The prices of most, or at least many, cryptocurrencies seem to be hesitant as of late after recently starting a rally that was cut short after encountering another bearish wave. Bitcoin, for example, managed to breach the $50k barrier only to be sent back down to mid-$40k’s. Ethereum was soon to follow, and the same can be said for most other altcoins.
However, we did see a significantly better performance among Layer-2 solutions as of late. But, as every good investor and trader knows, the point is not to look at what assets are performing well right now, but which ones are going to explode in the future.
Some people seemed to believe that Layer-1 solutions are the key and that they can bring massive gains to those who invest in them, and time seems to have proven them right. While most cryptos are trading in the green at the time of writing (September 14th), they are still deep in the red on a weekly basis.
On the other hand, solutions like Cosmos, Tezos, and Quant — while not the top-ranking assets — are all deep in the green on 24-hour and 7-day charts.
Cosmos, Tezos, and Quant see considerable growth
Cosmos (ATOM) is one of the top performers among altcoins these days, and it saw steady growth for over a month now. It did see a slight correction between September 7th and 9th, but it recovered to pre-drop levels in less than a day, only to continue skyrocketing after that. It sent from $15.2 on August 15th to $35.14 on September 14th, with an 11% surge in the last 24 hours. Weekly, however, it went up by 43.27%.
In a similar way, Tezos (XTZ) grew by 8.50% in the last 24 hours, currently sitting at $7.61. The coin’s growth started around August 20th, and other than the price drop on September 7th, it saw almost constant growth, with only smaller fluctuations. Its price went from $3.6 on August 20th to the current price of $7.61, with a weekly growth of 43.91%.
Finally, there is also Quant (QNT), which saw 11% daily growth and 20.41% weekly surge. Unlike the other two, Quant’s growth started around September 4th, so it only had a few highly successful weeks, rather than a full month or so. But, when it started surging, it skyrocketed rather rapidly, going from $188 on September 4th to $425 on September 11th. This is actually its all-time high, as the project spent the majority of its existence with only minimal fluctuations.
However, since its price was significantly lower for the most part, this likely isn’t a sign of stability. Instead, it seems to have been relatively ignored for a long while, which has finally started to change.
Why are these altcoins surging?
Other than Tezos, which offers a unique way for users to stake their assets and earn passive income through its ‘baking’ process, the other two blockchains are largely focused on interoperability in the crypto industry.
Staking is, of course, something that has attracted many people once the DeFi sector went big, which makes Tezos’ growth understandable. The project offers users to stake their coins, earn rewards, and become active participants in the project’s governance.
However, when it comes to Cosmos and Quant, they are focused more on establishing connections between blockchains and turning the blockchain industry into a network — a network that will someday be the next stage of the internet.
Interoperability has been one of the biggest trends that tend to go somewhat unnoticed because they are not thought of as opportunities for creating and earning money. However, they can bring huge benefits, which is why projects that are dealing with this aspect of the crypto industry tend to be significantly popular.
The ability to transfer funds and data quickly between two completely different and isolated blockchain ecosystems can bring some very large benefits, including cheaper transactions between chains. So far, users who wanted to go from one chain to the other would have to exchange the tokens from one chain for those of the other within a crypto exchange.
This already includes a third party, which is often quite expensive, and the whole process is indirect, it requires third parties, and it comes with more fees than necessary. These two projects are working on changing that, and even if neither of them ends up revolutionizing the crypto industry — their contributions to understanding interoperability and finding even better ways will certainly be appreciated.
In Tezos’ case, it is also worth noting that the project has recently started dealing with NFTs, which are this year’s biggest trend, and likely at least partially responsible for the increase in demand, as well as price. And, to top it all off — traders and investors believe that all three coins are excellent choices for long-term investments, whether because of their efforts in their one niches, or for their involvement with the biggest current trends, such as staking, NFTs, and interoperability.