Tezos Price Down By 8.65% – Time To Buy XTZ Coin?

The brainchild of the Breitman couple, Tezos blockchain has seen a lot of interest paid to its protocol in 2021. The platform has recorded many endorsements, driving up interest with investors keen to buy XTZ coin.

Tezos Blockchain: Future-Proof Protocol

The Tezos blockchain uses distributed ledger technology similar to Bitcoin and Ethereum. However, Tezos is more identical in operation to the Ethereum network due to smart contracts in its network.

Tezos was launched to address the challenges the first and second-generation blockchain platforms face.

According to the founders, Tezos takes the concept of smart contracts “one step further by letting participants directly control the rules of the network.” Given this, Tezos is built to be more scalable, faster, and future-proof, eliminating the need for an upgrade or hard fork. Network participants vote with the

XTZ token for any network proposals and the upgrades executed do not impact the network operations. So far, over two major upgrades have been done with the Granada update launching the concept of baking.

Tezos uses a delegated proof-of-stake (dPoS) consensus algorithm, which sees XTZ holders elect a validator node to verify transactions on the blockchain. This choice makes Tezos blockchain faster, cost-effective, and the blockchain green.

These features have seen several decentralized application (dApp) platforms integrate with the Tezos blockchain as more ESG-minded investors look to join the crypto space.

XTZ Price Moving Towards Consolidation Phase

Tezos’ XTZ token has seen its price movements dictated largely by the crypto bellwether Bitcoin. The benchmark cryptocurrency controls a large chunk of the crypto market and positive news and update usually see it surge in bounds. However, negative reviews and regulations have largely stalled the upward trajectory of Bitcoin as the digital asset becomes a global phenomenon.

XTZ has made good in a year many see as the renaissance for the once-disregarded industry and surged to a 52-year high of $7.963. However, volatility across the market has seen it remain in a constant influx with surges and ebbs.

Meanwhile, September has seen XTZ regain most of its losses in the May crypto market crash with the digital asset averaging $5 since the ninth month began. It hit a month low of $4.05 on Sept. 8 and has largely been on an uptrend.

At press time, XTZ is trading at $6.3155, down 8.65% on the daily chart. However, weekly gains stand at 20.13%, which shows that XTZ has been posting a stellar performance all weekend.

Although it may seem like a bad take to buy XTZ at the moment, savvy investors see this as an ideal time to pile up on a promising digital currency like XTZ before it surges.

XTZ Technical and Fundamental Analysis

Looking at the technical indicators surrounding XTZ, we can see that the digital token is still in an uptrend as the bulls are gradually pushing themselves back into the market. XTZ trades above the 20-day moving average (MA) support price of $6.2447 and this could serve as the support level in the event the market consolidates.

Likewise, the relative strength index (RSI) figure of 54.35 indicates that investors are still keen to buy XTZ following the platform’s meteoric rise this year.

These past few weeks have seen the Tezos blockchain enjoy mainstream adoption and applaud for its green protocol. In a release and preference for environmentally-conscious blockchain protocol, American popular rap star Doja Cats announced that she would be releasing a 20 edition collection of the Doja Cat non-fungible token (NFT) on the music-centred blockchain community platform Oneof. The host protocol is resident on the Tezos blockchain.

Also, blockchain consulting and development firm Block0 joined the Tezos blockchain as a corporate baker in a press release. This will see the company validate transactions and add them to the Tezos protocol.

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