Tezos may not be among the most famous cryptocurrencies on the market, but the altcoin has some interesting technical particulars that could fuel significant growth in the mid to long term, making it one for investors to watch.
Cryptocurrency has rarely been out of the news in 2021, as the top tokens have seen prices surge to record levels. What’s more, numerous businesses, from property firms to auto manufacturers, have now begun accepting crypto as a means of payment, prompting renewed focus on digital currency.
The emergence of NFTs and continuing growth of DeFi have also lead to fresh interest from investors, who are hoping for yet another crypto market boom in the near future. However, whilst the major tokens like Bitcoin and Ethereum continue to go from strength to strength, altcoins like Tezos arguably present more opportunity for investors willing to take on a little risk.
In the following Tezos price prediction, we’ll look in more detail at what the altcoin has to offer and consider forecasts from the top analysts to find out what we can expect with regards to future price movement.
If you’re looking to expand your cryptocurrency portfolio and are considering which new additions to make, then this article should give you all the information you need to decide whether Tezos is the way to go.
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- The History of Tezos
- Looking at Tezos's recent price performance
- Is Tezos just another would-be Ethereum killer?
- What to expect from the Tezos upgrades?
- What's next? Tezos Price Predictions for 2025
- Looking further ahead: Tezos Price Predictions for 2030
- Conclusion: Should you invest in Tezos?
- Where to invest in Tezos
- Tezos Price Predictions 2025, 2030 - FAQs
The History of Tezos
So what is Tezos and how is it different? The concept came into being in 2014, developed by husband and wife team Arthur and Kathleen Breitman. Seeking to advance on the original Bitcoin model, Tezos was one of the second-generation cryptocurrencies that could support a wider range of applications, including smart contracts. It also solved certain scalability issues by using the proof-of-stake consensus mechanism.
Tezos was remarkably forward-thinking for its time and very much sought to fulfil the original cryptocurrency remit of true decentralisation by offering a completely on-chain governance system. This means that holders of the native XTZ cryptocurrency can vote on possible changes to its protocols and when a consensus is reached, the software automatically updates to ensure the changes were made.
There are plenty of governance token systems around today, but Tezos was one of the first projects to outline a self-amending system as part of its infrastructure. In the Tezos system, this process of self-governance is referred to as ‘baking’.
The Tezos initial coin offering is the stuff of crypto legend. It was launched as a two-week sale in 2017 and raised a staggering $232 million, breaking the record for the largest ICO at the time. By this point, the Tezos Foundation had been set up to channel the funds into the project.
Despite this impressive launch, however, Tezos was bogged down by legal issues relating to unregistered securities, which in turn may have affected the blockchain’s ability to gain a significant following early on and after entering the market in 2018, prices failed to build any significant momentum.
In theory, Tezos competes in the same space as Ethereum, but despite its impressive launch, investors should be aware that Tezos has thus far failed to gain significant traction outside of a few crypto enthusiasts. This could, however, be changing as Tezos has been one the best performing cryptocurrencies of 2021.
Looking at Tezos’s recent price performance
Much fanfare surrounded the launch of Tezo but as we’ve noted above its ICO was slightly overshadowed by legal trouble and several lawsuits. As such, many market observers believe it did not see significant price growth early on - which could have been reasonably expected given its financial backing.
XTZ began life trading at around $2.94, but the aforementioned teething troubles combined with a general crypto market downturn sent prices down to just $0.43 before the end of 2018. However, despite this somewhat lacklustre stare, Tezos went into a bull in 2019, with prices going from a low of $0.37 in January to $1.76 in May.
Aside from a short dip in price early on, 2020 proved to be a successful year for XTZ. In just one month between January and February, Tezos surged from $1.35 to $3.62 - representing growth of around 170%. Prices peaked again in the summer, reaching a high of $4.22 in August.
Fast forward to 2021 and Tezos has ridden all of the market surges that have swept over the cryptocurrency space and has emerged as one of the best-performing altcoins in terms of price movement. Having started the year trading at $2.02, XTZ surged to $5.30 by mid-February, before hitting an all-time high of $7.64 in April - marking almost 280% growth on the start of the year.
