Bitcoins Layer 2 tokens surpass BTC after halving

After the recent Bitcoin halving event, three innovative BTC layer 2 protocols have surpassed the performance of the leading cryptocurrency token.
As of the latest update, Bitcoin (BTC) was trading above $65,000 with a 2.9% increase in the last 24 hours, as per data from CoinGecko. The immediate price movements following BTC’s halving are following a typical pattern seen in previous cycles.
Historical data indicates that volatility and price fluctuations precede the quadrennial halving events, leading to a surge in Bitcoin’s value in the mid to long term. However, these price increases have not always been linear.
While Bitcoin showed modest gains post-halving, protocols built around the largest blockchains in the crypto space have seen higher growth in the past 24 hours and over the week. Among five BTC L2 solutions listed on CoinGecko, three tokens have stood out, collectively holding over $4 billion in value.
One notable protocol is SatoshiVM (SAVM), which claims to be a BTC zero-knowledge rollup compatible with the Ethereum Virtual Machine (EVM). SAVM uses native BTC for gas fees and enables the creation of assets, dapps, and solutions within Bitcoin’s ecosystem. SAVM experienced a 12% surge in the past day and delivered a return of over 17.9% to its holders over the week.
Elastos (ELA) is another protocol that aims to enhance BTC’s efficiency and scalability with its BeL2 layer 2 solution, powered by SmartWeb technology to facilitate smart contracts on Bitcoin. ELA saw a 5.5% increase in the last 24 hours and a 3.6% gain over the week.
Stacks (STX) closely followed Elastos with a daily growth of 5.4% but surpassed ELA with a 10.6% increase over the week. Stacks supports dapp development and on-chain settlement on Bitcoin, unlocking approximately $500 billion in BTC capital through its direct settlement mechanism.
These BTC L2 tokens have shown strong performance post-halving, indicating promising developments in the cryptocurrency space. Additionally, financial institution Standard Chartered has reiterated its bullish prediction of Bitcoin reaching $150k in the near future.