Which Is The Next Cryptocurrency To Explode

Understand the factors affecting cryptocurrency prices and review the top cryptocurrencies to find out the Next Cryptocurrency to Explode:

Cryptocurrencies are now common to many traders and investors alike, given the tremendous bursts in prices over the years. Bitcoin and Ethereum, however, continue to dominate the market, taking over two-thirds of the market in volume and capitalization. Both of these are extensively traded per given day.

However, new coins and tokens continue to be born, and it is no surprise that the list of cryptocurrencies that will explode this year is increasing.

This tutorial provides an insight into the top best coins with high chances of exploding in price this year, and not necessarily the top or most popular crypto in volumes and market cap.

Let us begin!!

Next Cryptocurrency To Explode

Factors Affecting Cryptocurrencies Prices

Even as we talk of cryptocurrencies exploding in price, the following factors will affect the prices:

• Supply, demand, and scarcity: Some cryptocurrencies have internal mechanisms, such as regular buy-back and burning, to naturally create demand by reducing supply. Others create natural demand by creating more value for the crypto, such as adding more functionality and usability.
• Community: Almost every cryptocurrency prides itself on creating demand via expanding users. Some communities are designed to market the crypto or further help with adoption. Lower costs of adoption, lower costs of mining, mining reward amounts, and other things may propel the community.
• The number of adopters, listing on exchanges, integration in dApps, integrations in payment systems, usability as solutions by companies, and other things that create natural value for the token.
• Market capitalization and volume, although these ideally reflect how many users apply it daily.

Terms Apply: Please read all the details and terms carefully on the below Crypto platforms before investing. Cryptoassets are highly volatile. Your capital is at risk. Don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment, and you should not expect to be protected if something goes wrong.

List of the Next Cryptocurrencies to Explode

Here is the list of cryptocurrencies with high chances of exploding:

1. Bitcoin
2. Ethereum
3. ChainLink
4. Binance Coin
5. Polygon
6. Polkadot
7. Uniswap
8. Decentraland
9. Dogecoin
10. Cardano

Comparison Table of Popular Cryptocurrencies

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#1) Bitcoin

Bitcoin already exploded by attaining a value of over $60,000 in April 2021, but this may not be the roof. The probability of exploding again in 2021 is multiplied given the huge market share of over 60 percent held by Bitcoin. Since being created by Satoshi Nakamoto in 2008, the crypto has skyrocketed multiple times and, so far, increased by over 1000 percent.

Many factors can play a to make Bitcoin explode in 2021. First, it is the most valuable cryptocurrency, with over one hundred thousand nodes currently running the blockchain software.

The 24-hour trading volume is currently over $100 billion as of July 27, 2021. It is traded as a trading asset by thousands of global traditional companies, hedge funds, traditional investment funds, banks, and notable institutions.

There also are many Bitcoin ETFs, Bitcoin Visa cards linked to it, and funds around the world in addition to the fact it is now a legal tender for El Salvador. Besides, it is now integrated into thousands of online stores and platforms that accept it as a payment method.

Features:

• Bitcoin users can run a node to mine the cryptocurrency. This is a popular thing for many users, given the high price that acts as an incentive.
• BTC is a native payment cryptocurrency to the Bitcoin blockchain, which is utilized as a sort of tried and tested blockchain by many companies and institutions.
• Capped to 21 million coins whose base demand is coded to continue increasing naturally. The confirmation time of 10 minutes is regarded as slow concerning competing networks.

Website: http://www.bitcoin.org

#2) Ethereum

Ethereum is the second-largest cryptocurrency after Bitcoin, and its huge trading volume and market share of slightly above 25 percent as of July 2021 are likely to propel its exploding in 2021.

Like Bitcoin, it is now a more stable type of investment than it was years ago with Ethereum ETFs, inclusion as a payment method in thousands of merchant platforms around the globe, and as a trading instrument for many institutions and groups.

Ethereum platform generates a lot of value as a blockchain smart contract platform on which many exchanges, tokens or digital assets, and other types of decentralized platforms are based. The blockchain is also used to build many real-world platforms.

Ethereum was also based on a proof of work but is porting to a proof of stake consensus protocol that could propel its adoption further, now that it can handle thousands of transactions per second far above what VISA and other networks can handle. Ethereum 2.0 is also faster and energy-conserving.

Features:

• Users can stake Ether or ETH on the Ethereum 2.0 network and earn rewards in confirming transactions. The Beacon Chain which brought staking to Ethereum is now live.
• ETH token is used for paying gas fees on the platform.

