Cryptocurrencies are a new sensation in the trade market. With more $300 billion market capitalization, it has become a haven for traders and investors. Traders are even shifting their other digital assets to the crypto assets.
After seeing the rally of the Cryptocurrency in 2017, traders were convinced that cryptocurrency holds the solution to the modern financial solution. It made traders and investors invest in Cryptocurrency from all around the world.
Suppose you are a new trader who is interested in Cryptocurrency and wants to invest in them. Then I have pretty much the idea in which Cryptocurrency you are entered to invest in.
Top Cryptocurrency in the trade market
The cryptocurrency market is quite big, and in the market, there is over 2000 cryptocurrency in the world. However, only a few of them have made a name for themselves. In this article, I will talk about the top 3 Cryptocurrency that is currently ruling the market.
1. Bitcoin
Bitcoin is the first-ever Cryptocurrency that has ever been introduced in the market. The first-time people came to know about its existence in 2009. As Bitcoin is the first Cryptocurrency, it has a first-mover advantage over all the Cryptocurrency who have come after Bitcoin. Bitcoin has successfully held the top position of the Cryptocurrency in the trade market for the past decade.
Why is Bitcoin so popular?
● Low supply: The supply of the bitcoin is limited to 21 million bitcoins. And out of the 21 million of the bitcoins, 17.8 million bitcoins have already been mined. Hence only a few of them are left. And due to the human factor, where people have forgotten their wallet password, more than 4 million bitcoins has already been lost to digital devices. And we know, the demand for the products increases with the rise in the scarcity of the products.
● High usability: Being the first-ever Cryptocurrency has made Bitcoin the first choice for every industry. It has helped bitcoin to be accepted all over the world.
● Ability to make a profit: Let's be practical here. We all know that Bitcoin has the highest volatility. Hence, buying and selling it at the right moment can bring in increased profit. With more than 70% of the total market capitalization, Bitcoin tends to make a profit.
2. Ethereum
Ethereum is the next most popular Cryptocurrency. It is the first to formulate the concept of smart contracts. And due to its achievements, it has been recognized by the other traders. However, it took massive damage in 2018 when its market value dropped by 85%. Despite being significantly damaged, it still holds the second position.
Why is Ethereum popular?
● Smart contracts: If you are using smart contracts, then say a big thanks to Ethereum. Today smart contracts have become very important for companies to form contracts with other companies. With such a good product, Ethereum was able to retain its second position in the market.
● Ethereum technology: Ethereum always improves the functionality, speed, cost, and efficiency of the crypto token transaction. It is the reason why you see small updates instead of one large update.
3. XRP
XRP is at third because of its market capitalization in the market. However, it is one of the fastest and cheapest coins available for money transfer or financial transactions. Despite being a centralized currency in the cryptocurrency trade market, it was able to gain trust from the traders.
Why is XRP popular?
What if I say there are more than 1000 transactions that are made with the help of XRP. Would this be enough to make you understand the popularity of the XRP? It is an impressive feat for a cryptocurrency to have so much transaction every second, looking at its market capitalization and banking sectors.
Ripple was formed only for transactions. The ripple's main aim was to provide a gateway for the traders and investors for a one-click transaction. And as the XRP is a centralized currency, banks are looking for a partnership with it.
Conclusion
There are more than 2000 cryptocurrencies in the market. And out of them, these three are at the top. Every Cryptocurrency has its features and performs differently in the market. If you are interested in crypto investment, you can use bitcoin future to take your first step.
