- Tezos price went parabolic on Tuesday morning.
- RedBull Racing and McClaren had strong performance at Doha on Sunday.
- Manchester United won a match against Manchester United.
Tezos (XTZ) price went vertical on Tuesday morning, pumping to the highest level since August 29th. It has jumped by more than 12% from the lowest level this week, making it one of the best-performing cryptocurrencies in the market.
Why is XTZ rising?
Tezos is a blockchain project that enables peer-to-peer transactions and the execution of smart contracts. It is a pioneer in the industry and is widely used in the non-fungible token (NFT) industry. For example, it powers the NFT platform for well-known teams like Manchester United and McLaren.
It is unclear why Tezos price jumped on Tuesday morning. A likely reason is that RedBull and McLaren, two teams it supports had a great performance on Sunday. Max Verstappen and RedBull have now won three consecutive titles.
Read more: How to buy Tezos.
McLaren, which had a difficult start of the year, has also made a strong recovery. Lando Norris and Oscar Piastri had a double podium as they continue moving up the constructor’s leaderboard.
Meanwhile, Manchester United, a team that has fallen from grace, won its match against Manchester City. Tezos has major partnerships with Manchester United, McLaren, and RedBull Racing.
Still, despite all this, Tezos has had many challenges in the past. For one, despite these high-profile partnerships, its market share in the NFT space is tiny. It handled just $23k worth of NFTs in the past 24 hours. Cardano handled $150k while Ethereum processed $6.5 million.
Tezos also has no market share in the DeFi industry. It only has a total value locked (TVL) of just $68.7 million, making it smaller than newer protocols like Base, Arbitrum, and Mixin.
Read more: How to stake Tezos.
Tezos price forecast
The 4H chart shows that the XTZ price made a strong comeback on Tuesday morning as traders pumped it. As it rose, the coin moved above the key resistance level at $0.71, the highest point on October 2nd.
Tezos price has also moved above the 25-period and 50-period moving averages while the volume has drifted upwards. Therefore, I believe that these gains will be limited since there was no major catalyst for the move. This means that it will rise to the key resistance at $0.75 and then pull back.
The only technical hope for the coin is that it has formed an inverted head and shoulders pattern. This means that it could have some more upside in the near term.
