Latest Telos (TLOS) Price Analysis

By CMC AI
20 September 2025 01:33PM (UTC+0)

Why is TLOS’s price down today? (20/09/2025)

TLDR

Telos (TLOS) fell 4.02% in the past 24h, underperforming the broader crypto market (-0.54%). Key factors:

  1. Technical Weakness – Oversold RSI and bearish MACD signal short-term selling pressure.

  2. Incentive Program Struggles – Lower-than-expected rewards in Telos’ Uniswap liquidity pools reduced trader enthusiasm.

  3. Deflationary Transition Uncertainty – Mixed sentiment around ongoing supply burns and governance updates.


Deep Dive

1. Technical Breakdown (Bearish Impact)

Overview: TLOS trades at $0.0541, below its 7-day SMA ($0.057) and 30-day SMA ($0.059). The RSI-7 (30.12) indicates oversold conditions, while the MACD histogram (-0.001076) confirms bearish momentum.

What this means: Traders may interpret the price below key moving averages as a signal to exit positions, exacerbating downward pressure. The oversold RSI could hint at a near-term bounce, but sustained recovery would require reclaiming the $0.057 resistance level.

What to watch: A close above the 7-day SMA ($0.057) or a bullish MACD crossover.


2. Liquidity Incentive Challenges (Mixed Impact)

Overview: Telos’ Uniswap liquidity pools saw only 55–86% of incentives distributed in May–July 2025 due to unmet KPIs (Uniswap Governance). While stablecoin pools hit 100% rewards, volatile pairs like STLOS/WTLOS underperformed.

What this means: Lower rewards for liquidity providers (LPs) reduce participation, thinning liquidity and increasing price volatility. However, Telos’ pivot toward fixed incentives (proposed in August) could stabilize LP activity if implemented.


3. Deflationary Transition (Bullish Long-Term, Bearish Short-Term)

Overview: Telos burned 35,000 TLOS in July as part of its “ultra sound money” strategy to curb inflation. The network aims for net deflation via transaction fees and reduced emissions (Telos Foundation).

What this means: While burns theoretically support long-term scarcity, short-term uncertainty persists. The 24h drop suggests traders may be pricing in execution risks, such as slower-than-expected adoption of fee-based deflation mechanisms.


Conclusion

The 24h dip reflects technical exhaustion, liquidity incentive hiccups, and cautious sentiment around Telos’ deflationary overhaul. While the project’s long-term vision aligns with sustainable tokenomics, near-term volatility may persist until liquidity incentives stabilize and deflationary mechanisms gain traction.

Key watch: Can TLOS hold the 61.8% Fibonacci support ($0.0603) amid broader altcoin season momentum?

Why is TLOS’s price up today? (17/09/2025)

TLDR

Telos (TLOS) rose 2.51% in the past 24h, outpacing the broader crypto market’s -0.13% decline. Key drivers:

  1. Aerodrome Incentives Surge – TLOS/WETH pool TVL crossed $200k with 172% APR, attracting liquidity.

  2. Deflationary Momentum – Transaction burns reduced supply, with 35k TLOS burned in July.

  3. Base Network Integration – New bridge to Base improved cross-chain utility and speculation around Coinbase DEX listing.

Deep Dive

1. Aerodrome Liquidity Growth (Bullish Impact)

Overview:
TLOS/WETH liquidity pool TVL on Aerodrome surged past $300k (+50% weekly) by August 18, 2025, fueled by boosted $AERO rewards and a 172.33% APR (@HelloTelos).

What this means:
High yields incentivize liquidity providers to lock TLOS tokens, reducing sell pressure. The pool’s growth signals confidence in Telos’ Base network integration, which could attract institutional attention as Coinbase’s DEX expands.

What to look out for:
Sustained TVL growth and APR stability – a drop below 100% APR might reduce incentives.


2. Deflationary Tokenomics Activation (Bullish Impact)

Overview:
Telos’ transaction-burn mechanism destroyed 35,000 TLOS (~$2,023 at current prices) in July, accelerating deflation. A dedicated burn/supply portal is expected soon (@Bigsizz_DeFi).

What this means:
Burns reduce circulating supply while network usage grows – a bullish divergence. With 441.85M TLOS circulating, even modest burns (0.008% monthly) compound scarcity over time.


3. Base Network Bridge & Coinbase Speculation (Mixed Impact)

Overview:
Telos launched a bridge to Base (Coinbase’s Ethereum L2) on July 4, 2025, enabling cross-chain transfers. Community rumors suggest TLOS could list on Coinbase’s upcoming DEX (@HelloTelos).

What this means:
Base integration expands Telos’ reach to 56M+ Coinbase users. However, the DEX listing remains unconfirmed – failure to materialize could trigger profit-taking.


Conclusion

TLOS’ 24h gain reflects strategic liquidity incentives, deflationary tokenomics, and speculative optimism around Base/Coinbase synergies. While technicals show resistance at the 7-day SMA ($0.0586), sustained burns and exchange momentum could override near-term selling.

Key watch: Can TLOS hold above the 200-day EMA ($0.0644) if the broader market recovers?

CMC AI can make mistakes. Not financial advice.