Forget Bitcoin: These 3 Cryptocurrencies Have Already Gained up to 25% in 2022

Cryptocurrencies such as Chainlink, Cosmos, and Harmony have outpaced Bitcoin, Ethereum, and Solana in the first week of 2022.

| More on:
crypto blockchain

Image source: Getty Images

The last week has seen several cryptocurrencies lose momentum after a stellar run in 2021. For example, in the last seven days, Bitcoin is down over 11%. Comparatively, Ethereum, Solana, and Binance have also lost 13%, 21%, and 14%. respectively in 2022.

However, there are several other digital tokens that have gained momentum this year. Let’s see the three cryptocurrencies that have gained between 20% and 24% year to date.

Chainlink

Chainlink (CRYPTO:LINK) is the 17th-largest cryptocurrency in the world. Its digital token has surged over 25% this year, valuing LINK at a market cap of US$11.94 billion. Chainlink has generated significant investor wealth, rising close to 15,000% in fewer than five years.

Chainlink is a network that enables several blockchains, where smart contracts are executed to connect with each other. Basically, Chainlink can be viewed as an interpreter of languages for blockchain networks.

A key driver for the increase in the price of LINK will be the number of smart contracts its network facilitates. Data from Whale Stats suggests Chainlink accounts for 6% of total smart contracts right now.

What makes Chainlink a top cryptocurrency bet is that it allows real-world data providers to bid on requests from data purchasers. So, data providers will have to stake LINK tokens that ensure accuracy and transparency. Alternatively, once the contract is executed, data buyers will compensate data providers with the LINK token.

Cosmos

The second cryptocurrency on my list is Cosmos (CRYPTO:ATOM) which is valued at a market cap of US$9.84 billion. ATOM has gained over 20% in 2022 and is up 500% in fewer than three years.

Cosmos is an ecosystem of interconnected applications and services that are connected using the Inter-Blockchain Communication protocol. With over US$154 billion in digital assets under management, Cosmos has already onboarded over 262 apps and services on its platform.

Further, the Cosmos Hub is a blockchain that provides important services to the interchain. For novices, the interchain is a new internet that consists of an extended network of interconnected blockchains.

Cosmos aims to build a decentralized exchange, where you can swap digital assets across the interchain, resulting in low transaction fees. An upcoming interchain security feature will allow ATOM to secure multiple chains and earn staking rewards, increasing demand for the token in the process.

Harmony

The final cryptocurrency on my list is Harmony (CRYPTO:ONE), which is valued at a market cap of US$3.7 billion. The ONE token has gained 20% in 2022 and is up 1,450% since mid-2019. An open and fast blockchain network, Harmony’s mainnet runs Ethereum applications with a transaction finality of two seconds, which also ensures lower fees.

It is a decentralized platform for assets, identity, governance, and collectibles. Further, Harmony’s bridges also enable cross-chain asset transfers with Binance, Ethereum, and other three chains.

The Foolish takeaway

While major cryptocurrencies, including Bitcoin, Ethereum, and Solana, have lost steam in the last month, they remain top bets for long-term investors. However, there are over 13,000 cryptocurrencies in circulation right now, and you need to look at the utility of their networks to see if they can surge higher in 2022 and beyond.

This article represents the opinion of the writer, who may disagree with the “official” recommendation position of a Motley Fool premium service or advisor. We’re Motley! Questioning an investing thesis — even one of our own — helps us all think critically about investing and make decisions that help us become smarter, happier, and richer, so we sometimes publish articles that may not be in line with recommendations, rankings or other content.

Fool contributor Aditya Raghunath has no position in any of the stocks mentioned. The Motley Fool owns and recommends Bitcoin, Chainlink, and Ethereum.

More on Investing

Dividend Stocks

The Top Canadian REITs to Buy in April 2024

REITs with modest amounts of debt, like Killam Apartment REIT (TSX:KMP.UN), can be good investments.

Read more »

edit Person using calculator next to charts and graphs
Stocks for Beginners

Where to Invest $7,000 in April 2024

Are you wondering how to deploy the $7,000 TFSA contribution increase in 2024? Here are four high-quality stocks for earning…

Read more »

Technology
Dividend Stocks

The Smartest Dividend Stocks to Buy With $500 Right Now

Some of the smartest buys investors can make with $500 today are stocks that have upside potential and pay you…

Read more »

Various Canadian dollars in gray pants pocket
Dividend Stocks

2 Dividend Stocks to Buy in April for Safe Passive Income

These TSX Dividend stocks offer more than 5% yield and are reliable bets to generate worry-free passive income.

Read more »

protect, safe, trust
Dividend Stocks

How to Build a Bulletproof Monthly Passive-Income Portfolio With Just $1,000

If you've only got $1,000 on hand, that's fine! Here is how to make a top-notch, passive-income portfolio that could…

Read more »

Senior Couple Walking With Pet Bulldog In Countryside
Dividend Stocks

CPP Insights: The Average Benefit at Age 60 in 2024

The average CPP benefit at age 60 in average is low, but claiming early has many advantages with the right…

Read more »

edit Sale sign, value, discount
Investing

2 Bargains I’d Buy as They Dip Toward 52-Week Lows

Spin Master (TSX:TOY) stock and another underrated Canadian play could surge again as they look to reverse course.

Read more »

thinking
Dividend Stocks

Why Did goeasy Stock Jump 6% This Week?

The spring budget came in from our federal government, and goeasy stock (TSX:GSY) investors were incredibly pleased by the results.

Read more »