The DeFi sector is constantly evolving, with liquidity pools and yield farming becoming essential in this sector. Today, our focus is on Tectonic, a decentralized non-custodial algorithmic money market service. Its native token, TONIC, has been on the market since December 2021. Although it experienced a significant price decline in the spring of 2022, the company is still functioning and the final quarter of 2023 witnessed a steady increase in TONIC's price.
This article will delve into the workings of the Tectonic platform, examine the previous performance of TONIC in the market, address critical questions about this token, and most importantly, forecast the future prices for this cryptocurrency.
Tectonic (TONIC) is a cryptocurrency token that powers a decentralized cross-chain money market of the same name. The Tectonic platform presents lucrative opportunities for various groups of crypto owners and traders. It enables traders to utilize leverage (where borrowers can use crypto as collateral), and provides holders of surplus crypto assets with passive income through dynamic interest rates, all without the need to lock up their funds. Additionally, Tectonic facilitates access to participation in Initial Decentralized Offerings (IDOs) without the requirement to liquidate an underlying collateral.
Tectonic made its debut in December 2021 on the Cronos blockchain. The company was founded by Gary Or, a product designer, entrepreneur, and former CTO of Crypto.com. Before launching Tectonic, Or explored the design and structure of various cryptocurrency products designed for diverse purposes.
TONIC functions as a governance token and can also be staked in the insurance pool of the Tectonic community. Ten percent of the interest paid by borrowers forms the insurance fund, which can be utilized in the event of inadequately liquidated undercollateralized loans. Despite TONIC experiencing a considerable loss in value in the first month after launch, its price has continued to fluctuate and has shown moderate growth. Let’s explore the potential prospects for this token.
In the table below you can see the future prices of the TONIC token. They are based on a mix of tech analysis and fundamentals. Unfortunately, the Tectonic roadmap ends in the first quarter of 2023, so we don't have much knowledge about the future evolution of the project. However, we know something about the future of the overall crypto market and it helped us to finalize our prediction.
|ROI (if you buy the coin now)
By the end of this year, the ongoing uptrend will push the price beyond the $0.0000002 mark. While there is a possibility that the price may reach even higher levels before experiencing a slight correction, the average price by the end of 2023 is expected to be $0.0000002.
While we have limited insight into Tectonic's future plans, we are certain that 2024 marks the year of the next Bitcoin mining reward halving. Historical patterns indicate that halving events often trigger a crypto rally, which is likely to impact the TONIC price. Based on our estimation, by the end of 2024, the price may range from $0.00000028 to $0.00000036.
In 2025, the crypto market may experience a slowdown in momentum, potentially leading to a deceleration in the growth of TONIC. The token is expected to undergo various corrections. However, considering the advantages of the Tectonic platform, the TONIC price is anticipated to appreciate. By the end of 2025, the price is projected to surpass the $0.0000004 mark.
As of December 2023, TONIC is only available on Crypto.com and decentralized exchanges (DEXes). As the significance of the Tectonic platform grows, the token is likely to be listed on more prominent exchanges, further boosting its price. By the conclusion of 2027, the price is forecasted to range from $0.0000008 to $0.00000091.
Another Bitcoin halving is scheduled for 2028, which historically catalyzes a market-wide rally in the crypto space. Such rallies typically uplift the prices of numerous cryptocurrencies. Given TONIC's pivotal role in the Tectonic platform, its price is expected to follow suit. Market rallies often attract new participants to crypto trading, potentially drawing them towards Tectonic as a means to expand their crypto portfolio. This influx could drive the growth of the TONIC price. The token's value is predicted to continue ascending in 2029 and 2030, potentially reaching at least $0.0000025 by the end of the year. In more optimistic scenarios, TONIC may even reach up to $0.0000032 per token.
Now, let's delve into the historical trajectory of the TONIC price. Following a brief overview of its price journey, we will outline the key milestones in a table format. As of December 8, 2023, the price of TONIC stands at $0.0000002, with a market capitalization of $44.5 million, positioning TONIC as the 550th largest cryptocurrency in the market. Let's examine the path the price has taken to reach this position.
The token made its market debut on December 27, 2021, at a price of $0.00000157. In less than a month, the price plummeted to $0.0000004139, marking a loss of over 60% of its initial value. This decline can be attributed to the common practice of early coin holders selling their holdings, as well as the broader downturn in cryptocurrency prices, stemming from Bitcoin's significant price drop in January 2022.
Following Bitcoin's recovery in February, the TONIC token price also ascended. On January 24, TONIC was listed on Crypto.com, one of the largest centralized exchanges, contributing to the price surge. On February 8, TONIC reached its peak at $0.0000019, marking its highest price as of December 2023.
In the subsequent month, influenced by Bitcoin's decline, the TONIC price swiftly depreciated, hitting a low of $0.00000073 on March 13. Nonetheless, this position remains higher than the previous lowest point in January 2022. Following a brief recovery in March, reaching a peak of $0.000001, the TONIC price began to descend in April, aligning with another drop in the price of Bitcoin.
Throughout April to July 23, the price continued its downward trend. TONIC reached its lowest point in July when it traded at $0.0000001139. Subsequently, the price experienced several gradual fluctuations, mirroring the broader trends in the crypto market. In January 2023, as Bitcoin's price began to climb, TONIC's price reached $0.0000002447, demonstrating its potential for growth. However, from February, the price steadily declined until it reached $0.000000111 in early August. On August 9, the TONIC price swiftly surpassed the $0.00000014 mark and continued to rise after a brief correction, in line with the trend in Bitcoin's price. The price almost doubled by December and continues to surge as of the current writing in December 2023.
|Why the price dropped/rose to this level (what influenced the price change)
|December 27, 2021
|The starting price
|Sale of pre-sale tokens and market decline
|February 8, 2022
|The BTC rally influence
|The lowest point after the overall market gradual decline
Is TONIC a good investment?
We cannot offer investment advice. The data provided in this article can serve as a starting point for your research. We encourage you to conduct your own thorough analysis on this matter.
What will be the TONIC price in 10 years?
By the end of 2033 (ten years from December 2023), the TONIC price may potentially reach around $0.000012. However, this projection heavily relies on the success of the development team, promotional efforts, and fundamental factors.
Should you buy TONIC now?
As of December 8, the token is experiencing an upward trend, so it might be advisable to await a pullback before considering a purchase. However, this decision should align with your strategy and objectives.
Tectonic appears to be a promising and contemporary money market with innovative features and a strong team. However, the absence of a clear roadmap for future years somewhat obscures the potential of TONIC.
The price forecast presented above assumes that the platform's future development remains at least at the current level. If the development team loses interest in working on Tectonic, the price could experience a decline.
Before deciding whether to invest in TONIC, it's crucial to thoroughly investigate the current state of the project and its future prospects. If there are doubts regarding TONIC's potential for rapid price growth, it may be advisable to explore alternative investment opportunities within the expansive crypto market.