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With the NFT trend skyrocketing over the past year, most smart contract-supporting blockchain have joined the trend, including Tezos (XTZ). In fact, Tezos recently conducted a Twitter conversations analysis focusing on tweets that mention NFTs, and it concluded that there has been a noticeable growth in the number of posts mentioning Tezos in relation to the topic.
Not only that, but Tezos mentioned that its own mentions have been growing faster than those of other leading blockchain ecosystems, signaling the growing interest in the project’s ecosystem.
In a recent analysis of Twitter conversations on the topic of #NFTs, @Tezos has displayed exponential growth over the past few months in comparison to other leading #blockchain ecosystems. @TheTieIO#Tezos #BlockchainEvolved #CleanNFT pic.twitter.com/yFx0j7tBln
— Tezos (@tezos) March 29, 2022
The new development is not surprising, considering the amount of effort that Tezos has put into the NFT sector. It recently noted a considerable growth in its dApp ecosystem, featuring DeFi, NFTs, and gaming, and it shared that the Tezos community is thriving and growing rapidly as more museums and art institutions are turning to Web3 and the NFT sector.
"Museums are currently having internal discussions about how NFTs might be incorporated into their mission." – @nytimes
— Tezos (@tezos) March 28, 2022
Tezos price sees growth in the second half of February
Apart from Tezos’ Twitter mentions, the project has also seen considerable growth of its price. At the start of the year, its price went from $4.4 to $5.3, which is still its YTD high at this point. However, following that, it sank down to $3, only to have another major surge in late January and early February, which took it back to $4.50.
In the second half of February, it sank back to $3, although it did bounce back up to $3.50 in early March, before dropping to the bottom at $3 for the third time in as many months. The situation started changing once more around March 16th, when the XTZ value started a much steadier increase than the one in February. So far, the project managed to return to $4, but this level is now a strong resistance that rejected its price to a smaller support at $3.80.
At the time of writing (March 30th), XTZ's price sits at $3.83, with no indication whether it will try to breach the resistance at $4 again, or if it is going to start spiraling back down. However, it is worth noting that this is not an isolated behavior, and that Tezos is actually following the behavior of the wider crypto market rather accurately. In other words, its new popularity among the NFT seekers on Twitter did not seemingly have an impact on the token’s price that would make it act out and decouple from Bitcoin’s influence.
Tezos is a blockchain network that uses smart contracts to develop a variety of blockchain products. As such, it is similar to Ethereum, although it has a much more advanced infrastructure that allows it to evolve and change over time in order to handle new challenges.
The biggest difference between the two, however, is the fact that Tezos can implement its changes without having to conduct a hard fork and expose itself and its users to the dangers that come with hard forks. Both Bitcoin and Ethereum ecosystems have seen incidents with hard forks that have led to the creations of “rogue projects,” with the most recent example being the creation of Bitcoin SV (BSV) in November 2018, when Bitcoin Cash hard forked.
The resulting hash war led to the second major price crash that year, and while the community has healed from the incident, it is important to remember it to truly appreciate the technological advantages that have allowed projects like Tezos to avoid exposing themselves to similar dangers.
To learn more visit our Investing in Tezos guide.
Ali is a freelance writer covering the cryptocurrency markets and the blockchain industry. He has 8 years of experience writing about cryptocurrencies, technology, and trading. His work can be found in various high-profile investment sites including CCN, Capital.com, Bitcoinist, and NewsBTC.