Three weeks ago a breakout was expected in XTZ – Tezos and the hope was for it to cross the price of the coin beyond $2.80. However, this increasing trend continued till 21st January and the price hovered around $2.7 after which overlapping with 22nd January, the coin took a dip to fall to $2.34 USTD.
A recovery happened from 23rd January onward where it recovered to the erstwhile prices and crossed $3.3 – a massive rise. The prices have now only been falling since 24th January and have fallen to $2.74 on 25th January and after trading sideways on 26th January, it is now trading at the same level. Overall the price fell by 4.94% since the last four days to hover around a comfortable level to purchase.
A Steady Riser in 2020
The coin has moved steadily upwards during 2020 by increasing and almost doubling its market capitalization from $1.21 billion to $2.2 billion and more. This coin debuted in the original ICO craze of 2017 and is still going strong with many changes and several upgrades. Many notable upgrades such as the Delphi protocol upgrade reduced the gas fees by 75% in November 2020 and new types of smart contracts can be run on it. This is not a trade heavy currency and most of the currency initially issued is now staked. Open market available currency is less though can still be bought.
What to Expect During this Week
The surge of last week was owing to the news of Homebase – a new project allowing the users of XTZ to build a community with decentralized autonomous organizations (DAOs) with ease and interact. While this momentum seems to have worn off, the rumors of an investment fund with XTZ by the largest cryptocurrency manager – Grayscale Investments, is on the horizon.
It remains to be seen if the currency tests the support levels of $2.77 and $2.44. The stochastic RSI has been supportive of an uptrend levels of resistance will be $3.276 and $3.48.