What Are the Most Popular Cryptocurrencies In The US
When choosing the best cryptocurrency exchange for your needs, it’s important to look at supported currencies, pricing, withdrawal options, and security—which is where we focused when picking this list of the best cryptocurrency exchanges. Keep reading to learn more about which cryptocurrency exchange in the US could be best for your goals.
What Are The Key Cryptocurrency Trends In The USA?
It is always interesting to predict the crypto industry’s trajectory, as it is developing in unique ways, opening up novel opportunities for investors. 2021 has been a prolific year as cryptocurrency trends are now shaping the future of finance, especially in countries like the USA. A report by Chainalysis shows that North America is the third most active country in the cryptocurrency market, after Western Europe and East Asia. There has been a rising interest in Bitcoin in the region since the beginning of the year.
After a detailed survey, the analytic firm confirms that the US’s preference for BTC is significantly higher than any other region. Furthermore, apart from investors, millennials have also started showing interest in the crypto space, paving the way for new cryptocurrency trends in the country. Along with Bitcoin, the US also has shown rising interest in Ethereum, meme coins like Dogecoin and Shiba Inu, and potential altcoins like Ripple XRP.
By gaining more exposure and knowledge about the cryptocurrency world, millennials would be able to invest strategically and create novel trends in the US cryptocurrency market shortly.
It’s no coincidence that 3 of the 5 most popular cryptocurrencies in the USA are based on Ethereum technology (ETC, ShIB Cash, and DOGE). According to a report by the analytics company Chainalysis, North America — which is the third most active country in the cryptocurrency market, after Western Europe and East Asia — favors Bitcoin cryptos above all others.
The report claimed that this level of favor was ‘disproportionate’ compared to other countries. As part of its research, Chainalysis analyzed how popular different categories of crypto are in key regions around the world. They did this by dividing cryptocurrencies into Bitcoins (BTC), stablecoins, and altcoins, before working out what percentage of regional activity concerned each category.
They discovered the following:
- East Asia: 51% BTC, 33% stablecoins, 16% altcoins
- Western Europe: 66% BTC, 21% stablecoins, 12% altcoins
- North America: 72% BTC, 17% stablecoins, 11% altcoins
- Eastern Europe: 57% BTC, 30% stablecoins, 13% altcoins
- Central and Southern Asia: 53% BTC, 35% stablecoins, 12% altcoins
- Latin America: 63% BTC, 26% stablecoins, 11% altcoins
- Middle East: 54% BTC, 33% stablecoins, 14% altcoins
- Africa: 69% BTC, 21% stablecoins, 10% altcoins
The US’s preference for BTC is noticeably higher than any other region, with Africa the second highest at 69%
What are the most popular cryptocurrencies in the US?
1. Bitcoin (BTC)
2. Binance Coin
3. Dogecoin (DOGE)
4. Tether (USDT)
5. Ethereum (ETH)
6. Solana (SOL)
7. Shiba Inu (SHIB)
8. Cardano (ADA)
9. Ripple (XRP)
10. Avalanche (AVAX)
Top 10 most popular cryptocurrencies in the USA
1. Bitcoin (BTC)
Market cap: $901 billion
Bitcoin, the world’s oldest yet most popular and valued digital currency, is one of the preferred investment vehicles for US investors. With its worldwide acceptability, companies and institutions see it as owning a venture capital-backed asset. As a result, the price of Bitcoin has seen colossal growth since the beginning of 2021, hitting record highs.
The distrust of financial corporations was at its peak right after the global financial crisis in 2007-2008 and the US real estate crash. This was when Bitcoin entered the market completely separated from centralized organizations such as banks or credit lenders.
Surprisingly, the first real-world Bitcoin transaction occurred in 2010. A software developer from Florida bought two pizzas for 10,000 BTC. The day is still celebrated as the ‘Bitcoin Pizza Day,’ and investors often celebrate by buying pizza with their own crypto reserves. This was the initial step of a lucrative investment sector in the US and worldwide. There are almost 64 million Bitcoin wallets available today. According to reports, a substantial percentage of Bitcoin users are living in the United States.
Moreover, digital payment companies like PayPal Holdings and brokerage companies like Robinhood and Webull have now entered the retail market, allowing investors to buy Bitcoin. Bitcoin is one of the most popular cryptocurrencies in the US. Despite its high volatility, investors see buying BTC as similar to owning gold and operating as a safe haven.
2. Binance Coin
Market cap: $94 billion
Binance Coin is the cryptocurrency issued by Binance, among the largest crypto exchanges in the world. While originally created as a token to pay for discounted trades, Binance Coin can now be used for payments as well as purchasing various goods and services.
