With the advent of cryptocurrency, the financial world has started to change drastically. Many people and financial institutions have started to invest in digital currency as an alternative to fiat currency. Here are the top 5 cryptos ideal for investment in India.
The cryptocurrency hype has traveled throughout the world, and today it has reached that place where it is a serious topic of discussion. Many people have already started to invest in digital currencies. Since you are reading this, you must know the concept of cryptocurrency and how it works. So let us see the top 5 cryptos that are ideal for investments especially in India and also on how you can invest in cryptos.
Why Invest In Cryptocurrencies?
Presently at this moment, there are two very basic reasons to buy cryptocurrency. There are:
- You can own a digital currency and use that anonymously without revealing any information about you.
- Cryptocurrency is subject to an explosion of the price that gives the users the feel of investment.
Top 5 Cryptos For India To Invest In 2021
There are thousands of cryptocurrencies but not all are ideal for investments. But among them, there are few best cryptocurrencies to buy for 2021. So here are the top 5 cryptos that you can buy in to earn the best results.
For Indians, Bitcoin acts as a synonym for cryptocurrencies and that is because Bitcoin is the very first and the highest valued cryptocurrency prevailing in the market right now. It can be termed as the “best cryptocurrency 2021”. The price started to plunge recently after it attained an all time price as high as $65000 in this April. Thanks to Elon Musk’s tweet addressing that Tesla will no longer be accepting Bitcoin as a mode of payment. If the budget suits you then now is the best time to buy Bitcoins as there is almost a 30% price drop.
Many Indians might not know much about Cosmos, but this is a digital currency that cannot be avoided. It is the best cryptocurrency to invest in 2021 in India. With a high growth potential, Cosmos is one of the cheapest cryptocurrencies right now. Cosmos on 7 May hit its all time high of $32 but because of the market crash, the value came down to as low as $23.
Binance Coins (BNB)
Binance coins are the third largest digital currency in the cryptocurrency market, the first two still being Bitcoin and Ethereum. It is the next cryptocurrency to explode in 2021. In 2017, Binance Coins was launched by one of the world’s biggest digital currency exchanges called Binance as a utility token. Therefore, the valuation of this crypto coin depends on the utility of the Binance platform itself. In simple words, if more and more people use Binance coins to trade other digital currency then the value of Binance coins will increase. According to the experts, it is predicted that by the end of May 2021, one Binance Coin will hit $505.
Tron was primarily formulated on the Ethereum platform and in recent times it is gaining popularity quickly. It is the next big cryptocurrency for the coming years. One of the prime reasons for this quick popularity is that Tron is a decentralized operating system that is based on the blockchain technology that gives it the authority and power to hold several applications that are decentralized. The current market crash did not affect Tron much and its price is still remaining low and is also a good buy if you wish to invest in cryptos.
It is funny as how a crypto coin that started out as a meme is now leading the crypto market. Dogecoin is a new cryptocurrency in 2021. It is a low priced cryptocurrency with high growth potential. This crypto is unofficially endorsed by Elon Musk. Even though the market crash has stumped the value of Dogecoin, it still remains as the 4th largest crypto in the market as per the market capitalization.
How You Can Invest In Cryptos?
For the newcomers, there are actually two wide ways you can enter the cryptocurrency world. The first way involves the intellectual method and that is through mining. But the second and the most simplest way is through crypto exchanges. A digital currency exchange is a platform that allows an individual to buy and sell cryptos like Bitcoin and Ethereum. There are various exchanges available in the market. One can choose from them. For example Coinmama, Binance, etc.
Here are steps in which you can invest in cryptocurrencies in India:
Choose A Correct Crypto Exchange
One of the drawbacks of buying digital currency is that it is not readily available in financial places like central banks or brokerage firms. So for everything your activity will be confined within cryptocurrency exchanges. Some of the exchanges are Binance, Coinbase, Coinmama, Kraken, Bitstamp, etc.
You can assume these exchanges are brokerage firms that are designed especially for digital currencies. Each platform offers trading and cryptos and you have to pay them a fee.
Choose The Crypto You Wish To Buy
In this step, you may get a bit confused as there are not one but thousands of cryptocurrencies in the market. This is because, with the growing popularity of Bitcoin, many started to formulate their own cryptocurrencies.
But Bitcoin still remains one of the most assertive digital currencies for May 2021. Currently, it is the largest cryptocurrency that exists in the market. It is also that crypto to draw more investment attention and dollars. After Bitcoin there are other coins like Ethereum and after the two come to the rest like Cosmos, Dogecoin, Tron, etc.
Set Up KYC And Payment Options
Once you are done with choosing the right digital currency and crypto exchange, your next step would be to set up your KYC and your payment options with which you will buy those cryptos. Basically, you will have to provide various documents like your PAN card, address proof, photo identity proof, etc. with the exchange. This will allow the exchange to ensure that you are a legitimate user.
Further, you will have to provide your payment options that will be used while depositing or withdrawing cryptos. But you will have to be sound about the charges deducted while transacting through many exchanges.
Placing The Trade Order
Now that your account is set, you are ready to trade cryptos. You can trade cryptos 24*7. There are no such time boundations as stock markets. After the trade order is placed, you can store your cryptos in the crypto wallets that you will have set up.
The valuation of cryptocurrency will continue to fluctuate, but within that, we will have to figure out the right time and buy. So here are the top 5 cryptos that you can buy now as the valuation of these cryptos is going well.