Tezos (XTZ) Shows 937% Increase in Volume as Price Jumps; Here's Why

News
Tue, 10/10/2023 - 11:25
Cover image via www.freepik.com
Read U.TODAY on
Google News

Tezos (XTZ) prices increased by more than 7% in early Tuesday trading as the market remained in the red. A few cryptocurrencies, including Tezos, were up as the global crypto market capitalization fell 1% to $1.08 trillion.

At the time of writing, XTZ was up 7.36% in the last 24 hours to $0.703. This is significant as the majority of cryptocurrencies are still sustaining losses due to yesterday's sell-off.

Tezos fell to $0.636 in yesterday's trading, where it found immense support.  Tezos rebounded sharply as a result, reaching highs of $0.742 in today's trading.

Although the precise reason for the pump is unknown, the sharp price move mimics that of a short squeeze—a rally spurred by the unwinding of short bets. However, derivative data makes one think less so.

In the last 24 hours, Tezos saw $553,050 worth of liquidations, with $261,100 of that representing short liquidation. Long positions saw even larger liquidations at $291,880.

Related
Cardano (ADA), Tezos (XTZ) Staking Enabled by Digital Bank Revolut: Details

More appealing is the immense surge in trading volume, which was up 937% in the last 24 hours to $106 million worth, or 148,742,414 XTZ. Tezos even saw a larger derivatives volume spike of 2,340.37%, with $244.11 million traded, per Coinglass data.

A rise in trading activity of this magnitude often shows traders placing bets in an attempt to profit from recent market volatility.

A look at the official X account reveals Tezos advancing its NFT journey with soccer club Manchester United. Manchester United signed a significant multi-year agreement with Tezos last year, allowing the crypto asset to be displayed on the club's collection of men's and women's training uniforms.

In a new tweet, Tezos made an announcement regarding complimentary digital memorabilia ahead of an impending Manchester United game. Club Memorabilia is powered by Tezos.