Though BNB is similar to CRO in that they are both connected to crypto exchanges, the Binance Exchange is far and away from the largest and most liquid. The Binance Coin has expanded its uses to include payments for transaction fees, travel arrangements, and financial services, including investing in stocks and exchange-traded funds. The Binance Smart Chain (BSC) – separate but parallel to the Binance Chain – was built to give more capabilities to developers and opened up the option for smart contracts. BNB has seen more steady growth in 2021 than other tokens, but its largest growth was in March and April. In May, the token lost half of its value in two weeks following an announcement by the Justice Department and IRS of an investigation into possible money laundering.
3. Dogecoin (DOGE)
Market cap: $22 billion
Originally created as a joke after the run-up in Bitcoin, Dogecoin takes its name from an internet meme featuring a Shiba Inu dog. Unlike many digital currencies limiting the number of coins in existence, Dogecoin has unlimited issuance. It can be used for payments or sending money.
Dogecoin, the most popular cryptocurrency, has seen its value rise higher over the past few weeks. The unique meme cryptocurrency was born out of the legendary dog meme and crypto movement in 2013 when cryptocurrency was picking up its pace. But the crypto has evolved to be more than just a joke and started gaining serious attention from investors very shortly.
One among many reasons to buy DOGE is that it consumes very little energy. At a time when the sustainable nature of cryptocurrencies is a heating topic in the market, Dogecoin has an added advantage. Since it uses the script mining algorithm, Dogecoin is highly energy-efficient and environmentally friendly.
4. Tether (USDT)
Market cap: $76 billion
Tether’s price is anchored at $1 per coin. That’s because it is what’s called a stable coin. Stablecoins are tied to the value of a specific asset, in Tether’s case, the U.S. Dollar. Tether often acts as a medium when traders move from one cryptocurrency to another. Rather than move back to dollars, they use Tether. However, some people are concerned that Tether isn’t safely backed by dollars held in reserve but instead uses a short-term form of unsecured debt.
Unlike some other forms of cryptocurrency, Tether is a stable coin, meaning it’s backed by fiat currencies like U.S. dollars and the Euro and hypothetically keeps a value equal to one of those denominations. In theory, this means Tether’s value is supposed to be more consistent than other cryptocurrencies, and it’s favored by investors who are wary of the extreme volatility of other coins.
5. Ethereum (ETH)
Market cap: $472 billion
Ethereum is one of the most popular cryptocurrencies in the US, thanks to its advanced blockchain technology. ETH started gaining massive traction back in March 2020 when CONA Services (Coke One North America) announced that it would be using the Ethereum blockchain to enjoy the benefits of decentralized finance(DeFi).
CONA Services, the tech partner of the 12 biggest coca-cola bottling plants in the United States, has been carrying out transactions in the Ethereum blockchain so far, boosting its popularity. They chose the network to increase transparency throughout its supply chain, and Ethereum served its purpose.
Ethereum is much more than just a cryptocurrency. It is an open-source operating system and computing platform supporting distributed applications (dApps) and smart contracts. ETH has been one of the popular choices for investors and institutions alike. The coin also holds the name of the first programmable money in the world.
6. Solana (SOL)
Market cap: $53 billion
Solana has held its gains better than other cryptocurrencies after more than quadrupling between August and September, then pulling back slightly after "intermittent instability" issues on the blockchain, and then recovering to run again in November. Similar to Avalanche, Solana also has been dubbed the "Ethereum killer," uses PoS, has faster transactions, and has lower fees. All of these smart contract platforms allow applications to be built on their network, but while Ethereum uses PoW to gain consensus on transactions, Solana uses a mix of PoS and an innovation called proof-of-history (PoH), which is described as a cryptographic timestamp that removes the need for validators to verify the timestamps on each transaction. The protocol solves a key delay in other systems – and investors have piled in.
Developed to help power decentralized finance (DeFi) uses, decentralized apps (DApps), and smart contracts, Solana runs on a unique hybrid proof-of-stake and proof-of-history mechanisms that help it process transactions quickly and securely. SOL, Solana’s native token, powers the platform.
When it launched in 2020, SOL’s price started at $0.77. By Nov. 30, 2021, its price was almost $213.42, a gain of more than 26,500%.
7. Shiba Inu (SHIB)
YTD gain: 1,450%
Market cap: $17 billion
Shiba Inu Coin is one of the most popular cryptocurrencies in the US, thanks to its substantial growth since the beginning of 2021. It is now available in several major U.S cryptocurrency exchanges, boosting the SHIB token’s adoption rate. In addition, the coin has raked in huge profits for traders and investors, considering it was one of the best penny cryptocurrencies at the start of the year.
One of the biggest reasons to buy SHIB is its growing fanbase. It is now a hot topic of discussion in international chat rooms, social media platforms, and among meme-makers. There is a strong community behind the success and popularity of the token today, which will drive SHIB to new heights in the coming years.
Moreover, there is no centralized team or direct leadership behind Shiba Inu. Therefore, the project’s future lies in the hands of the dedicated community who have decided to invest their hard-earned money in it. The development team rightly calls the project an experiment in decentralized spontaneous community building.
