Tezos Partnership with Google Cloud

Tezos is an open-source platform that focuses on smart-contract security, long-term upgradability, and community participation. Unlike Proof-of-Work blockchains like Bitcoin and Ethereum, Tezos operates on a Proof-of-Stake system, which is much more energy-efficient and cost-effective. The platform ensures active governance by its community, making it a vital part of the Web3 movement.

As Web3 adoption grows, scaling responsibly demands an energy-efficient approach, positioning Tezos as a prime choice for eco-friendly blockchain applications. In a positive move for the platform, Google Cloud has recently joined forces with Tezos, becoming a network validator. This partnership will allow companies and developers to deploy RPC (Remote Procedure Call) nodes for Web3 applications using Tezos and Google Cloud infrastructure.

The Tezos Foundation announced that through this collaboration, Google Cloud customers can access Tezos’ corporate baking program, which offers an easy way to deploy nodes and indexers on the Tezos protocol.

The XTZ cryptocurrency is crucial for operating and maintaining the Tezos network, and it can be used to interact with dApps, pay transaction fees, secure the network through staking, and serve as the basic unit of accounting on the Tezos platform.

Tezos also gives its XTZ holders the ability to vote on changes to the platform’s rules, with the added benefit that the platform can adopt new innovations without sacrificing consensus.

Decline in Deposits at First Republic Bank

Tezos (XTZ) has shown some positive movement this Thursday, largely due to the influence of Bitcoin, which has managed to climb above the $29,500 mark again. This surge is also linked to the struggles of First Republic Bank, whose shares have dropped by 60% and reported over $100 billion in outflows during the first quarter. As fears about the banking sector resurface, investor interest in hedge assets like cryptocurrencies has increased, boosting optimism for the market.

Though the current outlook is favorable, some analysts, including those from Morgan Stanley, warn that selling pressure could reemerge on the cryptocurrency market.

According to Morgan Stanley, global growth is expected to slow this year, which could put pressure on financial markets. Renowned investor Jeremy Grantham has warned of another bubble bursting in the financial markets, with the turmoil seen in the banking sector possibly just the beginning.

Grantham predicts that the U.S. stock market could experience significant declines in the months ahead, with the worst-case scenario seeing a drop of over 50%. Given the close correlation between the crypto market and U.S. equities, any downturn in stocks would likely be mirrored in the cryptocurrency market.

Analysts from Wells Fargo have forecast a 10% correction in the U.S. stock market, and given the volatility of cryptocurrencies, there is a risk that Tezos (XTZ) may face selling pressure if such a correction impacts the market.

Technical Insights for Tezos (XTZ)

Tezos (XTZ) has shown some upward movement, fueled by renewed optimism from concerns over the banking sector. As long as the price of XTZ remains above $1, the risk of a significant sell-off seems low. However, given the volatile nature of the cryptocurrency market, it remains challenging to predict short-term price movements accurately, making it prudent for investors to adopt a cautious approach in the coming weeks.

Ključne razine podrške i otpora za Tezos (XTZ)

On the chart from August 2022, key support and resistance levels for Tezos (XTZ) are indicated to help traders understand possible price movements. If Tezos breaks above $1.10, the next resistance level could be at $1.20. The current support level sits at $1, and if the price drops below this, it could signal a “SELL” and lead to a potential decline to $0.95. Should the price fall further below $0.90, the next support level could be at $0.80.

Factors That Support Tezos (XTZ) Price Growth

The decline in the U.S. banking system has increased investor interest in hedge assets like cryptocurrencies, positively influencing the price of Bitcoin and, in turn, the price of Tezos (XTZ). There has been a notable increase in the trading volume of XTZ in recent hours, and if the price surpasses $1.10, the next target could be at $1.20.

Since the price of Tezos (XTZ) is correlated with Bitcoin, any further rise in Bitcoin above $30,000 could push Tezos to higher price levels.

Indicators of a Potential Drop in Tezos (XTZ) Price

Investors should maintain a defensive stance as the broader economic environment remains uncertain, with tightening monetary policies aimed at controlling inflation, worsened financial conditions, and ongoing geopolitical issues. The current support level for Tezos (XTZ) is at $1, and if this level is breached, the price could fall to $0.95. Additionally, any drop in Bitcoin below $28,000 would likely have a negative impact on the price of XTZ.

Expert Opinions on Tezos (XTZ) Price Prediction

Tezos (XTZ) has seen some upward movement following optimism in the cryptocurrency market, but investors must remain cautious as the risk of further sell-offs still exists. Analysts, including those from Morgan Stanley, predict global growth will slow, which could weigh on financial markets. Jeremy Grantham also warns of another major financial market bubble bursting, and the turmoil in the banking sector could be just the beginning.

Ki Young Ju, CEO of CryptoQuant.com, highlighted that macroeconomic risks and potential contagion within the crypto industry could lead to further liquidations and bankruptcies, creating additional selling pressure.

Odricanje od odgovornosti: Cryptocurrencies are highly volatile and may not be suitable for all investors. Never invest money that you cannot afford to lose. The content on this site is for educational purposes only and should not be considered as financial or investment advice.