Top 4 Crypto Sectors That Can Generate 100x Profits In The Next Bull Run

Since the beginning of 2023, we’ve been witnessing a strong Bitcoin rally with only a handful of altcoins outperforming.

Why are these coins posting gains while most of the altcoin market is bleeding? Because they’re part of strong crypto narratives of the moment.

From AI, to liquid staking, perpetual DEXs and memecoins, 2023 has already seen its fair share of crypto trends.

But what about the strongest future crypto sectors that can generate huge gains when the altcoin season finally takes off?

Let’s go through the top 4 and their respective tokens.

I covered 5 other strong crypto narratives of 2023 in this post.

1. Layer 2 (L2)

One of the categories of crypto projects that have been growing the fastest and generating the most interest in recent months is Layer 2 solutions for Ethereum.

Ethereum is a slow and congested network with high transaction fees. Layer 2 solutions make it faster and cheaper while preserving its high level of security.

There are many Layer 2 solutions already on the market and new ones are coming out regularly. Some of the most popular ones like zkSync or Starknet don’t have tokens yet, so early users can still qualify for an airdrop and get some free crypto.

On the other hand, the abundance of Layer 2 projects means they will compete amongst each other for market cap which can result in smaller price growth for all of them. It’s also hard to predict which projects will be the most successful and which will fail.

All in all, with the rapid expansion of the Ethereum network, Layer 2 solutions are an absolute necessity to achieve effective scaling of the Ethereum blockchain.

Top Layer 2 projects to watch: Polygon ($MATIC), Arbitrum ($ARB), Optimism ($OP), Immutable X ($IMX), Loopring ($LRC), zkSync, Starket, Scroll.

2. Decentralized storage

Decentralized file storage is essential for the success of Web 3.0 as dApps built on layers 1 and layers 2 will need space to store their data.

While blockchains are designed for decentralized storage, they are not capable of storing large files. They are built to handle transaction data, smart contracts, and source code.

The Bitcoin and Ethereum ledger are about 10 - 15 GB in size, whereas all the data on the internet amounts to over 60 trillion GB.

This data is today stored on servers controlled by cloud storage providers which effectively own the data. This centralized way of storing data is also less secure as it provides a single point of failure.

With decentralized storage, the data is stored on multiple networks owned by users across the globe. These users are incentivized to operate the network to keep it decentralized, available, and secure. As a result, the data is hosted by a group of people rather than a single authoritative organization.

Decentralized storage is thus more secure as the chances of attacks are much smaller. It also allows you to have full control and ownership over your data.

The need for decentralized storage will continue to increase as blockchain applications are becoming more popular and the world is progressively heading toward Web 3.0.

As it has enormous potential and the number of projects is relatively small, it can be a very prosperous sector during the next bull rally.

Top decentralized storage projects to keep an eye on: Internet Computer ($ICP), FileCoin ($FIL), BitTorrent ($BTT), Arweave ($AR), Siacoin ($SC), Storj ($STORJ).

3. Gaming / Metaverse / Play-to-Earn

Play-To-Earn Metaverse-style projects are a very interesting crypto sector because they are best placed to lead to the mainstream adoption of cryptocurrencies.

Most people use cryptocurrencies to make profits from speculation which makes the crypto population very limited. But with hundreds of millions of people playing video and mobile games at least occasionally, Web 3 gaming platforms could present their gateway to the world of crypto.

This is especially true because Web 3 gaming offers significant advantages over traditional one.

Traditional Web 2 games are made with the sole goal to earn profits to large corporations behind them. They have no open economy and the players have zero say regarding the future developments of the games. The only reason they play is for entertainment.

Modern games add the dimension of socializing while playing which means many people now use these platforms not only to play but to hang out with others.

Blockchain-based games revolutionize the concept of gaming even further. Players can vote on future developments through DAOs, they can create, own and sell digital assets, and they can earn the game’s native tokens while playing and convert their earnings to real money.

However, to bring millions of people into the world of Web 3 gaming, we need robust infrastructure. This is where Layer 2 and decentralized storage projects will play an immense role.

Top gaming projects to add to your watchlist: The Sandbox ($SAND), Decentraland ($MANA), Gala ($GALA), SuperVerse ($SUPER), Vulcan Forged ($PYR), Render ($RNDR), Illuvium ($ILV), Ultra ($UOS), Highstreet ($HIGH), Wilder World ($WILD)

4. Decentralized identity

Identity underpins almost every aspect of our lives. Using online services, opening a bank account, voting, buying property, and getting a job - all these services require proving your identity.

Traditional identity management systems rely on centralized intermediaries who issue, hold, and control your identifiers. This means you cannot control your identity-related information or decide who has access to them or how much access.

Decentralized identity systems built on public blockchains like Ethereum allow individuals to own and manage their identity-related information, and to authorize assess to them without relying on central authorities.

The primary building blocks of decentralized identity are decentralized identifiers and attestations. They are tamper-proof, cryptographically verifiable claims made by the issuer.

They are crucial to protecting the privacy of personal information. For example, to prove that you’re an adult, the company requiring the information wouldn’t have access to your date of birth or age. It would only receive cryptographic proof of your adulthood.

Decentralized identity systems would thus make personal data more secure, more easily and quickly verifiable, and would protect the user’s privacy. They can be used for things such as universal logins, KYC verifications, or online voting.

Top Decentralized ID projects to keep on your radar: Ontology ($ONT), Civic ($CVC), SelfKey ($KEY), Metadium ($META), VerusCoin ($VRSC), KILT Protocol ($KILT)

Bottom line

Crypto prices are heavily emotion-driven and influenced by hypes. To maximize your profits, you need to know how to place yourself in the right narrative before the crowd.

By following developments of the above crypto sectors, you can gain an edge over the competition and be early to the party when the altcoin season finally decides it’s its time to shine.

PS: If you want to learn how to make a consistent profit from the Metaverse in 2023 and beyond, check out my free guide How To Make Your First $1000 In The Metaverse.

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Disclaimer: This content is for educational purposes only and should not be considered as financial or any other advice. Always do your own due diligence before investing your hard-earned money.

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