Binance’s Best Performers: Which Altcoins Are Outpacing Bitcoin in 2021?
In the world of cryptocurrency, Bitcoin has always been king. However, with more and more altcoins coming into the market, it’s important to keep an eye on which ones are outpacing the pioneer cryptocurrency. That’s why we’ve put together a list of Binance’s best performers in 2021.
H1: Binance’s Best Performing Altcoins
H2: What is Binance?
Binance is one of the world’s largest cryptocurrency exchanges, offering a platform for users to trade cryptocurrencies such as Bitcoin, Ethereum, and Litecoin. Binance has become synonymous with altcoins thanks to its vast array of offerings outside of the traditional cryptocurrencies.
H2: Why are Altcoins Growing Faster than Bitcoin?
Altcoins are growing faster than Bitcoin because they often have unique propositions not offered by Bitcoin. Many altcoins are designed to solve specific problems or perform certain functions that Bitcoin cannot. Additionally, altcoins often have lower transaction fees and are more accessible to retail investors compared to Bitcoin.
H2: The Top Binance Performers
1. Binance Coin (BNB)
Binance Coin (BNB) is the native cryptocurrency of the Binance platform, used to pay transaction fees and access discounted trading fees. Binance Coin has seen tremendous growth in 2021, up over 1300% from January 1st.
2. Ethereum (ETH)
Ethereum is a decentralized computing platform that enables smart contracts and decentralized applications (dApps) to be built and run without any downtime or interference from a third party. Ethereum is up over 270% in 2021, and many analysts predict that it will continue to outpace Bitcoin.
3. Cardano (ADA)
Cardano is a proof-of-stake blockchain platform that aims to provide a more secure and scalable infrastructure for Dapps and smart contracts. Cardano is up over 500% in 2021, with many investors bullish on its future potential.
4. Polkadot (DOT)
Polkadot is a high-speed interoperability protocol that connects blockchains together. Polkadot has seen a massive increase in popularity in 2021, up over 400%, thanks to its scalability and interoperability.
5. Chainlink (LINK)
Chainlink is a decentralized oracle network that provides real-world data to smart contracts. Chainlink is up over 420% in 2021, thanks to its unique and much-needed function in the smart contracts space.
H2: Why These Altcoins are Outpacing Bitcoin
These altcoins are outpacing Bitcoin because of their unique value propositions, scalability, and growing popularity. Ethereum, for example, is seen as the go-to platform for creating and running decentralized applications, while Cardano is focusing on creating a more energy-efficient and scalable blockchain. Binance Coin is benefiting from the growing popularity of the Binance platform, while Polkadot and Chainlink are offering much-needed solutions to scalability and interoperability in the blockchain space.
H2: Investing in Altcoins
Investing in altcoins is not for the faint-hearted, as the cryptocurrency market can be extremely volatile. It’s important to do your research before investing and only invest what you can afford to lose. It’s also important to diversify your portfolio and not invest solely in one cryptocurrency. Many experts recommend a portfolio of 70% Bitcoin and 30% altcoins.
H3: FAQs
1. What is the difference between cryptocurrency and altcoins?
Cryptocurrency refers to any form of digital currency, while altcoins refer specifically to any cryptocurrency that isn’t Bitcoin.
2. How do I buy altcoins on Binance?
To buy altcoins on Binance, you need to create an account on the Binance platform and then deposit funds. From there, you can use the funds to buy whichever altcoin you’re interested in.
3. How do I choose which altcoin to invest in?
Choosing which altcoin to invest in requires research into the altcoin’s value proposition, scalability, and potential for future adoption. It’s also important to monitor market trends and news.
4. Can I invest in altcoins without buying Bitcoin first?
Yes, you can invest in altcoins without buying Bitcoin first. Many exchanges allow you to trade Bitcoin for altcoins, but you can also buy altcoins directly with other forms of cryptocurrency or fiat currency.
5. Are altcoins a good investment?
Altcoins can be a good investment, but they are also extremely volatile and carry a higher risk compared to traditional investments. It’s important to diversify your portfolio and only invest what you can afford to lose.
In conclusion, Bitcoin is still the king of cryptocurrencies, but altcoins are giving it a run for its money. Binance’s best performers in 2021 highlight just how fast the cryptocurrency market is growing and how important it is to stay ahead of the latest trends. Investing in altcoins can be a high-risk, high-reward opportunity, so it’s important to do your research and diversify your portfolio.