Optimism price prediction as OP stages a strong comeback

Optimism (OP/USD) price has made a strong bullish comeback in the past few days as investors rushed back to cryptocurrencies. The token’s price rose to a high of $0.73, which was the highest point since June 12th of this year. It has risen by over 81% from its lowest level in June, bringing its total market cap to about $152 million.

Why is Optimism rising?

Optimism is one of the leading layer 2 blockchain projects in the world. It is a platform that seeks to help developers optimise their Ethereum applications in all industries like decetralised finance (DeFi), gaming, and the metaverse.

Optimism is similar to other layer 2 networks like Loopring and Polygon. They work by running all computation outside of Ethereum’s platform. They put all transaction data on-chain and runs it in a faster way.

As a result, applications optimised using Optimism are significantly faster than those in Ethereum. They are also significantly cheaper than those in Ethereum. Indeed, Optimism has saved Ethereum users over a billion dollars in the past few years.

Optimism has been embraced by many developers. According to DeFi Llama, the platform’s DeFi ecosystem has over 20 applications that have a total value locked (TVL) of over $362 million. Some of the most notable names in Optimism are Synthetix, Velodrome, Uniswap, Perpetual Protocol, Aave, and Curve, among others.

Optimism has also been embraced by bridges like Hop Exchange, Bungee, Synapse Protocol, and Celer among others. The NFT platforms using Optimism are Quixotic, Bored Town, and Circular Art among others.

Optimism price has jumped because of the ongoing recovery of cryptocurrencies. Indeed, the total market cap of all cryptocurrencies has jumped to more than $1 trillion. It has also risen because of the ongoing recovery of DeFi tokens like Aave, Uniswap, and Curve.

Optimism price prediction

The four-hour chart shows that the OP price has made a strong recovery in the past few days. It has managed to move from a low of $0.3950 to a high of $0.7423. It has also managed to move above the important resistance at $0.6585, which was the highest point on June 25th. 

Optimism has also risen above the 25-day and 50-day moving averages while the MACD has moved above the neutral point. Therefore, the coin will likely keep rising as bulls target the key resistance at $1. A drop below the support at $0.6585 will invalidate the bullish view.

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