Services like PayPal’s Venmo, Robinhood, and SoFi have made crypto investing easy if not more accessible to small investors. However, finding the best crypto to buy is another thing altogether. When searching for the next cryptocurrency to explode in 2021, you should look beyond household names like Bitcoin and Ether. They’re great but many of the altcoins that have been on fire lately are penny crypto, which are more accessible to small investors.
Finding the next cryptocurrency to explode in 2021
Cryptocurrency investing continues to be viewed mostly as a speculative bet. As a result, many people prefer to start with small investments and add as they see the prospects improve. Therefore, cheap cryptos like those trading under $1, $5, and $10 have the potential for a big break.
There are more than 5,000 cryptocurrencies in circulation, but many of them remain unknown for a long time until they make it to a major exchange like Coinbase or Binance. Studies have shown that new tokens usually explode after they secure a Coinbase listing in what has come to be known as the "Coinbase effect." Therefore, you can look for the next cryptocurrency to explode among recent Coinbase listings and potential listing candidates.
Recent Coinbase crypto listings to watch in 2021
Coinbase is the largest crypto exchange in the U.S. and it continues to grow. It adds new altcoins from time to time. It has also partnered with companies like PayPal to expand access to crypto investing opportunities. In light of the Coinbase effect, you should keep an eye on the exchange’s recent listings:
- Ampleforth Governance Token (FORTH)
- Cardano (ADA)
- Ankr (ANKR)
- Curve DAO token (CRV)
- Storj (STORJ)
- Filecoin (FIL)
Other altcoins with breakout potential in 2021
The cryptocurrency universe is vast. Therefore, it’s easy to miss some great opportunities because not all potential breakout tokens make the headlines. Here are some tokens that those hunting for the next cryptocurrency to explode in 2021 should pay close attention to:
- Enjin Coin (ENJ)
- Origin Token (OGN)
- NKN (NKN)
- KuCoin Token (KCS)
- Binance Coin (BNB)
- BitTorrent (BTT)
- Ripple (XRP)
A few of these tokens deserve a little more mention. KuCoin Token (KCS) is the native token for KuCoin exchange. The coin pays dividends and can be a great way to grow wealth gradually.
Binance Coin (BNB) is the native token for the Binance network. The token is used to pay fees on the Binance crypto exchange as well as its DeFi platform. BNB price has exploded in 2021 but still has more room to run. For example, it should benefit as Binance’s DeFi platform draws in more users. Also, the token stands to benefit from reduced supply. Binance is underway with BNB burn with the goal of slashing the token’s supply from 200 million units originally to just 100 million units. The shrinking supply and the rising demand should drive up the token’s price because of scarcity.
BitTorrent (BTT) is the token for the torrent platform BitTorrent. It’s meant to facilitate payments on the network. BTT is one of the best altcoins, gaining more than 2,300 percent in 2021. It has the potential to explode with price predictions suggesting a 65 percent upside from the current level by year-end. Similar to Bitcoin and BNB token, BTT token’s supply is fixed.
Ripple (XRP) is the token for the Ripple platform, which banks and other financial service provider use to facilitate instant international payments. There have been rumors that Apple could join the list of companies using the Ripple platform for payments. XPR tumbled after the SEC launched an investigation into Ripple leaders. So far, it’s up 545 percent for the year and has the potential to break out with price predictions suggesting huge upside from the current level. Ripple is considering a Coinbase-like IPO, which would be a major boost to the XRP token.
SafeMoon is a new token with a fast-growing fan base. It encourages holding and those who sell are hit with a 10 percent transaction fee. A portion of the fee gets distributed to holders. The token hasn’t made it to the major exchanges. Binance CEO Changpeng Zhao has said that the company is open to listing any coin that's popular enough. Therefore, a listing on Binance, Coinbase, or Huobi Global could deliver a huge boost to the price.
Finally, Dogecoin still has the potential to run despite its blockbuster returns. The altcoin continues to see increasing merchant adoption for payment, like major retailer Newegg joining recently. There's also a campaign to get Amazon to accept the cryptocurrency. The token’s community continues to expand with the support of public figures like Musk and Mark Cuban.