Website: https://ethereum.org

#3) ChainLink (LINK)

ChainLink, which was launched in 2017, also allows cross-blockchain interconnectedness and connectedness between blockchain and non-blockchain technology. It uses what are called oracles to facilitate this interconnectedness. Ideally, it converts traditional centralized oracles and makes them appropriate for use on blockchains and smart contracts.

It attempts to tackle the Oracle problem – since data entry is one of the most critical steps in creating info for blockchains and errors that can affect the network in addition to being immutable, ChainLink attempts to use next-gen protocols to solve the Oracle problem. All Oracle data is verified and ranked by contracts based on its history before being fed into nodes.

Features:

• Partnership with Google allows users to connect to Google’s two most popular cloud services–BigQuery via API.
• Oracles enable blockchain network expansion. Other blockchains used it as a scaling solution and to access any real-world data, not yet on the blockchain.
• Firms and blockchain networks can use traditional oracles trustlessly, having been verified as free from corruption, that they are correct and timely.

Website: https://chain.link/

#4) Binance Coin (BNB)

Binance Coin is the platform coin for the Binance cryptocurrency exchange. It acts as the platform’s utility token with which users can pay lower transaction fees on the Binance centralized exchange platform, Binance Chain, and DEX. The value of the token derives from the exchange and other Binance operations.

Features:

• The basic demand is created by burning repurchased tokens every quarter. The burning lowers supply and hence increases pricing.
• Binance tokens can also be used as payment tokens to pay for goods and services in markets like Crypto.com, Monetha, BitTorrent, Canva, Storm, EthLend, and HTC, and to buy ICO tokens.
• BNB can be staked on the Binance Smart Chain (that runs parallel to the Binance Chain) and earn block rewards –
• BNB and other BEP2 tokens can be sent and received across multiple blockchains through the Binance Smart Chain.

Website: https://www.binance.com/en

#5) Polygon (MATIC)

Polygon is an Ethereum-based token marketed as an Ethereum Layer 2 scaling solution. It helps Ethereum to scale by providing a side chain that can connect to the Ethereum network while processing transactions quickly, at lower fees and can handle a vast number of transactions.

Although developed to initially work with Ethereum, its side chains can work with any other blockchain.

It can be used as blockchain interoperability or inter-connectedness facilitating technology to allow relaying of information and assets across the blockchain. Apps can also be deployed on the Polygon blockchain to be scalable, fast, and leverage the benefits of the EVM (Ethereum Virtual machine).

Features:

• Polygon users can stake tokens and earn a rate of about 15% in confirming transactions, voting, and making proposals.
• Supports smart contracts.
• Chains launched on Polygon can inter-operate with each other and with Ethereum.

Website: https://polygon.technology/

#6) Polkadot (DOT)

Polkadot, which was started back in 2016 by, among other co-founders of Ethereum co-founder Dr. Gavin Wood, is based on technology that facilitates cross-blockchain transfer and communication.

It also allows the creation of smart contracts and blockchains using the Substrate framework authored by Parity Technologies which is also co-founded by Gavin. Ideally, it facilitates the transfer of tokens, assets, and any other type of data to be transferred across different blockchains.

Features:

• Validators stake DOT to confirm and administrate the network. They earn 20% of block rewards per block mined. Validators are selected by nominators and receive a portion of blockchain rewards generated by the validators they nominate.
• A new block is mined every 6 seconds, which is the transaction confirmation time.
• Collators create blocks that are added to Parachains. These blocks contain the most updated transactions. from these blocks, validators choose the ones that most represent the state of a Parachain.
• Validators and collators are monitored by Fishermen who must also stake DOT to do the job.
• Governance is through the council, technical committee, and regular DOT token holders.

Website: Polkadot 

#7) Uniswap (UNI)

UniSwap was launched in November 2018 and is a decentralized finance or DeFi platform and token, with a current market capitalization of over $10 billion. The platform has different features, including a decentralized exchange or DEX, which has beaten old-guard DEXes like EtherDelta, if you can remember, most of the DEXes suffered and continue to suffer low volumes.

Features: 

• Let users trade Ethereum-based tokens through a Web 3.0 wallet. It features a decentralized order book on which customers can place buy and sell orders.
• Exchange tokens automatically in a few clicks and without KYC, custody, or security issues.
• Smart contracts.
• In-built platform token UNI.
• The Uniswap V3 upgrade launched in May 2021 has also been deployed on Optimism–the Layer 2 scaling solution for Ethereum.

