Time to accumulate? 5 sectors to watch during the crypto winter
Crypto prices have fallen to multi-year lows, raising the question of which assets from which subsets sectors are ready to be accumulated.
Newsletter
It's weird to think that anyone could expect downturns in the crypto market, but that's precisely the position of many developers and project creators who enjoy the low pressure environment that exists during a bear market.
As the saying goes, bear markets are for building, and now is one of the best times to survey the landscape to see which areas of the market are most active in designing the platforms that will reach new highs in the next bull cycle.
Here is a look at five sectors of the blockchain ecosystem that may present some of the best accumulation opportunities when prices are low and demand is non-existent.
Layer 1 protocolsLayer 1 (L1) protocols such as Bitcoin (BTC) and Ethereum (ETH) form the foundation upon which much of the cryptocurrency ecosystem is built and enable most other market sectors to 'exist.
That being said, currently there aren't many options available to launch other protocols on the Bitcoin network and Ethereum has well-known limitations in terms of scalability, which can incur costs of high transaction and slow processing times.
Because of these factors, there remains a significant opportunity for other L1 protocols to establish themselves and carve out a good market share. The total revenue generated by a protocol is a metric that can be used to determine which networks are used the most.
Total Cumulative Revenue for Top L1 Chains on the last 180 days. Source: Token TerminalAccording to data from Token Terminal, the top five L1 protocols by total revenue in the past 180 days, excluding Bitcoin and Ethereum, are BNB Smart Chain (
Crypto prices have fallen to multi-year lows, raising the question of which assets from which subsets sectors are ready to be accumulated.
Newsletter
It's weird to think that anyone could expect downturns in the crypto market, but that's precisely the position of many developers and project creators who enjoy the low pressure environment that exists during a bear market.
As the saying goes, bear markets are for building, and now is one of the best times to survey the landscape to see which areas of the market are most active in designing the platforms that will reach new highs in the next bull cycle.
Here is a look at five sectors of the blockchain ecosystem that may present some of the best accumulation opportunities when prices are low and demand is non-existent.
Layer 1 protocolsLayer 1 (L1) protocols such as Bitcoin (BTC) and Ethereum (ETH) form the foundation upon which much of the cryptocurrency ecosystem is built and enable most other market sectors to 'exist.
That being said, currently there aren't many options available to launch other protocols on the Bitcoin network and Ethereum has well-known limitations in terms of scalability, which can incur costs of high transaction and slow processing times.
Because of these factors, there remains a significant opportunity for other L1 protocols to establish themselves and carve out a good market share. The total revenue generated by a protocol is a metric that can be used to determine which networks are used the most.
Total Cumulative Revenue for Top L1 Chains on the last 180 days. Source: Token TerminalAccording to data from Token Terminal, the top five L1 protocols by total revenue in the past 180 days, excluding Bitcoin and Ethereum, are BNB Smart Chain (
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