The Independent Republic

Is now the time to buy ZRX? Despite being something of an outlier in the altcoin community, people seem to love 0x as it goes through pump and dump cycles like few others. Off the back of the rumours it was going to be added to Coinbase, the ZRX price shot up in April. In fact, as its value rose by 17% and the price topped the $1.28 mark, many investors were tipping it as that month’s hot commodity. However, as the Coinbase rumours cooled, the ZRX price index started to fall.

For the diehard 0x supporters, this is par for the course. When you’re bidding to be an intermediary on an emerging platform, things are bound to be volatile. But with the coin’s value dropping by 50% in a single month, outsiders are asking whether this is the time to buy ZRX. What’s interesting about 0x is that its fate may be predicated on the success of Ethereum. Because it offers a decentralised exchange as part of the Ethereum blockchain, ZRX will naturally rise and fall with its host.

If you look at the basics of Ethereum, you’ll know that it has taken Bitcoin’s blockchain and gone a few steps further. By allowing developers to operate a variety of programs on the Ethereum Virtual Machine (EVM), thousands of decentralised applications are now able to operate on the same blockchain. What ZRX does is to provide a link between these different assets. In simple terms, 0x offers a safe and efficient way to exchange tokens on the Ethereum network. More technically, 0x is a protocol for settling orders on the Ethereum network.

What is ZRX and Why is it Useful?

So, what is ZRX and how does that fit into the equation? In simple terms, ZRX is an Ethereum token that users can pay “relayer” with. A relayer is an entity that hosts the off-chain orderbook. To put it another way, the off-chain orderbook is where transactions happen away from the main Ethereum blockchain. The transactions are then settled using the 0x protocol which, in turn, completes the order and updates the Ethereum blockchain. A ZRX token is used to pay a relayer’s trading fees. When you piece all of this together, it becomes apparent why the ZRX price index will clearly be affected by what’s happening on the Ethereum network.

If people lose faith in the underlying technology (smart contracts), the value of ZRX could plummet. Conversely, if Ethereum continues to show its utility and resilience, now could be the time to buy ZRX. Over at Binance, ZRX has been listed on the exchange since 2017. As per the design, a maximum of one billion coins will be released. From this, when you look at today’s ZRX price ($0.62 on June 27, 2018), the value has surged by 1,200% above the issue price of $0.048. In this respect, you could say the coin has been a success and will continue to experience growth. However, with many of the leading altcoins showing similar levels of initial growth, those in the know will need to see more if they’re going to invest in ZRX.

If Ethereum Moons, ZRX Price Will Moon

For us, the above Coinbase speculation is the most intriguing short-term signal. When you take into account the exchange’s ETH wallets now support ERC-20 tokens, it’s clear Coinbase is starting to move in that direction. If other established exchanges such as eToro decide to make similar changes and list ZRX, things could get very interesting. Buying now when the price has dropped by 50% in the last month could be perfect if you’re looking for a quick in and out. Indeed, if Coinbase confirms that ZRX will be listed, the coin’s value will experience a sharp (but possibly short) pump. Looking into the future, a number of projects are tapping into the 0x platform. Dapps like Augur, Aragon, Blocknet, dEX and Maker are all looking to utilise the technology, as is the relayer Paradex.io.

If these products can prove useful and bring something to mainstream consumers, 0x will have succeeded in positioning itself is an integral cog in the Ethereum blockchain. Naturally, there are a ton of “ifs” when it comes to making a ZRX prediction. However, the technology has clearly shown that it’s useful in the crypto world. Now, if the Ethereum blockchain can truly break through and have mass-market appeal, ZRX should take off. Whichever way it goes, it will be interesting to see how the 2018 ZRX price chart develops in the coming months and whether there will be more peaks and troughs before the end of the year.

Update: Since the time of writing, ZRX has risen by 20%. If you are looking to buy ZRX now, then try out the Altcoins page.