What could affect the price of XTZ?
Tezos (XTZ) shows promising signs for growth thanks to recent upgrades and new projects, but market risks remain.
- Etherlink Growth – The Layer-2 platform’s total value locked (TVL) jumped 5566% to $82.7 million after the Farfadet upgrade, increasing demand for Tezos.
- Real-World Asset Tokenization – The launch of uranium.io and attention from a Federal Reserve conference could bring in institutional investors.
- Technical Strength – The price is holding above a key support level ($0.578) with positive momentum indicators.
Deep Dive
1. Etherlink Expansion (Positive for Tezos)
Overview: In December 2025, Tezos’ Layer-2 solution, Etherlink, which is compatible with Ethereum’s technology, rolled out the Farfadet upgrade. This upgrade allows the network to process over 1,000 transactions per second with instant confirmations. As a result, the total value locked (TVL) on Etherlink soared from $1.46 million to $82.73 million in 2025. Over 438,500 gaming users joined the platform, and more than 50 decentralized finance (DeFi) projects like Oku and Curve integrated with Etherlink, increasing the use of Tezos tokens (XTZ).
What this means: These improvements make the network faster and more scalable, encouraging more apps to build on Tezos. This can lead to higher transaction fees and demand for XTZ. Historically, when TVL grows alongside user activity, it often signals upcoming price increases.
2. Real-World Asset Tokenization (Positive for Tezos)
Overview: Arthur Breitman, Tezos’ co-founder, highlighted the tokenization of uranium through uranium.io at a Federal Reserve Fintech Conference in November. This move toward tokenizing real-world assets (RWA) follows Midas’ $350 million worth of tokenized assets on Etherlink and Revolut’s introduction of zero-fee staking for XTZ.
What this means: Tokenizing real-world assets like uranium could open new revenue opportunities and attract institutional investors. If Tezos becomes a trusted platform for regulated assets, it could see significant growth. However, clear regulations will be important for this to happen.
3. Technical Positioning (Positive for Tezos)
Overview: The price of XTZ has bounced back above a key Fibonacci retracement level at $0.578, supported by increasing trading volume. The MACD indicator, which measures momentum, has turned positive, and the Relative Strength Index (RSI) is at 61.89, indicating the asset is not yet overbought. Historically, similar MACD crossovers have led to price rallies of over 25% about 68% of the time.
What this means: These technical signals suggest the price could rise toward $0.682. However, if the price falls below $0.578, it might trigger profit-taking and a drop to the $0.50 support level.
Conclusion
Tezos’ growth in Layer-2 solutions and real-world asset tokenization could lead to a higher valuation if adoption continues to increase. However, broader market challenges and Bitcoin’s dominance at nearly 59% should be watched closely. Traders should keep an eye on Etherlink’s TVL and uranium.io’s adoption as key indicators of sustained momentum.
The big question remains: Can Tezos secure a significant share of the real-world asset market before competitors develop similar offerings?
What are people saying about XTZ?
Conversations around Tezos (XTZ) are swinging between excitement about AI potential and concerns from past price drops. Here’s what’s trending:
- Community optimism – Many believe Tezos still has a chance despite a 94% drop from its all-time high (ATH).
- AI connection – Some are promoting Tezos as a blockchain that could benefit from AI growth.
- Price movement – A recent 42% price increase points to a possible rise to $1.40 if key support levels hold.
Deep Dive
1. Community Optimism Despite Past Losses
@AvrgJoeCrypto says:
“Tezos $XTZ still has a chance!”
– With nearly 1,000 followers and over 1,300 impressions on this post (January 18, 2026)
See original post
What this means: Even though Tezos is currently trading around $0.62, which is about 94% lower than its peak price in 2021, many in the community remain hopeful. This shows strong support despite years of underperformance.
2. Growing AI Narrative Around Tezos
@TezosTexas shares:
“Tezos $XTZ = AI Growth”
– With 9,600 followers and over 64,000 impressions (January 2, 2026)
See original post
What this means: Some supporters are trying to position Tezos as a blockchain that could benefit from the rise of artificial intelligence. While this idea is gaining attention, there’s no clear evidence yet that Tezos has integrated AI technology in a significant way.
3. Technical Analysis Suggests Possible Price Breakout
According to CoinMarketCap (July 20, 2025):
“Clear path to $1.40 if $1.10 holds”
– Technical indicators showed Tezos breaking through a resistance level at $0.90 with a volume spike of $411 million.
What this means: Past price patterns suggest Tezos could continue to rise if it stays above certain price points. However, the current price of about $0.62 is still well below these resistance levels, so caution is advised.
Conclusion
Opinions on Tezos are mixed. On one hand, technical signals and efforts to link Tezos with AI growth offer reasons for optimism. On the other hand, the long-term price charts show significant challenges. The $1.04 resistance level identified in mid-2025 remains a key hurdle. Watch closely to see if the recent 41% price gain over 30 days holds steady, especially as the upcoming Tezos X upgrade is expected to roll out in February.
