at $158.64.
6. U.S. Dollar Coin (USDC)
• Market cap: $34.53 billion
• YTD: -0.02%
Similar to Tether, USD Coin (USDC) is a stablecoin, meaning it's backed by U.S. dollars and tries to keep a 1 USD to 1 USDC value. USDC runs on Ethereum and can be used for global transactions. As of August 27, 2024, USDC is priced at $0.9998.
7. XRP (XRP)
• Market cap: $33.34 billion
• YTD: 12.73%
XRP was created by some of the same founders as Ripple, a digital technology and payment processing company, You can use XRP on that network to facilitate exchanges of different currency types, including fiat currencies and other major cryptocurrencies.
At the starting of 2017, the price of XRP was $0.006. As of May 2, 2024, it reached $0.52, a rise of 8,497%. As of August 27, 2024, XRP is trading at $0.5922.
8. Dogecoin (DOGE)
• Market cap: $15.45 billion
• YTD: 68.37%
Toncoin was first created as a blockchain for Telegram’s encrypted messaging platform but was later abandoned. The TON Foundation took over the project, and its name was changed from "Telegram Open Network" to "The Open Network," both using the acronym TON.
Toncoin, originally called Gram, is the main token of the TON network. It lets users buy, send, and store money on TON’s fast and eco-friendly system. As of August 27, 2024, Toncoin is priced at $0.1061.
9. TRON (TRX)
• Market cap: $14.06 billion
• YTD: 109.87%
The Tron Foundation started TRON in 2017. It’s a decentralized, blockchain-based operating system. Initially, the tokens were built on Ethereum (ERC-20), but a year later, they switched to their own network.
TRON’s software supports smart contracts, dApps, and different blockchain systems. It uses a transaction model like Bitcoin’s. As of August 27, 2024, TRX is priced at $5.38.
10. Toncoin (TON)
• Market cap: $13.64 billion
• YTD: 109.84%
Toncoin was first created as a layer-1 blockchain for Telegram’s encrypted messaging platform but was later abandoned. The TON Foundation took over the project and changed its name from "Telegram Open Network" to "The Open Network," both shortened to TON.
Toncoin, originally called Gram, is the native token of the TON network. It allows users to buy, send, and store money on TON’s fast and eco-friendly platform. As of August 27, 2024, Toncoin is priced at $5.38.
How Does Cryptocurrency Work?
Cryptocurrencies are different types of digital money, usually built on blockchain technology. Blockchain allows cryptocurrencies to have “trustless” transactions, meaning no central authority controls or monitors the transactions.
How To Choose the Best Crypto To Invest In
When choosing the best cryptocurrency to invest in, it's important to think about your personal goals, timeline, and risk tolerance, just like with any other investment. Also, make sure to research and confirm that the crypto project you're interested in is trustworthy and safe.
In general, investors should consider the following when evaluating crypto:
• Market capitalization
• Liquidity
• Security
• Use case
“When exploring cryptocurrency investments, first consider the exchanges where the token is listed. Tokens featured on major exchanges generally offer better liquidity, attracting larger investors and reaching a broader audience, increasing the potential buyer base,” says Maksym Repa, an analyst at Symbolic Capital.
“When looking into cryptocurrency investments, start by checking the exchanges where the token is listed. Tokens on major exchanges usually have better liquidity, attract bigger investors, and reach a wider audience, which increases the number of potential buyers,” says Maksym Repa, an analyst at Symbolic Capital.