Yet another factor that drives the price of SHIB in 2021 is the token's listing as an option of payment by GrupoCino. The team announced in June 2021 that GrupoCinco, one of the largest entertainment groups in Paraguay, will start accepting SHIB in July. The token will be accepted as a form of payment for 24 outlets including, pubs, restaurants, and nightclubs. This will eventually expose SHIB to the 50,000 customers who engage with various company outlets, boosting SHIB token’s adoption rate.
8. Cardano (ADA)
Market cap: $42 billion
The Cardano platform is similar to Ethereum in that it is an open-source blockchain, and it is so far the largest cryptocurrency using the proof-of-stake model. It saw its largest increase in August before a policy change that allows smart contracts using the Plutus smart contract language and financial contracts using the Marlowe language, designed for nonprogrammers in the financial sector. Since its peak in early September, the price of the ADA token dropped by more than half, and it is trading around the range it stayed in between February and July 2021.
Somewhat later to the crypto scene, Cardano is notable for its early embrace of proof-of-stake validation. This method expedites transaction time and decreases energy usage and environmental impact by removing the competitive, problem-solving aspect of transaction verification present in platforms like Bitcoin. Cardano also works like Ethereum to enable smart contracts and decentralized applications, which are powered by ADA, its native coin.
Cardano’s ADA token has had relatively modest growth compared to other major crypto coins. In 2017, ADA’s price was $0.02. As of Nov. 30, 2021, its price was at $1.57. This is an increase of 7,850%.
9. Ripple (XRP)
Market cap: $39 billion
Formerly known as Ripple and created in 2012, XRP offers a way to pay in many different real-world currencies. Ripple can be useful in cross-border transactions and uses a trust-less mechanism to facilitate payments.
Ripple, the company behind the XRP token, describes itself as a payment solutions company. Today XRP is deployed by several financial institutions to facilitate cross-border payments between countries seamlessly. It is a unique cryptocurrency designed to solve a real-world issue, a significant reason for its increasing popularity.
The purported goal of the token is to simplify financial payments as the traditional monetary payment system is fragmented, expensive, and complicated. Ripple offers faster, cheaper, and more secure alternatives to facilitate cross-border payments using XRP. Ripple is one of the most popular cryptocurrencies in the US because of its utility. While according to expert predictions, with more institutional adoptions, XRP would soon become even more popular in the country.
10. Avalanche (AVAX)
Market cap: $20 billion
Avalanche is a fast and low-cost smart contracts-based blockchain platform focused on building decentralized apps and facilitating the creation of custom blockchains. Its users can process transactions in the native AVAX token.
"Like Ethereum, but faster" has been the pitch for Avalanche, which promises faster smart contracts and boasts the most validators of any PoS protocol. Proponents have touted its ability to scale while remaining secure and decentralized as the reason for its increased adoption. Those same traits are what led Deloitte to partner with Ava Labs, the team developing the Avalanche blockchain, to use Avalanche as a way for local and state governments in disaster areas to quickly demonstrate their eligibility for funds from the Federal Emergency Management Agency. Its consensus protocol, which verifies the transactions, is considered a hybrid of old and new consensus protocols and is spread across three blockchains built for specific tasks.
Is cryptocurrency legal in the USA?
Bitcoin was officially legalized in the USA in February 2020. However, it’s not considered legal tender and is taxed as a form of property rather than currency.
Where can I get cryptocurrency in the USA?
The broker eToro is a safe and reputable way to start trading cryptocurrency in the USA. It has offices in the US and is regulated by the Financial Crimes Enforcement Network (FinCEN). Using eToro, you can access more than 90 different cryptocurrencies.
Who regulates Bitcoin in the US?
Although Bitcoin isn’t legally classed as money, the Financial Crimes Enforcement Network (FinCEN) has recognized crypto exchanges as money transmitters and considers tokens have “value that substitutes for currency.”
Does Amazon US accept Bitcoin?
Currently, Amazon US doesn’t officially accept Bitcoin payments for products. However, it is possible to pay for Amazon gift cards using Bitcoin.
How do I convert Bitcoin to dollars?
You can convert your Bitcoins to dollars by selling it on a cryptocurrency exchange, such as eToro. Simply sell your crypto for dollars and withdraw your payment to a bank account.
Is cryptocurrency a good investment?
Investing in cryptocurrency in the US is generally considered a high-risk investment. This is because the value of assets such as Bitcoin can be incredibly volatile. It’s important to do your due diligence and have a robust risk management strategy in place before you start investing in cryptocurrency in the US.
Is it legal to buy and sell Bitcoin in the US?
Buying and selling Bitcoin is legal in the US — as long as you go through a regulated exchange. If you try to trade Bitcoin without going through an exchange, you’ve technically committed a crime. This is because Bitcoin is taxed as property rather than currency. Just as you’d go through an estate agent to sell your home, you need to go through a regulated crypto exchange to sell your Bitcoin in the US.
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