XTZ Up 513.06% in 24 Hours Amid Governance Upgrade and Network Activity Surge

XTZ, the native token of the Tezos blockchain, experienced a dramatic 513.06% price increase within 24 hours as of JUL 29 2025, driven by a major on-chain governance upgrade and a surge in developer activity. The network’s latest protocol upgrade, known as "Ithaca," was activated earlier this week, introducing enhanced smart contract capabilities and improved energy efficiency, which has attracted renewed interest from developers and institutional participants.

Governance Upgrade Sparks Optimism

The Ithaca upgrade marked a significant milestone for Tezos, as it expanded the platform’s capacity to support more complex decentralized applications (dApps) and decentralized finance (DeFi) protocols. This upgrade also streamlined the on-chain governance model, enabling faster proposal execution and greater transparency in decision-making processes. Developers and stakeholders have praised the move for making Tezos more competitive in the rapidly evolving blockchain space.

The upgrade coincided with a rise in on-chain activity, with the number of daily transactions increasing by over 200% in the past week. This uptick in usage has reinforced market confidence in the long-term utility of XTZ, particularly among investors who view on-chain metrics as key indicators of a project’s health and adoption.

Developer Ecosystem Gains Momentum

A growing number of developers have begun deploying new projects on the Tezos network, leveraging its formal verification features and carbon-neutral consensus mechanism. Several new dApps and NFT marketplaces have launched in the past two weeks, signaling a broader shift in the ecosystem’s maturity. The Tezos Foundation has also announced a new grants program to further incentivize development, which has been widely welcomed by the community.

The increased adoption is reflected in the token’s price performance, with XTZ surging 348.49% over the past seven days and 6822.07% in the last month. Analysts have attributed much of this momentum to the tangible progress in the ecosystem, rather than speculative trading or short-term market sentiment.

Long-Term Fundamentals Remain Strong

Despite a 2957.23% decline over the past year, the recent price action underscores a renewed focus on Tezos’ long-term fundamentals. Institutional investors have expressed interest in the platform’s governance model and environmental sustainability, which are increasingly important factors in the crypto market. The ability to upgrade the protocol through on-chain voting has been cited as a key differentiator, offering a more decentralized and democratic approach to network evolution compared to other blockchains.

As XTZ continues to attract attention from both developers and investors, the market is closely watching for further signs of adoption and ecosystem growth. With the Ithaca upgrade now live and the developer ecosystem expanding, the token’s trajectory suggests a strong foundation for future development and use cases.