- Tezos price has crashed by more than 68% from its 2021 high.
- The developers have made high-profile partnerships lately.
The Tezos price has not been left behind in the ongoing cryptocurrency sell-off. The XTZ token is trading at $3, which is the lowest level it has been since January this year. It has crashed by more than 68% from its highest level in 2021, bringing its total market capitalization to more than $2.6 billion.
Tezos has lost momentum
Tezos is a leading blockchain project that was established in 2017. Its goal is to be an ever-evolving platform that helps developers create excellent decentralized applications.
Today, Tezos has been used by hundreds of developers from around the world. According to Dapp Radar, some of the top apps built using Tezos are Objkt, fxhash, and Tezos Domains among others.
While Tezos has had some success, the reality is that it has not gained wide usage in areas like decentralized finance (DeFi). For example, according to DeFi Llama, Tezos has a total value locked (TVL) of more than $84 million in the DeFi industry. This is a substantially lower figure considering that newer projects like Solana and Avalanche have billions of dollars tied to their ecosystems.
Tezos has had some success in the Non-Fungible Token (NFT) industries, where it has been used by leading sports and celebrities to launch their tokens.
Meanwhile, Tezos has become a leading sports sponsor. A few months ago, the company unveiled its first Formula 1 sponsorship when it partnered with Red Bull. The team’s Max Verstappen went ahead and won the 2021 season.
It has also partnered with McLaren, the iconic Formula 1 team. As part of these partnerships, the team’s logo will be displayed in cars, uniforms, and other merchandise. This is notable because of the rising popularity of Formula 1.
Further, it unveiled a deal with Manchester United last week. Since Man U is one of the leading sports teams, the partnership will help boost its popularity. But it is unclear whether it will help to boost its price.
Tezos price prediction
The daily chart shows that the Tezos price has been in a deep sell-off in the past few months. The sell-off accelerated when the coin managed to move below the key support level at $5. It has dropped below the 25-day and 50-day moving averages while the money flow index (MFI) has moved below the oversold level.
Therefore, there is a likelihood that the XTZ price will continue falling in the coming days. If this happens, the next key stop to watch will be at $2.50.