A few days ago I wrote about the phenomenon known as the Christmas surge and I also predicted that this would be one of those occasions when (21% of the time since 1929) when markets and latterly crypto have not seen such a spike in growth. However, while there was only little or downward movement across my portfolio it appears that TEZOs briefly flickered with renewed life as it jumped from £0.33 - £0.36 or about 9%.
It left me wondering why TEZOs? It's a currency I am hodling and staking, but one I have almost given up on and so to examine this is the purpose of today’s post.
There are a number of factors that strongly suggest why XTZ rallied briefly during that period. The timing aligns with a cluster of bullish developments. A December 19th report highlights a record year for Tezos NFTs (Yes I know I am not a fan, but while I will never purchase one I have no problem with my assets utilising them), in that there has been significant institutional adoption (maybe this is where the sponsorship money comes from – see a previous article), as well as some major museum partnerships and only that but they facilitated the sale of over 500,000 NFTs, and coupled with this there was an inevitable surge in artist participation.
Furthermore, By Q3 2025, Etherlink (TEZOs’ EVM‑compatible Layer 2 saw a 47% TVL growth to $61M facilitating over 20.5M transactions and the launch of new liquid staking products (stXTZ) as well as a number of new yield products from Midas. This has positioned TEZOs as one of the few L1s with a growing L2 ecosystem during a bearish market.
Finally, we cannot underestimate the impact of the attention TEZOs has received from its Uranium tokenisation, as well as the aforementioned museum NFT partnerships and broader institutional experimentation. Cumulatively these developments have contributed to renewed interest and especially since they were all highlighted in a late‑December analysis.
The Christmas Surge Factor may have been nothing more than a coincidence.
These kinds of milestone are significant in that they often trigger speculative buying and renewed attention, especially around holiday periods when trading volumes can be thin, the net result being greater volatility.
Looking at the wider picture another factor that helps TEZOs is its strong staking culture and low inflation.
The bottom line is that it was fundamentally driven by the positive end of year reporting that led to the creation of a renewed bullish sentiment which sets it up nicely for 2026 onwards.
Maybe I was all too eager to give up on my TEZOs. Honestly, I had already written them off and count them as a lost so if they suddenly do get back to somewhere in the $2 (£1.50) range, which is a 5x increase I may just get my money back on them and having already effectively disposed of their monetary value it will represent pure profit.
As always remain safe and well my friends.