Website: https://uniswap.org

#8) Decentraland (MANA)

Decentraland, which is a decentralized land platform that lets users create, trade, and own virtual land and other assets, has gained immense popularity because of the hype around Non-Fungible Tokens. Users also take advantage of the SDK to populate their games with social games and applications. It is similar to Second Life but runs on blockchain.

It uses smart contracts. On the platform, users can create virtual property and sell or buy it and continue to develop it. Owners of the virtual land can develop digital assets, games, applications, assets, and other things. Then they can resell them in MANA tokens. The number of plots is capped at 90,000 every 33 feet by 33 feet. However, there is no limit to the height of land.

Features: 

• Native cryptocurrency is known as MANA and is ERC-20 compliant. It can buy assets on the platform.
• Currently, it comprises or hosts user-created content, including avatars, scenes, and marketplaces on which items can be offered for sale or purchase.
• MANA holders can vote on issues affecting districts (collection of lands forming a single community) with the weight of the vote determined by the amount of MANA tokens held.
• Smart contracts govern and track land ownership and are part of the three layers of the blockchain. The other layer is called the land content layer and renders content and the other real-time layer – which facilitates peer-to-peer interactions between users.
• Besides the ERC-20-based token MANA, there are ERC-721-based Land and Estate tokens that act as Non-fungible tokens and are recorded on the Ethereum blockchain.
• Estate and Land tokens are used in creating unique items, avatars, and parcels, as they cannot be used as currency.

Website: https://decentraland.org 

#9) Dogecoin (DOGE)

Dogecoin was created in 2013 as a fast payment system based on the Litecoin blockchain architecture and the idea behind the creation was to be a meme coin for fun but also an easy-to-use alternative to Litecoin.

Named after the Japanese dog breeds Shiba Inu, DOGE has boomed a lot in 2021, especially behind the social media hype and continued usability. It was forked from a fork of Litecoin known as Luckycoin.

Dogecoin is built to be an open-source peer-to-peer digital form of payment and a blockchain that can facilitate the exchange of value among users. Cryptocurrency has been and is still widely embraced for tipping and crowdfunding but has also been accepted as a method of payment by hundreds of merchants across the globe.

In 2021 alone, the crypto has already created a 5,000% return for its users.

Features:

• Miners can mine the cryptocurrency using a proof of work algorithm. Miners cannot use application-specific integrated circuits or ASICs to mine it. There are multiple pools for mining DOGE.
• Miners are rewarded with 10,000 DOGE per block generated. 5 billion DOGE are to be generated each year.
• Near-zero fees, instant transactions, non-competitive mining, and a lightweight community.
• Major appeal among content creators as it is mainly spent on tipping users.

Website: https://dogecoin.com/

#10) Cardano (ADA)

Cardano blockchain works more like Ethereum as a smart contracts platform and is built with the support of proof of stake from the ground up. Therefore, it supports scalable and interoperable dApps.

Cardano currently performs much better than Ethereum in handling the number of transactions – up to 1 million transactions per second (after addition to Hydra), although Ethereum is on the journey of becoming a proof of stake to be able to transact thousands of transactions per second.

Further reading =>> How and where to buy Cardano 

Although there aren’t as many dApps on Cardano as there are on Ethereum, Cardano has made news in the recent past. First, it has penned several agreements that will see its platform used in different projects – from identity to financial to logistics projects.

The platform, which prides itself in being founded on scientific research, now supports Non-Fungible Token (NFT) marketplaces and anyone who runs a Cardano node can create NFTs on the platform. The community is also expecting another upgrade – the Alonso, which will see Cardano’s smart contracts working on web browsers.

Features: 

• Users can stake ADA tokens to confirm transactions and earn block rewards. The reward depends on the amount staked. Those staking ADA can organize themselves into staking pools to ease participation, even when some of them are offline.
• After the Mithril protocol and Alonso update, users can use lightweight clients to verify transactions without having to download the blockchain.

Website: https://cardano.org/

Conclusion

Crypto investments are ideally long-term unless you want to venture into trading to gain from the huge variability in their prices. This tutorial highlighted 10 cryptocurrencies with huge potential to explode this year in terms of prices. The usability and functionality of the crypto and community may propel most of the growth.

Bitcoin and Ethereum will most likely explode as a result of their enormous volumes and market share since hype sails through a vast audience within a short time, considering that they are highly used globally. Most other cryptos will plummet propelled by their usability in financial and other ecosystems.

Research Process:

• Time is taken to research and write this article: 8 Hours
• Total tools initially shortlisted for review: 30
• Total tools researched online: 15