I just read this thought I will post it here.. Posted byu/Erasmus1254
Zilliqa - A Top 10 Blockchain in 2021?
I am going to try to keep this relatively short and hit on some key points for all those trying to figure out what is going on with Zil and where it can go in the future.
1. We are in a crypto bull run. The rising tide lifts all boats, as the saying goes. Or does it? Well, in 2017 that was probably true. But in 2020, with more experienced and educated crypto investors, that adage won’t hold true for everything. That said, having a crypto bull run is helping Zil’s value. Nevertheless, that is not the only reason for it.
2. Zilliqa’s recent rise is not a pump and dump (PnD). First, from a trading technical perspective, what is happening to Zilliqa’s price and volume is not in any way indicative of a PnD. Lets just move past that topic real quick.
3. So, if not a PnD, why the heck is Zil’s price rising so fast? The focus here is wrong. It isn’t about why it is ‘rising fast’. Rising fast is a relative concept. Something going from $1 to $2 is a 100% increase but from $10 to $11 is only a 10% increase. Still a $1 move in both scenarios. This is where market capitalization matters, a lot. Zil being at $900mm at roughly the time of writing isn’t a surprise. It has (LARGE) room to grow from a market cap perspective as price discovery starts to happen here. Emphasis on the ‘starts.’ We haven’t in any way hit euphoria on this. Not from a trading technical perspective nor a sentiment perspective. Fundamentals are currently driving price action here and will continue to.
4. What could Zil’s price be in X time? Well, isn’t that the question we all want the answer to. Obviously, no one can predict that. But, here’s how to think about it with a little more educated guidance than sticking your finger in the air. Pay attention to data. Data is your friend, always. Think about overall market growth (the crypto market that is), adoption of certain blockchains and what they do. Don’t compare Zil to, say, Theta. I’ve seen some of that recently. All I can think is that those people don’t know what they are talking about. Zilliqa and Theta blockchains are trying to achieve very different things. There is space for both of them – and this is a good thing.
5. Ecosystem, ecosystem, ecosystem. Think of it like investing in real estate. Location, location, location. Has Zil increased its ecosystem in 2020? Yes. Has it done so in spades? Yes. Does it have the potential to do so in 2021? Yes. Think through all the areas Zil is working on with their ecosystem to drive increased transactions, development, OpFi and DeFi. Not just what the team/community says they want to do, but what results they actually produce. Don’t fall victim to crypto communities talking about what they will do. Focus on what they have accomplished and the consistency through which they follow through on what they say they will do. We are not in 2017 people. Don’t forget it. I say don’t forget it because people will in 2021 as we move towards euphoria in the crypto space again in this new market cycle. If a blockchain’s ecosystem is growing (like Zil’s), then people are interested. If it is not growing, well, the opposite. It is that simple. Don’t make this part more complicated than it needs to be.
6. Lastly, can Zil be a top 10 by marketcap in 2021? Yes. Unequivocally, yes. This isn’t about shilling. Simple data suggests that with all the irons in the fire and the growth trajectory this blockchain ecosystem is on, a top 10 by market capitalisation is well within reach in 2021. The ETH bridge planned by end of Q1 2021 is going to be a big additive here but not the only one. The continued increase in global partnerships, staking reward incentivisation, and much more detailed by the team is going to be a large driver here. Strap in!
I could go on and on and on. Give you all sorts of charts, graphs, and hard data cases. Enough people are doing that so no need to add to the length of this post here.
I’ll leave you with this. Don’t take my words for it. We all know DYOR matters. Most people are too lazy to do that though. They’ll spend more time researching the best TV to purchase than what crypto they should invest in or stock, or bond, etc. If you haven’t read the Zilliqa team’s Ecosystem Growth Report for 2020 yet, please, for your own sleep at night factor, read it. It is available on the main page of Zilliqa's website. It is worth the read. They made this really simple to understand. Well done Zilliqa team and the wider Zilliqa community. The continued move towards more decentralised governance and adoption is huge but we are all grateful for the core team’s perseverance and trust built over the past three years by delivering on target.
Lets all do our part. Contribute how you can. It’s going to be a fun ride.