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What is the latest news about XTZ?
Tezos is showing steady growth with new cross-chain features, rising interest among alternative cryptocurrencies, and strong price performance. Here are the key updates:
- SCOR Cross-Chain Wallet Launch (January 14, 2026) – Lets sports NFTs on Tezos unlock special in-game benefits.
- Altcoin Rotation Spotlight (January 15, 2026) – Experts highlight XTZ as undervalued amid shifting investments.
- Price Resilience (January 16, 2026) – XTZ price rose 8.3% despite a quiet overall market.
Deep Dive
1. SCOR Cross-Chain Wallet Launch (January 14, 2026)
Overview:
SCOR has launched a new feature that links wallets across different blockchains. This means users can connect their Tezos-based sports NFTs with wallets on Ethereum and Polygon. For example, fans holding LA Lakers NFTs on Tezos can now use them in SCOR’s gaming platform without moving their assets. This adds more value and utility to over 2,000 athlete-related NFTs.
Why it matters:
This is a positive development for Tezos (XTZ) because it taps into the $44 billion sports NFT market by combining digital collectibles with interactive rewards. It could attract more users and increase demand for Tezos, which is known for its low transaction fees (SCOR Foundation).
2. Altcoin Rotation Spotlight (January 15, 2026)
Overview:
A recent analysis by CoinMarketCap points to XTZ as a strong candidate for gains between 50% and 80% during periods when investors shift focus to altcoins. This is supported by steady participation in staking (59% of tokens staked) and upgrades like Etherlink’s compatibility with Ethereum’s technology.
Why it matters:
The outlook is cautiously optimistic. While the steady staking and governance improvements are good signs, XTZ’s price remains far below its all-time high (down 93.6%), showing some investor hesitation. The key will be whether Tezos can show clear growth in real-world use (CMC Community).
3. Price Resilience (January 16, 2026)
Overview:
XTZ’s price increased by 8.3% to $0.62, with $44 million traded in 24 hours, even as Bitcoin’s price stayed steady. This performance outpaced some competitors like Zcash. Technical analysis shows XTZ breaking out of a downward trend, with indicators suggesting there’s room for further gains.
Why it matters:
This is a cautiously positive sign. The price move fits with a slight drop in Bitcoin’s market dominance and growing strength in altcoins. However, XTZ faces resistance at $0.75, a price level it hasn’t surpassed since July 2025 (Yahoo Finance).
Conclusion
Tezos is building momentum through new cross-chain features and reliable staking, but broader market conditions and Bitcoin’s influence remain challenges. The big question is whether Etherlink’s growing use in institutions will lead to sustained demand for XTZ.
What is expected in the development of XTZ?
Tezos is making important progress with these key updates planned for 2026:
- Tezos X Rollout (First Half of 2026) – A major upgrade to improve scalability and allow developers to use popular programming languages like JavaScript and Python.
- Etherlink Bifröst Upgrade (First Half of 2026) – Enhances compatibility with Ethereum-based networks, making it easier to move assets between blockchains.
- Fortify Labs 2026 Cohort (March to October 2026) – A $1.3 million funding program supporting new Web3 projects built on Tezos and Etherlink.
- Uranium.io Expansion (2026) – Growing the platform for trading tokenized uranium while addressing regulatory challenges.
Deep Dive
1. Tezos X Rollout (First Half of 2026)
Overview: Tezos X, announced at TezDev 2025 (Tezos), aims to bring together the main Tezos blockchain (Layer 1) and its scaling solutions (Layer 2) into a more unified system. It will support widely used programming languages like JavaScript and Python, making it easier for developers to build applications. The upgrade also introduces a modular design to help the network handle more transactions efficiently.
What this means: This is a positive step for attracting more developers and creating a wider variety of decentralized apps (dApps). However, integrating new programming languages is complex and could face challenges during implementation.
2. Etherlink Bifröst Upgrade (First Half of 2026)
Overview: This upgrade improves Tezos’ compatibility with Ethereum Virtual Machine (EVM) networks, which are popular blockchains like Ethereum. It focuses on making it easier to transfer assets and liquidity between Tezos and Ethereum-based chains (Bitcoinist).
What this means: This could increase the amount of funds flowing into Tezos’ decentralized finance (DeFi) ecosystem, potentially boosting its total value locked (TVL). The impact depends on how widely EVM chains continue to grow and integrate.
3. Fortify Labs 2026 Cohort (March to October 2026)
Overview: Fortify Labs is a 7-month accelerator program providing $1.3 million in funding, mentorship, and investor connections to early-stage projects building on Tezos or Etherlink (U.Today).
What this means: This initiative supports long-term growth by encouraging innovation and new startups in the Tezos ecosystem. Its success depends on attracting talented teams and promising projects.
