Data reported today by market analyst Crypto Koryo identified best-performing Layer-1 tokens over the past year, an important analysis that crypto enthusiasts should keep an eye on. Layer-1 tokens are cryptocurrencies built on their respective Layer-1 blockchains, supporting the chains’ fundamental functions, decentralized applications, and network security. Despite hundreds of Layer-1 cryptocurrencies offering services in the wider on-chain market, only four tokens are top performers this year. The analyst disclosed year-to-date performance analysis of various L1 tokens, providing crucial insights into which crypto assets have gained top momentum and show future promise.
Top Layer-1 Tokens with Best Returns This Year
Bitcoin Cash (BCH)
At the top of the list is Bitcoin Cash (BCH), a cryptocurrency launched in 2017 as a Bitcoin hard fork, focusing on rapid, low-cost transactions as peer-to-peer digital cash. As per the data, BCH is the highest-performing L1 token with a price growth of 38% over the past year, making it at the top of the list, beating the performance of all other Layer-1 tokens. Key catalysts behind Bitcoin Cash’s price growth include a tighter token supply, which coincides with the stronger market performance, and anticipations of a potential ETF launch.
Binance Coin (BNB)
BNB is the second-best-performing Layer 1 token this year as its price has increased by 29% in the last 12 months. This remarkable surge in BNB’s price is not from speculation but supported by the BNB Chain’s network growth. The token’s burn program has significantly tightened BNB’s circulating supply over time, while Binance’s global user base is also another key contributor.
Hyperliquid (HYPE)
Hyperliquid (HYPE), a decentralized perpetual exchange (DEX) running on top of a high-performance Layer-1 (L1) blockchain, has also been showing its prominence as its token’s price surged 23% over the past 12 months. This remarkable rise of Hyperliquid’s native token, HYPE, has been due to substantial interest from both DeFi investors and traders in the decentralized exchange platform. The growth has been propelled by an interplay of the network advancements, traders (and investors) using assets as margin to maximize capital efficiency on the platform, and Hyperliquid’s commanding presence in the decentralized perpetual trading sector.
Tron (TRX)
Fourth on the list is Tron (TRX), an EVM-compatible Layer 1 blockchain designed to power fast payments and various decentralized applications (dApps) without intermediaries. With a price increase of 14% in the past 12 months, TRX shows outstanding performance, outperforming other Layer-1 tokens. The momentum has been fueled by increasing transactions on the Tron network and its increasing market share in the stablecoin sector.
Lessons To Learn from This Analysis
This market analysis, as reported by the analyst, hints that when it comes to investing in cryptocurrencies, it’s crucial for investors and traders to keep an eye on year-to-date performance and consider the long-term potential. Crypto assets identified above – BCH, BNB, HYPE, and TRX – are all robust performers that display strong combinations of rapid transaction processing, innovation, and real-world applications.