Though there are over 4000 cryptocurrencies worldwide, the success rate of BTC has spiraled by double digits over the years. Be that as it may, the popularity of BTC coupled by a surge in value has made it expensive for small scale investors.
In essence the advent of several digital currencies provides a perfect alternative for investors interested in other types of cryptocurrencies at pocket friendly rates. In this article we will provide you information about what are the types of bitcoin that you can trade and need to know about.
So, which are the best Bitcoin alternatives that you can try out? Here are a few!
Ethereum
Ethereum is not only popular but commands a considerable market segment in the World of crypto. While Bitcoin controls above $800 billion in market capitalization, ethereum has managed to take the number two spot in the crypto market with a market cap of above $350 billion (at time of writing).
Just like Bitcoin, ethereum users can sell and buy products on various platforms that accept BTC transactions.
Though the number of ethereum users has grown by double digits, the value stands at $3,000 which is lower than BTC which is estimated to be slightly above $42,000.
Besides monetary value, the popularity of ethereum is attributed to the ability to support development of smart contracts among developers.
Ripple
The less well-known digital currency ripple continues to draw the interest of investors around the world. A key factor that has made ripple attractive to many investors is high safety features.
Unlike ethereum and Bitcoin that use blockchain networks, ripple is not mined and manages XRP transactions. If you are scared about the high price of other major digital currencies, then ripple is a perfect choice for you.
Litecoin
Though Litecoin and Bitcoin work in a similar way, they differ in a number of ways. While BTC transactions are slower, Litecoin transactions are four times faster than BTC. In terms of market cap, Litecoin has a high market cap that stands at 84 million while BTC is capped at 21 million.
However, growth by double digits in the price of litecoin from $37.25 to as high as $196.29 in 2021 has made it an attractive choice for investors. In that case, if you find investing in BTC a bit expensive, you can try out Litecoin.
Cardano
Cardono typically blends features from various digital currencies to produce a crypto that has better features than the existing .While the fate of many digital currencies is uncertain, Cardano seems to be more sustainable.
Based on performance, the value of Cardano has surged big time over the years. Compared to a year earlier when Cardano traded at $0.03, the price has shot up to as high as $2.3 in 2021.
In case you are skeptical about the secret nature of how cryptocurrencies operate, then investing in Cardano may be a perfect choice.
The impressive sharp rise in performance from an incredibly low to a record high in a span of a year is an indication of an increased demand.
Monero
Monero functions like major currencies through a block chain network. On the contrary, it doesn’t share user online addresses with a public ledger. This makes it untraceable which is regarded as a black market.
Though the current price has crossed $252.25 in 2021 up from $47 the previous year, it is not stable and prone to hackers. Despite the fivefold growth in price, security concerns that come with it don’t make it a perfect choice for many.
Dogecoin
Dogecoin is among the cheapest digital currencies that you can try out. The digital currency is currently trading at around $0.2 and has a market capitalization of around $27 billion.
The popularity of Dogecoin is attributed to the payment system feature that comes with it. Over 133 million Dogecoin have already been mined with a market cap of 127 million coins likely to be mined.
Final Thoughts
The price of BTC has surged big time making it out of reach for small investors. In that case, this article offers you important insight that can help you choose an alternative regardless of your budget. Try out any of these digital currencies and achieve your potential by trading your favorite coin.
You may be interested in: Cardano (ADA): Everything You Should Know!