Check Out: Tezos Price Prediction
Is Tezos just another would-be Ethereum killer?
A smart network that started life in 2014 was always destined to be compared to Ethereum. It seems that the world’s second-largest cryptocurrency has such as stronghold on its position that, much like Bitcoin, it is able to see off challenges from arguably more advanced networks.
But does Tezos really have the credentials to be an Ethereum Killer? Interestingly, Vitalk Buterin has actually expressed his doubts over the Tezos vision, opposing the need to disagreement eliminate outside protocol governance. However, he has also gone on record stating that it has “genuinely interesting and well-thought-out tech”
There has certainly been some interest in Tezos over Ethereum. According to eToro, The Bank of France is looking into how it could implement Tezos in parts of its operations, Portuguese investment bank BTG Pactual has issued billions of dollars of security token offerings on the Tezos blockchain, and Silicon Valley Coin has gone with Tezos instead of Ethereum to tokenize its fund.
However, one of the main advantages Tezos has over Ethereum is soon to be no more - the proof of stake consensus mechanism. Whilst this is undoubtedly more efficient and scalable than proof of work, Ethereum 2.0 will see the original smart network changing protocols.
As such, future upgrades could play a crucial part in any showdown between Ethereum and Tezos.
What to Expect from the Tezos upgrades
It seems that, when it comes to smart networks, 2021 is the year of the upgrade. With Ethereum’s ongoing 2.0 update, it seems that any potential Ethereum Killers also need to up their game to lay claim to the moniker and both Cardano and EOS have upgrades in the pipeline. Fortunately, Tezos has also announced some interesting changes.
The fifth upgrade to the Tezos blockchain, Edo, has been described as the most ambitious to date. The upgrade includes the new Sapling protocol, which Tezos claims will allow developers to power “new types of applications” by using “voting or supporting asset transactions with selective disclosures.”
The new system also supports ‘Tickets’, a mechanism allowing smart contracts to grant permissions to other smart contracts or to issue tokens. Such tickets, for example, could represent a Non-Fungible Token, which can then be exchanged like a value, without the possibility of its being edited or changed from the original ticket.
These tickets have numerous use cases and greatly enhance the smart contract functionality of Tezos. For example, they can be used as part of a permissions hierarchy, to give voting rights or to streamline a client onboarding process.
Alongside the Sapling protocol and tickets system, the Edo upgrade will also see numerous other refinements to the existing network - including improved gas fees and improvements to how upgrades will be implemented in future.
The upgrades in themselves may not be enough to see Tezos topple the likes of Ethereum and Cardano, but they do demonstrate one key thing: that the Tezos ethos of a truly self-amending blockchain is viable and working as it should do. This can only lead to renewed confidence in Tezos as a technology.
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What’s next: Tezos Price Predictions for 2025
Tezos has already seen some pretty positive price movement in 2021 and with the new Edo upgrade coming in, it’s understandable that many investors are expecting continued growth over the next few years. But what do leading analysts have to say in their Tezos price predictions for 2025?
TradingBeasts has an optimistic yet believable price forecast for Tezos. It actually has the price of XTZ declining by the end of 2021, finishing the year at around $5.70 before things take an upward swing in the latter half of 2022. By 2023, the platform expects Tezos to reclaim its current high prices and by 2025 it is expected to break the $8 barrier, finishing the year at a potential high of $10.50.
Technical analysis from WalletInvestor places Tezos on a similar trajectory to that of TradingBeasts, however, it has Tezos XTZ breaking the $8 barrier as early as 2023, trading at a potential high of $11.80 by December. The upward trend is expected to continue throughout 2024, with Tezos potentially trading at over $14 by January 2025.
One of the more optimistic Trezos price predictions for 2025 can be found over at DigitalCoinPrice. It believes that XTZ will break $10 before the end of 2021, before continuing to rise substantially over the next five years. By 2025, the platform has Tezos trading at $22.67 - marking a threefold increase on its price at the time of writing.
Looking further ahead: Tezos Price Predictions for 2030
Realistically, a long term Tezos forecast only has so much value. The cryptocurrency market is arguably the fastest moving in the world, with new technology disrupting the sector on an almost weekly basis. However, long term predictions are still a good way of gauging current market sentiment, which is still valuable for building an investment strategy.
