With Bitcoin’s (BTC-USD) next halving less than a year away, the crypto world is abuzz with speculation about which altcoins could deliver 10x or even 100x returns in the coming bull run. Indeed, the sector’s recent rally has caught many investors by surprise. After all, historically, Bitcoin has entered a frenzied bull market after its halvings, which reduces the supply of new coins and drives up prices.

So, what explains the current rally? For one, increased mainstream adoption brings new money into the crypto ecosystem. Major financial institutions like Blackrock (NYSE:BLK) are rolling out Bitcoin ETFs, and crypto companies continue to advertise at major sporting events. This enthusiasm could lift prices over time. Second, rate cuts are likely in play sometime during the first half of next year, and many believe the worst is over for cyclical assets.

Regardless, Bitcoin’s previous halvings sparked altcoin rallies that dwarfed even Bitcoin’s gains. With high risk comes high reward potential in crypto. In this article, I’ll share my top three bargain crypto picks that could deliver outsized returns in the next bull market.

Nano (XNO-USD)

As cryptocurrencies inch toward mainstream adoption for consumer payments, expensive transaction fees remain a significant barrier for many. By offering free, near-instant transfers, Nano (NANO-USD) provides a compelling alternative. In my view, if crypto payments gain broader traction for daily transactions, Nano’s seamless user experience gives it a sizable advantage.

Nano currently focuses purely on payments, without added capabilities like smart contracts. As far as I know, it is not going to have these capabilities anytime soon, either. But for pure peer-to-peer transactions, Nano substantially outperforms rivals like Bitcoin and Ethereum (ETH-USD). Together with intuitive wallets, the gradual adoption of Nano by consumers seems likely, given the utility it provides. Of course, that would require more crypto usage for day-to-day transactions. And that’s something we have yet to happen at scale.

Regardless, Nano boasts an innovative block-lattice architecture and energy-efficient network. As sustainability garners greater emphasis, this strong technical foundation lends Nano added investor appeal. Therefore, for those seeking exposure to wider mainstream crypto spending, Nano deserves strong consideration, in my view.

My take is that Nano could follow in the footsteps of peers like Bitcoin Cash (BCH-USD), both of which have climbed substantially of late. Nano replicates this network’s frictionless transfer capabilities, but without any fees. Thus, as crypto users seek options to transfer capital cheaply and easily, Nano is well-positioned. However, being a small project, it naturally has its own risks. Those are namely limited exchange support and community engagement. However, its decentralization and organic growth are positives, in my view.

Render Token (RNDR-USD)

Render Token (RNDR-USD) aims to disrupt the graphics rendering industry by enabling a decentralized GPU compute network. It allows individuals to monetize excess GPU resources while providing renderers access to affordable, scalable GPU power on demand.

I’m bullish on Render long-term, as I believe demand for GPU computing will surge exponentially due to the rise of artificial intelligence, cloud computing, the metaverse, and other technologies. These cutting-edge sectors need vast rendering capabilities, which Render Network provides through its distributed web of GPUs. Essentially, RNDR tokens allow holders to tap into this network to accelerate resource-intensive graphics workloads.

RNDR does have a high inflation rate of 45%. However, I believe the network’s expanding utility will outweigh inbound token dilution over time.

Storj (STORJ-USD)

Storj (STORJ-USD) offers a unique cloud storage solution that essentially aggregates excess drive space from a global user base to construct a distributed cloud network. Participants earn STORJ tokens for leasing storage, while platform users enjoy secure, affordable, geo-redundant file hosting.

I’m attracted to Storj’s hybrid approach and superior tokenomics versus the largely similar Filecoin (FIL-USD). Unlike Filecoin’s fully decentralized model, Storj Cloud maintains central coordination for usability and support. I believe this hybrid nature will drive faster mainstream enterprise adoption.

However, the project’s ultimate edge comes down to its token economics. Filecoin’s annual inflation rate hovers around 46%, continuously diluting holders’ stakes. In contrast, Storj is deflationary due to token burns, with -6.68% inflation. In addition, it has much higher upside potential due to its smaller market cap.

On the date of publication, Omor Ibne Ehsan did not have (either directly or indirectly) any positions in the securities mentioned in this article. The opinions expressed in this article are those of the writer, subject to the InvestorPlace.com Publishing Guidelines.