Live Tezos Price Chart - (XTZ) Price News, Analysis & History
Tezos is a major decentralised, open-source blockchain network and cryptocurrency, which has been used as a platform for deploying smart contracts. Tezos has increased in market capitalisation and value rapidly, climbing into the top 20 most valuable cryptos in recent months. The native currency is known as XTZ.
Tezos uses a liquid Proof of Stake model and favours on-chain governance. Its community is actively involved in the direction of the project, and its functionality has enabled its developers to avoid the forks that are common with other blockchains.
Tezos has achieved a lot since the white paper which envisioned this cryptocurrency was first published in 2014. So in this article, we’re going to examine some of the issues related to the price of this token.
Key Tezos Price Metrics
Tezos (XTZ) Price History
Tezos enjoyed a massive peak in its price in December 2017, when it shot over $15 in value. However, the cryptocurrency also experienced a rapid correction and is currently trading at around $3 per token. Nonetheless, the value of Tezos has been increasing steadily over the last three years.
3 Key Instances for the Evolution of Tezos Price
During 2017, the Tezos Foundation, a Switzerland based non-profit, raised $232 million via one of the most successful cryptocurrencies ICOs ever. Billionaire investor Tim Draper was one of the backers of this cryptocurrency token. This highly successful coin offering played a major role in the initial success of Tezos.
After Tezos experienced a correction in 2018, president Johann Gevers resigned on 22nd February 2018, after questions were raised about the usage of funds achieved by the project. This led to a short period of turbulence for Tezos, but its management and structure has since been established and stabilised.
Also in August 2020, the founders of Tezos and its overarching Tezos Foundation settled lawsuits against them, which had alleged that they sold security worth $25 million in an unauthorised fashion. This positive outcome for the cryptocurrency and its developers was considered a huge vindication of the company's policies.
Key News for Tezos Price
There are many factors that could impact on the Tezos price going forward, but the ongoing Covid health crisis clearly dwarfs all others at this time. The coronavirus pandemic and its associated lockdowns have generally been quite bullish for cryptocurrencies, which have been seen as an alternative way to restore value in a challenging market.
But the ongoing economic uncertainty that is inevitable will create a challenging climate for all commodities. This is one factor that could have an impact on the price of Tezos, although cryptocurrencies have tended to flourish in conditions that have been bearish for most market participants.
Additionally, the recent announcement by the developers of Tezos that the platform is implementing a protocol upgrade that reduces smart contract gas fees by roughly 75% must be excellent news for the cryptocurrency.
Tezos Price Technical Analysis: How to Identify Good Entry/Exit Points when Trading
When investing in a cryptocurrency such as Tezos, it's important to understand the value of technical analysis. This is one of the most widely used aspects of trading and something that can give you a competitive edge over other investors and the market conditions.
Using technical analysis means generating trading signals, which then enable you to better understand how to enter certain positions. For example, once you have implemented technical analysis, it can then be possible to enter a long position when the price in a commodity such as Tezos reaches a strong support level.
By conducting suitable research, investors can draw trend lines, which enable them to find key levels and points of intersection, assisting them with the trading process.
Have a Clear Goal
Finding the best entry and exit points with cryptocurrencies such as Tezos isn't an exact science. Instead, it's important to have a clear goal of what you are attempting to achieve with the investment, in order to aid the entry and exit process.
No trader will be able to perfectly pinpoint the ideal time to enter and exit the market, but by using your motivation more methodically, you increase the chances of success. Remember your goals at all times, and use this to drive a rational market approach. Always employ risk management, as this is a keystone of all successful investors.
Make Use of Analysis Tools
There are a wealth of analysis tools available to protect cryptocurrency traders, but once the most important is the approach of laddering. This can enable you to eliminate some of the risks associated with investing in a cryptocurrency such as Tezos.
What laddering effectively means that it’s not necessary to exit or enter a trade in one solitary action. In fact, entering gradually can help mitigate the effects of market volatility, while exiting in a similar fashion can be hedged against unintended and unpredicted consequences. Entering a position gradually with a series of small trades is safer than putting all of your eggs in one basket.
Indicators of trading volumes should also be heeded carefully. When there are sudden and dramatic changes in trading volumes, the market is communicating that a new cycle is about to begin. Smart investors predict various trends from this information.
Charting is another valuable aspect of interesting analysis that can provide important insights. Stock charts include important information such as price and volume, moving average lines, and relative strength index and understanding how these operate over a period of time can give you a real advantage.
Fundamental and Sentimental Analysis
Another important aspect of Tezos analysis is fundamental and sentimental analysis. Many traders use these two techniques in order to gauge the future direction of market conditions.
Fundamental analysis involves an in-depth research project on potential trends. This analysis method comprises a deep dive into the particular characteristics of equity or commodity. Traders can then capitalise on their findings.
Sentimental analysis is based on market sentiment, in order to gauge biases in trading, and the likely results of this very human process. This can also make entry and exit points easier to identify, as well as helping investors to predict market movement.
Frequently Asked Questions
Tezos is designed to support smart contracts and a range of decentralised applications. Its developers particularly promote its formal verification system, which is designed to ensure that its stakeholder community is both transparent and democratic.
Tezos is considered an innovator in the cryptocurrency sphere, as it features a self-amending cryptographic ledger. This means that software code that underpins the blockchain can be updated at any time, without the blockchain requiring a forking event.
It is a combination of several esteemed characteristics which makes Tezos special. Its on-chain voting mechanism has been particularly praised, while its secure Proof of Stake algorithm is another highlight of this cryptocurrency. The ability to run smart-contracts that are formally verified is another strength, and all of the features contained within this cryptocurrency project arguably make Tezos unique.