Bitcoin
Beat the bull market! 5 Layer 2 Cryptos to Buy If Bitcoin Reclaims $72,000
Investors watching Bitcoin Price and wanting to win big in the next bull market could seek exposure to layer 2 crypto to buy directly or indirectly connected to the king of crypto. Bitcoin has experienced a mini-bull run since January, reaching a new all-time high of $73,837, but sentiment argues that the main one is still to come.
Layer 2 projects will be key to bringing volume to the Bitcoin blockchain and therefore cannot be left out of portfolios. These layer 2 cryptocurrencies have the potential to positively impact your portfolio in 2024 and 2025.
1. Crypto to Buy – SatoshiVM (SAVM)
Satoshi VM is a layer 2 Bitcoin ZK Rollup solution that uses native BTC as gas. SAVM is the native token of the layer 2 network and is used for governance. SatoshiVM is also fully compatible with the Ethereum Virtual Machine (EVM) while using Bitcoin as the settlement layer. The project has a multitude of tools being built, including a decentralized exchange that includes a DeFi yield protocol for BTC staking and yield.
SatoshiVM price has been trending downward since the launch of its alpha mainnet in March 2024. However, trading volume is increasing, indicating that investors are accumulating and awaiting a breakout. SatoshiVM has a market cap of $21 million, making it a gem in the rough waiting for the summer of Bitcoin DeFi to take shape.
2. Elastos (ELA)
Elastos is a long-time player in the cryptographic arena and markets itself as the vanguard of a smarter Web. Its technology enables a smarter, more secure and private digital ecosystem powered by Bitcoin.
The technology stack that Elastos has built allows developers to build layer 2 networks on top of it. Elastos is also developing BeL2, a Bitcoin Elastors layer 2 protocol that will allow EVM smart contracts to run directly on Bitcoin.
ELA is currently priced at $2.62, with a market cap of $54 million. The price of Elastos at its highest level (more than 6 years ago) was US$89.14, which shows the great hidden potential of the project. Now that Bitcoin DeFi is closer than ever, the potential for Elastos to reach a billion-dollar market cap project is high.
3. Merlin Chain (MERL)
Merlin Chain is a native Bitcoin Layer 2 network developed by Bitmap Tech and based on the native Bitcoin Layer 1 assets, protocols and products. The L2 network has made progress in bringing DeFI to Bitcoin by building a functional bridge.
Through the Merlin Chain, more than 190,000 BTC (more than 12.9 billion dollars) have been interconnected to other networks such as Solana, BNB chain, Ethereum and Manta.
As far as MERL price is concerned, it is clear that it has not reached the fundamentals yet. The price of Merlin is around $0.5, an increase of 7% in the last 7 days. MERL price is down 65% from its all-time high of $1.45 two months ago. Investors who join now can receive a 65% discount on the price of MERL as it could rise during Bitcoin’s rally.
4. Stacks (STX)
Perhaps one of the largest Layer 2 cryptocurrencies associated with Bitcoin, Stacks is a Bitcoin Layer 2 network that enables smart contracts and applications with Bitcoin as a secure base layer. Battery price received a boost recently after Grayscale Investment introduced the Grayscale Stacks Trust. This financial instrument focuses exclusively on investing in STX.
The Stacks market soared along with its price, rising to US$2.88 billion. STX’s daily trading volume also increased by 215%, signaling a recent increase in market activity.
Stacks recorded its highest price two months ago at around $3.86. The journey back to that price may be simple and not have much ROI. However, as the only Bitcoin Layer 2 crypto that Graysclae trusts, STX price could continue to rise in the near future and gains could be exponential if Bitcoin revisits $72,000.
5. Optimism (OP)
Optimism is a well-known Ethereum Layer 2 network. However, due to continuous construction, Optimism’s OP stack caught the attention of Build on Bitcoin (BOB), the first Layer 2 hybrid network, connecting Bitcoin security with EVM liquidity.
While the connection may be indirect, the rise of Bitcoin, especially after the launch of the BOB network, could affect the Optimism network’s token, OP.
The OP price is performing well, although it has fallen by 4.5% in the last 7 days. In March, Optimism announced an $89 million private sale of 19.5 million OP tokens. The announcement generated mixed feelings among the Ethereum community and negatively impacted the price. However, Optimism is a fundamentally sound project and they continue to grow.
Conclusion
Tapping on layer 2 encryption Buying before Bitcoin begins the second phase of this cycle’s bull run can be a good way to grow your portfolio exponentially. However, make sure you do your due diligence before deciding to invest in any layer 2 crypto.
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