ATOM Vs ADA Vs TEZOS – Which Is Best For HODL?

So far, 2021 has indeed been a year of altcoins thanks to Bitcoin’s immense rally to an all-time high of $64,863 on 14th April 2021. Despite China’s crackdown on cryptocurrencies, altcoins have generally had a bullish run for the better part of the year. In particular, Cosmos (ATOM), Cardano (ADA), and Tezos (XTZ) have displayed fundamental price strength with significant developments.

A Brief Overview of Price Action

Cosmos (ATOM) has reached new heights in 2021, gaining over 525% in under ten months. The coin opened the year at $6.46, and it’s currently worth $35.34. September has been the best month for ATOM so far, peaking at a high of $44.70. Analysts expect Cosmos to surge further thanks to the significant developments that are ongoing in the ATOM ecosystem.

Cardano (ADA) has also displayed an immense price rally, surging by nearly 100% in early February. The growing interest in Cardona and network upgrades puts it in a great position for a huge bull run, thus ideal for HODLING.

Tezos (XTZ) has also seen growth in 2021, increasing by 576% from the start of 2020 to May 2021. XTZ hit a high of $8.43 in May 2021 and had a pretty solid July and August before a slight bearish run and price recovery in September.

There has been growing interest in DeFi coins which is one of the reasons these coins have displayed a solid price performance in 2021. So, with ATOM, ADA, and XTZ indicating a positive price outlook with great price growth potential, which one is best to HODL? Here’s an analysis.

Cosmos (ATOM)

Cosmos is an ecosystem of decentralized apps and services designed for a decentralized future. The platform essentially offers interoperability solutions between decentralized blockchains using Inter-Blockchain Communication (IBC) protocol. At the heart of Cosmos is the Cosmos Hub-a a blockchain network that provides vital services to the Interchain.

Apart from smart contract functionality, the Cosmos blockchain leverages the asynchronous Byzantine Fault Tolerant (aBFT) consensus model to validate all marketplace transactions such as financial services, games apps, etc., hosted on the platform.

The Cosmos ecosystem is powered by ATOM, which facilitates the payment of transaction fees on the ecosystem. Apart from reducing the transaction fees and sending payments, ATOM tokens can be staked to validate transactions and earn returns.

ATOM Price Outlook

ATOM hit new highs in 2021 with an all-time price high of $44.46 on 20th September 2021. The coin has gained over 525% this year alone due to a fantastic price run in September. For the most of 2021, the coin has displayed great price movements, outperforming the crypto market in 2021.

ATOM is currently one of the best coins to hold, owing to the project’s growth potential and clear use case. There are significant developments on Cosmos. For instance, the platform has recently launched interBTC-a DeFi protocol that enables Bitcoin users to earn, pay or invest their BTC on any blockchain, including Cosmos.

Other developments on the Cosmos ecosystem that contributed to the significant ATOM rally include the launch of a sidechain that facilitates the exchange of assets between Ethereum and Cosmos, i.e., Sifchain, and the launch of Emeris-a protocol providing cross-exchange capabilities. Thanks to Emeris, Cosmos users can access several cross-chain DeFi protocols on the Cosmos network and trade assets on other blockchains such as Persistence (XPRT) and IRISnet (IRIS), etc.

The incredible developments on the Cosmos ecosystem will undoubtedly increase the demand and utility of ATOM, leading to a fantastic price rally in the coming months. As such, it’s one of the best to HODL with an enormous price surge, up to 200% expected in the coming months.

Cardano (ADA)

Launched in 2017 by Ethereum’s co-founder Charles Hoskinson, Cardano is a smart contract platform that facilitates the development of decentralized applications (dApps) and peer-to-peer transactions using its native token, ADA.

Cardano is pretty similar to Ethereum, considering that both platforms facilitate the development and deployment of dApps. In fact, analysts term the crypto as the Ethereum “killer” as it’s more efficient and scalable than Ethereum, thanks to the PoS consensus algorithm.

ADA Price Outlook

Cardano’s ADA has had a remarkable price rally in 2021 owing to the developments in the ecosystem. The coin rose by an incredible 1600% between the start of 2021 and September 2021. The enormous price rise related heavily to the Mary hard fork, which came into the picture in February 2021.

The fork enables the creation of custom assets such as native coins and non-fungible tokens (NFTs). In May, the price rally died, leading to a significant price tumble. ADA’s price dropped by about 58%, testing the support at $1.

In July, the price started rallying following the announcement of the Alonzo hard fork that introduced smart contracts on the platform. Following the introduction of smart contracts on Cardano, introducing the decentralized finance (DeFi) and decentralized applications (dApps) functionality, ADA rose by 141% to hit an all-time high price of $3.10 on 2nd September 2021.

Cardano’s ADA has a positive price outlook owing to the continuous upgrade and investments on the platform. Following the Mary and Alonzo hard folks, Cardano’s appears like a much better alternative to Ethereum, which faces scalability issues coupled with high transaction fees.

The platform’s upgrade to support smart contracts for the development and deployments of DeFi platforms and dApps makes it an attractive prospect for blockchain developers and companies. What’s more, IOHK, the company behind Cardano and ADA, launched a cFund to support blockchain companies.

As ADA’s demand increases coupled with upcoming developments on the Cardano ecosystem, including the anticipated launch of a cross-chain bridging with Nervos Network, it’s projected that ADA’s price will rise to $5 by the end of the year. That makes it a viable altcoin to HODL.

Tezos (XTZ)

Launched in 2018 by Arthur Breitman and Kathleen Breitman, Tezos is an open-source blockchain platform that leverages PoS consensus to support peer-to-peer transactions as well as smart contracts. It allows individuals to develop and deploy dApps, just like Ethereum and Cardano.

Tezos sets itself apart from other smart contract platforms with a unique governance system where XTZ holders can vote on matters affecting the project, such as the on-chain governance model.

XTZ Price Outlook

From 2020 to May 2021, XTZ displayed an incredible price run, increasing by 576% to reach a high of $8.43. However, the bull rally was short-lived, sending the prices tumbling in June. XTZ price was pretty solid in July and August before experiencing a 20% price decrease in September to trade at $5.60 at the time of writing.

There haven’t been significant developments in the Tezos ecosystem. The project seems to depend on companies and financial institutions to adopt XTZ and spur its price growth. The fact that several blockchains and financial companies and institutions have adopted XTZ, notably InCore Bank, Inacta, and Crypto Finance Group, could lead to price growth in the coming months or years. However, this isn’t certain, considering that the project lacks significant upgrades to improve its functionality or even increase its use case.

Tezos seemed to have put its hopes in institutional investors to adopt the token and cause a snowball effect. That is often not guaranteed, especially in the hugely competitive crypto space.

Final Verdict

Cosmos and Cardano have implemented remarkable upgrades on their platforms, setting up their native coins for immense bull rallies in the coming months. There haven’t been much, if any, developments on the Tezos ecosystem, slowing down XTZ’s price growth.

As such, you wouldn’t want to HODL XTZ since its price action in the coming months is almost uncertain. Consider holding either ADA or ATOM, depending on your investment analysis or plan. Needless to say, it’s almost impossible to accurately predict the price course of cryptos, thanks to their immensely volatile nature. Therefore, you need to trade carefully by not following your instincts.

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