Short term price analysis:
Total market cap behaviour
After swift moves down, then up, market has entered a sideways action for almost a week. But this sideways trend seems to be tilting south as the total market cap keeps leaking value by day.
It all begun as market started losing its ground and tumbling way below $200 billion market cap, it bounced back up to $210 and finally settled at the $200 billion level. Right now, it has dropped below this threshold as it is hovering around $197 billion.
One note: below numbers for total market cap are from Tradingview and has a discrepancy of around $8 billion to CMC data.
The total market cap almost dropped to our predicted zone of $162 billion – it stooped all the way to $170B on November 25th before bouncing back up (data by Tradingview). In the jolt up, market touched on the $205 billion zone and bounced off it to another low at $191 billion before slowly losing ground and sliding to the current $189 billion.
Right now, it is sitting an inch above important support level of $187 billion. This is a critical level – if we lose the battle for it, another drift to the $160 billion is in play.
I would argue that total market cap chart is the most important one to pay attention to as it is a leading force and direction leader for all coins, bitcoin included.
As you can see below, Fear & Greed Index is deep in the extreme fear zone. It is still very possible that we actually do drop another $30 billion of value before we can talk about an actual reversal.
XTZ/USD Price Analysis
Tezos is a winter hit in crypto world. Ever since Coinbase announced support for Tezos staking for its institutional clients and other big exchanges hinted about doing the same, XTZ has been complete decoupled from the rest of the market, swooping into the top 10 coins by market cap with ease.
Right now, XTZ is approaching all time high of $1.86 which is a crucial level. If XTZ manages to break through, a sky is a limit. However, I would expect that this level will be a temporary ceiling for Tezos and it will probably bounce off it to one of the Fib levels at $1.59 or $1.42. In worst case scenario, XTZ will drop all the way to Fib50 at $1.29.
This would be ultimate support zone and reloading time for another offensive at resistances and potential moon landing.
Below is our long-term XTZ price prediction.
Immediately after the successful ICO and the somewhat bumpy start, Tezos recorded a rapid price uptrend. Shortly thereafter, the price slumped drastically. For a long time, the project was on the decline. Is the turn now coming? What is Tezos price prediction for 2020 to 2024? Is it worth investing in Tezos?
Tezos was developed in 2014 by Arthur and Kathleen Breitman and finally released in 2017. The ICO caused a sensation as they were able to generate US$232 million in investments in a very short time. The platform is designed for various uses and offers Smart Contracts and dApp development.
The special feature of this project is that it is the first self-developing blockchain platform. In contrast to other projects, Tezos promises a continuous development of its blockchain without forks. The platform works with a delegated proof-of-stake (dPoS) and uses baking instead of mining or staking to verify transaction blocks and mint tokens.
Tezos price prediction: the most important factors
As with any prediction, the Tezos prediction incorporates many different factors into the evaluation. Functionality, competition, positive and negative headlines can significantly influence the XTZ price. In the case of Tezos, the following points are crucial:
Declining demand: After the ICO the hype around Tezos was big. In December 2017, Tezos reached a price of over US$12. The following year 2018 turned out to be a difficult one. This did not change in 2019 aside of a blimp caused by Coinbase Tezos staking announcement. The general interest seems to be declining.
Functioning blockchain platform: Tezos initially had some start-up difficulties due to legal disputes in the background. The company felt the effects of this right from the start with price slumps. Today, the platform is online and has been able to prove that it is functional and capable of growth. This is a basic requirement in order to be able to compete on the crypto market.
No official roadmap: The company does not officially offer a roadmap on its website. This makes it difficult to make a prediction based on upcoming technological advances. This could be largely due to the fact that the platform is driven solely by the community, and there is no classic development team that can draw up a concrete development plan.
Established competition: The dApps Smart Contracts market is highly competitive. Although the demand for these products is increasing, more companies are entering the market at the same time. There are already many blockchain projects serving this niche. Tezos has to compete directly with Ethereum, EOS or Tron. They have the larger user base, market capitalization and are much better known.
Little activity and dApps: Compared to the competition such as Ethereum, EOS or Tron, there are only a few Tezos dApps so far, which are also not heavily used. This hampers activity on the platform and makes it less attractive to users.
Advanced technology: Tezos occupies a niche similar to Ethereum and other smart contract platforms. However, the concept and underlying technology is very different from the competition. If the company can build on these differences and further prove the success of its platform, it has a realistic chance of competing. This would have a positive impact on Tezos’ forecast.
Marigold Update: In February 2019, Tezos announced the Marigold Update. It is a layer-2 implementation that will initially be based on plasma. In the long run, as usual with Tezos, Marigold should be able to evolve and adopt other technologies if they prove to be better. Marigold will reduce the computing load for smart contracts and thus increase scalability. The update is expected to be released by 2020. If the update is successful, it could provide the much-needed boost.
Tezos price prediction in numbers: 2020 – 2024
The long-term Tezos forecast is very different depending on the analysis method chosen. Below are 3 examples of different forecast portals:
Wallet investor: The analysis website forecasts a drastic drop in the price of Tezos. According to their assessment, the crypto project is in a declining cycle and will probably continue this trend. By August 2020, Tezos will cost on average only US$0.68 (-27%). In five years, August 2024, your Tezos forecast predicts further losses. At an average value of about US$0.058, this would be a 95 % drop compared to the current price.
BeinCrypto: This platform does not derive its forecasts from algorithms. Here both historical data and the factors mentioned above are included in the valuation. The Tezos forecast looks moderately bad until the end of 2019. The price will continue to decline and in the best case will be US$ 0.70, in the worst case it could fall to US$ 0.30. The price of the coin is expected to fall by US$ 0.70 in the next few months. In the medium term, i.e. until the end of 2020, a value of US$ 1.30 would be possible. If the Marigold upgrade is successful and the dApp market in general continues to gain in importance, then Tezos could rise to US$12 in 2021. The Tezos prediction for 2024 ideally assumes a value of over US$ 24 per token.
Cryptoground: Tezos prediction is based on an in-house deep learning algorithm that uses historical data for analysis. As a result, the Tezos price will increase by approximately 38% within a year. This would put the price at US$1.53 by August 2020. Over the next 5 years, the currency will continue to appreciate. According to the forecast, US$ 7.99 would be possible by August 2024. This corresponds to a gain of 621.5 % compared with the current exchange rate.
Conclusion on the Tezos prediction
The technical advances and innovations of the crypto currency Tezos have progressed strongly in recent months. Trade volumes, partnerships and the number of community members are developing positively.
Tezos is in competition with other smart contract platforms such as Ethereum or EOS. Whether one platform will prevail or several remains to be seen.
If the developments and challenges are outweighed against each other, Tezos will arrive at a balanced, rather positive forecast.
If you want to start trading or buying Tezos, you’ve come to the right place in our stock market overview. Etoro (broker) and Binance (stock exchange) are our preferred trading venues.