Layer 2

Bitcoin L2 tokens outpace BTC post-halving

Published

2 years ago

April 22, 2024

DCS Team

Credit : crypto.news

After Bitcoin’s halving, three so-called BTC layer 2 protocols have outperformed crypto’s predominant token.

On the time of writing, Bitcoin (BTC) was buying and selling at over $65,000 and was up 2.9% prior to now 24 hours, in accordance with knowledge from CoinGecko. The short-term worth motion following the BTC halving isn’t uncommon in comparison with earlier cycles.

Historic knowledge reveals that volatility and worth swings result in the quadrennial occasions, adopted by a parabolic Bitcoin run within the medium to long run. Nevertheless, earlier will increase have virtually by no means been in a straight line.

BTC Value Chart | Supply: TradingView

Whereas BTC confirmed modest positive factors after the halving, protocol buildings round crypto’s largest blockchains posted greater positive factors over the previous 24 hours and over the previous week. Three tokens stood out amongst 5 BTC L2 options categorized by CoinGecko, that are valued at over $4 billion.

SatoshiVM

SatoshiVM (SAVM) claims to be a BTC zero-knowledge rollup that’s suitable with the Ethereum Digital Machine, or EVM, as it’s generally identified in crypto. The protocol makes use of native BTC as fuel charges and permits builders to difficulty property, dapps and options associated to the Bitcoin ecosystem.

SAVM rose 12% final day and returned greater than 17.9% to holders final week.

Elastos

Elastos (ELA) holders gained greater than 5.5% in 24 hours, however solely 3.6% prior to now week. The protocol goals to strengthen the effectivity and scalability of BTC by providing its L2 referred to as BeL2, a layer 2 providing constructed utilizing SmartWeb expertise to allow good contracts on Bitcoin.

READ Will BTC Break Past $106K or Pull Back?

Stacks

Stacks (STX) trailed Elastos for every day progress of 5.4%, however outpaced ELA on the weekly timeline with a ten.6% acquire. Based on the crew, Stacks helps dapp developments and on-chain settlement on Bitcoin.

The protocol says the Stacks layer will unlock roughly $500 billion in BTC capital by way of this prompt settlement mechanism.