So what are analysts predicting over the next decade for XTZ? Well, DigitalCoinPrices Tezos price prediction for 2030 continues to be highly optimistic. It has prices continue to grow almost exponentially, peaking at $35.09 in December 2030, before growth starts to cool slightly.
Elsewhere, Coin Price Forecast is also pointing to substantial growth for Tezos XTZ. Having broken the $20 as early as 2023, the platform’s technical analysis sees Tezos continuing to rise until around 2028, when prices will reach around $38 - approximately 430% higher than today’s trading price - before things start to cool and the price remains more or less constant until 2030.
Crypto Rating has gone even further. They have Tezos potentially topping out at over $60 per coin in 2030. Experts believe that XTZ will reach $70. A cryptocurrency research firm by the name of Crypto Assets Research Report is calling for Tezos (XTZ) to reach $32 by 2025, and $75 by 2030.
Conclusion: Should you invest in Tezos?
Most Tezos price predictions suggest that the altcoin can expect to see a significant growth over the coming years. Leading analysts vary wildly on their XTZ forecasts - but if even the most conservative predictions pan out, anyone who chooses to invest in Tezos could see decent returns.
Tezos is a cryptocurrency that has the potential to be a very smart investment. Many supporters believe it is a long way from reaching its potential and after a somewhat shaky start, it appears to be finally gaining ground - which would make now a good time to buy Tezos.
However, in reality, Tezos probably doesn’t have the credentials to topple Ethereum or Cardano - all we can really expect is that it closes the gap to a certain degree. As such, Tezos also represents a riskier investment and one that should be seen as such in any long term strategy.
We cannot say for certain whether you should invest in Tezos, but many analysts are indeed pointing to growth over the mid to long term and, given that XTZ trades for less than $8 per token at the time of writing, it might be worth adding a small holding to your portfolio.
If you do decide to buy Tezos, how long you decide to hold it will depend entirely on your investment goals. However, we advise keeping a close eye on future upgrades and general sentiment towards so-called zombie blockchains - whilst many believe they represent the ultimate evolution in cryptocurrency, many others feel there is still a place for a central organisation to handle the ongoing running of a complex network.
Where to invest in Tezos
If you’re new to the cryptocurrency market but are interested in investing in Tezos, then the first thing you’ll need to do is find yourself a reputable broker. There are plenty on the market to choose from, but we recommend eToro as the best place for new traders.
Not only does eToro have one of the best reputations in the industry, but opening an account is quick and simple and there is plenty of information on trading and cryptocurrency to help you get started. The trading platform itself also has all the tools you need to start building your crypto portfolio, without being unduly complicated.
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Is Tezos a good investment?
It’s hard to say whether a particular cryptocurrency will prove to be a good investment, as the market is changing all the time. However, Tezos has recently undergone a major upgrade to its protocol that could see it gain wider support - which in turn would have a positive impact on price.
What are Tezos price predictions like for 2025?
We found several Tezos price predictions for 2025 that were predicting growth. Whilst there was some variation in just how much growth we can expect from XTZ, it would not be unreasonable to expect the altcoin to creep past the $10 mark by 2025.
Where can I invest in Tezos?
If you want to invest in Tezos, the best place to do so is via a reputable broker. We recommend eToro as a good starting point, as it features an approachable trading platform as well as offering a good selection of coins on its books.
Is Tezos better than Ethereum?
It seems that any respectable smart network is labelled an Ethereum Killer at some point or another. It would be foolhardy to suggest that Tezos is better than Ethereum, but that isn’t to say that it cannot compete. However, investors should not jump into buying Tezos expecting it to outperform Ethereum in terms of price movement, as this is highly unlikely in the near future.
What will Tezos be worth in 2030?
There are a few Tezos price predictions for 2030 that are predicting impressive growth for the altcoin. That being said, long-term price predictions should always be taken with a pinch of salt. Whilst some analysts are expecting Tezos XTZ to reach $38 by 2030, this is highly speculative and should not be relied upon as a basis for investment.