4. Uranium.io Expansion (2026)
Overview: Uranium.io is a platform launched in 2025 that allows trading of tokenized uranium, a real-world asset (RWA). The 2026 plan focuses on increasing trading volume and ensuring compliance with regulations (CoinMarketCap).
What this means: This is a high-risk, high-reward area. If successful, it could position Tezos (XTZ) as a leader in tokenizing real-world assets. However, regulatory challenges could slow progress or create obstacles.
Conclusion
Tezos’ 2026 roadmap combines important technical improvements (Tezos X, Bifröst) with efforts to grow its developer community (Fortify Labs) and explore new markets like tokenized uranium (Uranium.io). While these upgrades and initiatives could boost adoption and ecosystem value, there are risks related to execution and regulatory compliance. It will be interesting to see how Tezos’ on-chain governance handles potential challenges, especially if uranium.io faces regulatory hurdles.
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What updates are there in the XTZ code base?
Tezos recently improved its testing tools and launched a major network upgrade, making it easier for developers to work and boosting overall network performance.
- Tezt Testing Framework Update (November 2025) – Upgraded to version 4.3.0, adding better stability for automated testing and new tools to track memory use.
- Rio Protocol Activation (May 1, 2025) – Introduced shorter staking periods and enhanced Layer 2 scaling features for faster and more flexible transactions.
Deep Dive
1. Tezt Testing Framework Update (November 2025)
Overview: Tezt is Tezos’ internal tool used to test changes before they go live. This update added memory profiling (which helps spot memory issues) and fixed crashes in the scheduling system. These improvements make automated testing smoother and more reliable.
What this means: While this update doesn’t directly affect users, it helps developers work more efficiently. This leads to quicker and more dependable upgrades in the future. (Source)
2. Rio Protocol Upgrade (May 1, 2025)
Overview: Activated at block 8,767,488, the Rio upgrade shortened the staking cycle to just one day, making it easier for holders to participate. It also introduced a new rewards system for Data Availability Layer (DAL) nodes, which support faster data processing. Additionally, stricter penalties were put in place for inactive validators, known as "bakers," to keep the network secure.
What this means: This upgrade is positive for Tezos because it makes staking more flexible, improves transaction speed and capacity for decentralized apps (dApps), and strengthens network security by discouraging downtime. (Source)
Conclusion
Tezos is advancing by refining its testing processes and upgrading its core protocol. These changes help developers move faster while ensuring the network can scale securely. The question now is: how will these improvements speed up the adoption of Tezos (XTZ)?
Why did the price of XTZ fall?
Tezos (XTZ) dropped 1.37% in the last 24 hours, falling to $0.613. This was a weaker performance compared to the overall crypto market, which stayed mostly flat. Here’s why:
- Market Slowdown: Trading activity across cryptocurrencies fell sharply, reducing how easily assets can be bought or sold.
- Profit Taking: After a strong 40% gain over the past month, some investors sold to lock in profits.
- Technical Resistance: XTZ is facing selling pressure near a key price level around $0.645.
Deep Dive
1. Market Liquidity Decline (Negative Impact)
What happened: The total amount of crypto trading dropped significantly—spot trading volume fell by over 50%, and derivatives trading also saw a big decline. This is the largest one-day drop since late 2025, showing that fewer traders are active and willing to take risks right now.
Why it matters: When trading volume is low, even small sell orders can cause bigger price swings. XTZ’s trading volume decreased by about 9% to $46.4 million, making it more sensitive to selling pressure, even though there’s no specific negative news about Tezos. The market sentiment, measured by the Fear & Greed Index, is neutral at 49, indicating cautiousness and less buying interest.
2. Profit Taking After a Rally (Negative Impact)
What happened: Over the past 30 days, XTZ’s price rose by 40%, much higher than the overall crypto market’s 10.81% increase. This rally was supported by growing use of Etherlink Layer 2 technology and interest in real-world asset (RWA) projects.
Why it matters: After such a strong run, some traders chose to sell and take profits, especially since the market is thin and less liquid. The price also hit a psychological resistance level around $0.62, where selling often increases. Historically, altcoins like XTZ tend to pull back after big rallies when the broader market momentum slows down.
3. Technical Resistance (Negative Impact)
What happened: XTZ is trading below its 200-day simple moving average (SMA), a key technical indicator at $0.645. This level has acted as a ceiling for price gains in the past. The 4-hour Relative Strength Index (RSI) is at 47, suggesting weakening buying momentum.
Why it matters: This resistance zone has often led to price pullbacks. Until XTZ can close above $0.645 with strong trading volume, technical traders are likely to remain cautious and may sell near this level.
Conclusion
The recent drop in XTZ’s price is mainly due to a broader market slowdown, investors taking profits after a strong rally, and ongoing technical resistance—not because of any specific problems with Tezos itself.
What to watch: Will continued growth in Etherlink’s total value locked (TVL), now over $70 million, or new partnerships with institutional investors help XTZ break through the $0.62 to $0.645 resistance zone?
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