Tezos (XTZ) Price Prediction 2021-2025 - Should You Buy It Now?
- What is Tezos?
- What is XTZ?
- Tezos Price Analysis of The Past Several Years
- XTZ Price Prediction for 2021, 2022, 2023, 2024 and 2025
Ever since the initial explosion that Bitcoin made about a decade ago, cryptocurrency usage has increased. Once considered a shady virtual currency that no one guarantees that you won’t lose it, turned into a real virtual currency used worldwide. The cryptocurrencies are basically a product of the blockchain platform they are based on. Depending on the type of model, you can either have cryptocurrencies that are mined or a consensus type of platform where the people on the network actually own the coins.
Among the many crypto coins available on the market today is XTZ, which we are going to talk about today. We will outline the blockchain network behind it and then dive into the Tezos coin analysis and prediction for the next five years.
What is Tezos?
Tezos is an open-source blockchain platform designed to work for digital assets and applications. The platform is developed with the PoS or Proof of Stake model that manages to eliminate some of the biggest problems that PoW or Proof of Work model-based platforms have, like Bitcoin. In some ways, you are looking at a platform often compared to Ethereum and Cardano, PoS based blockchain networks.
The idea behind Tezos was born back in 2014 when the founding couple Arthur and Kathleen Breitman released the whitepaper outlining a platform that had minimal maintenance requirements and was presented as self-maintaining. Tezos’ PoS platform and Touring completeness mean that smart contracts are available on the network, just as decentralized apps or dapps for short. This is what makes Tezos similar to Ethereum, but the similarities end there. Tezos is developed to work with a delegated proof of stake or DPoS, which is put in the same basket as the other PoS platforms. The difference is that the liquid proof of stake makes Tezos a unique network that is not as decentralized as Ethereum, but more decentralized than most of the others. The reason for that is the lack of a limit on how many nodes the network can have.
The self-maintaining part of Tezos, on the other hand, shows it to be more similar to Cardano. In order to be eligible to vote, you’d need to meet the minimum requirements for staking, meaning that once the vote is completed, the upgrade protocols can commence. In contrast, Ethereum is off-chain based. The on-chain governance system allows the protocol token holders to vote and implement the changes, making it slightly more manageable than with other blockchain networks.
Once the whitepaper’s kinks were ironed out, the Breitmans, with the help of Dynamic Ledger Solutions, had the highest-profile initial coin offering in 2017. They reached numbers of $232 million in Ether and Bitcoin, setting the record for the highest ICO at that time. Unfortunately, due to a dispute and some legal battle between the Brietmans and the Tezos foundation’s head, the project launch was put on hold. The disagreement was somewhat resolved, and in 2018 the investors got their tokens, and the network was launched.
Today, Tezoz manages to rectify three key areas which are seemed like problems in other networks:
- Secure smart contracts
- Ability to be upgraded in the long run
- Open participation ensuring everyone gets a saying in how things go on the network
What is XTZ?
The coin that is a product of the Tezos network is XTZ, also called tez or tezzie. Stakeholders and investors received their coins when the platform was launched, but there is a condition to keep the coin’s price from dropping. To ensure that the network remains active and the coin holder keeps their tezzies from devaluing, they must participate in a consensus on the network. That way, the value doesn’t go down due to inflation, and the network remains updated and active.
Since this is basically a community project, an official wallet for storing XTZ doesn’t exist. Instead, you will have to keep them on a third-party wallet like Ledger, Trezor, Thanos, or Galleon Tezos wallets.
Tezos Price Analysis of The Past Several Years
Now that we’re done with the introduction, we can take a look at the Tezos price analysis for the past years since it was released to the public.
Thanks to the amount of ICO Tezos got, the beginnings of the coin were surprisingly high. It started its life with a price a little under $3. Prices like that are not unheard of but it was still a surprise considering the bumpy start the entire project had. As you’d expect, the price dropped in the following months, and it reached an all-time low of $0.35 by the end of 2018. The first quarter of 2019 was pretty uneventful, and the price remained more or less unchanged. About mid-2019, the price spiked a few times, and we saw a significant jump to $1.84. Since then, the price continues to increase gradually.
This year marks the record for Tezos coin price. From the beginning of the year until today, we noticed two spikes in price and two significant drops. The first one was around the time the global pandemic started, where the price reached $3.62 before dropping to $1.32 in less than a month. From that point, we saw a steady increase before seeing the all-time high of the Tezos coin price reaching $4.39 in mid-August. Since then, there is another drop, and as things are going these past few months, we are looking at another steady growth.
September ended with a Tezos coin price below $2, and the current price is $2.23 so that a gradual increase is there.
XTZ Price Prediction for 2021, 2022, 2023, 2024 and 2025
Based on our Tezos price analysis, we have an idea of how the past treated this coin, but making a prediction is not as easy and is certainly not as accurate. Our XTZ price prediction is only a guess based on what we have seen in the past and how certain events may affect cryptocurrencies’ prices. The Tezos price prediction is not 100% positive, and we may see results different than the ones we’re outlining here.
In the past three and a half years, since it was first released on the market, the Tezos coin price has seen an increase. The road to that increase has not been steady, and even though the price has seen a few ups and downs, an interesting thing that our Tezos price analysis uncovered was that it wasn’t a volatile as some of the other coins on the market.
Our XTZ price prediction is that the coin will reach a price of about $8 by 2025, so let’s break it down. The initial dip in price was somewhat expected, and so were the spikes throughout the years. 2019 showed a flat-spot in the graph where the price was at its lowest, something we don’t expect to see in the following years. Today’s price is a number which we expect to grow a little by the time. We believe the price shouldn’t fall below $2.5 any soon. Going into 2021, we expect to see one or two spikes in the price, followed by a dip in the following weeks. These variations are to be expected, and as long as the price drop remains slightly higher than the previous one, it will continue growing in the following years.
Going into the next couple of years, our Tezos price prediction shows that we should expect to see a gradual increase of 1 to 2 dollars increase per year. In the long run, we are expected to see the price reaching an average of $8 by 2025.
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Tezos had a rough start and a very volatile price in its first year of existence. Since then, the price seems to have leveled out and become more stable with the expected spikes and drops that we see with other coins on the market. Our Tezos price prediction puts this coin in the group with the ones that will see an increase in price in the next five years, and the Tezos coin price is expected to reach about $8 by 2025, making it a good investment in the long run.