OP’s ‘Optimism’ may need more than just a boost. Here’s why…
- Optimism witnessed an uptick in the number of transactions as well as its volume.
- However, OP still struggled to make a comeback on the price and metric front.
The end of the second quarter of 2023 couldn’t be considered as optimistic for the Optimism [OP] blockchain. This was because where most cryptocurrencies, especially altcoins were seeing progress, OP was seen struggling.
As per data from CoinMarketCap, OP was exchanging hands 7% lower over the last 24 hours and almost 15% lower in the last seven days. Additionally, as of 28 June, a tweet from blockchain intelligence platform IntoTheBlock stated that OP witnessed a notable uptick in the number of transactions.
Additionally, the daily volume also witnessed a rebound and went from 10k to almost touching the 40k mark. Could this mean OP is in for some recovery? Let’s find out…
How much are 1,10,100 OPs worth today?
Far from home…
Upon taking a look at the performance of metrics, it could be seen that OP’s still had a long way on the recovery path. This was because, at the time of writing, OP’s weighted sentiment stood at -1.025. This was on the lower end considering its performance since the end of February.
Furthermore, although development activity witnessed a climb over the last few days, as of 28 June, it witnessed a noticeable dip. This could be a sign that developers weren’t doing much on the development front. What was also alarming was that OP’s MVRV ratio witnessed a dip after peaking on 17 June.
In need of a helping hand…
In addition to the aforementioned data, a look at OP’s daily chart also gave a clear idea of what can be expected of the altcoin. OP was exchanging hands at $1.199 at the time of writing. The token traded 8% lower than its opening price for the day. Furthermore, the Relative Strength Index (RSI), although at 42.16, was seen in a descending position.
Realistic or not, here’s OP’s market cap in BTC’s terms
This indicated some significant selling pressure in the market. However, at the time of writing, the Moving Average Convergence Divergence (MACD) still showed some hope. This was because the MACD line (blue) was still moving above the signal line (red). But, looking at the proximity between the two lines, a bearish crossover would be imminent if traders continued selling the token.
Contrary to the RSI, OP’s Money Flow Index (MFI) was at 67.43 and moved sideways at the time of writing.
Considering OP’s metrics and price action, it could be said that traders hoping for a rally could be disappointed. However, recovery could still be a possibility only if selling pressure decreases and more and more traders begin rooting for the altcoin.