OP rallies as Optimism Governance announces Bedrock proposal plans

• The Optimism Bedrock proposal aims to change the core workings of the network.
• The proposal also looks to make Optimism a multichain network.

Optimism has been making strides toward being an established Layer 2 (L2) solution for the Ethereum network. According to its roadmap, it was due for an upgrade in the first quarter of the year, and a new report indicates that preparations are underway for that upgrade. Yet, what does this mean for OP?

Realistic or not, here’s OP market cap in BTC’s terms

The Bedrock for a multichain future

On 1 February, Optimism Governance disclosed that they had sent a proposal to the community for a network upgrade. The proposal by the governance team emphasized numerous technological enhancements, such as the network becoming multichain.

The proposed upgrade was tagged “Bedrock” in the proposal. All the fundamental parts of the Optimism architecture have been rethought and rewritten in the Bedrock. According to the plan discussed, the Bedrock upgrade will pave the way for a “multichain future.”

What to expect

Furthermore, improvements in transaction prices, throughput characteristics, and sync speeds are just some of the other areas that will benefit from the Bedrock release.

The Bedrock upgrade would also include enhanced security features. If the application is approved, the upgrade to Bedrock will be planned for two weeks later and will take four hours to complete.

What is the status of the L2 network as the community waits for the vote on the upgrade proposal? Data from Dune Analytics was analyzed to provide the operational status of the network.

Optimism’s daily transaction data revealed exceptionally high activity levels at the start of the year. Although, in recent weeks, it looked like the volume was less.

Over 200 thousand transactions have been registered as of this writing, down significantly from the nearly 800,000 recorded earlier in January.

Source: Dune Analytics

Optimism continues its rally

Optimism’s native coin, OP, may benefit from a quicker, more secure, and multichain Optimism, according to the Bedrock proposal.

On a daily period chart, OP was visibly rising for the previous three days. At the time of writing, the asset had gained about 30% in the last 48 hours and was currently trading at about $2.8. The asset was in an upward trend, as indicated by the trend line.

Source: Trading View

How much are 1,10,100 OPs worth today?

Furthermore, the Relative Strength Index (RSI) indicated a bullish trend and a slight inclination toward overbought conditions. The latest upgrade announcement did not have a negative impact on Optimism’s (OP) previous strong performance. A successful update might benefit the network and, indirectly, OP.