Will Optimism finally cross the $1.6 roadblock?

9 months ago 68

Disclaimer: The accusation presented does not represent financial, investment, trading, oregon different types of proposal and is solely the writer’s opinion.

  • OP has consistently faltered astatine the roadblock beneath $1.65.
  • The backing rates turned antagonistic into the play (29/30 July). 

Optimism’s [OP] uptrend successful mid-July has faced 1 important obstacle – climbing supra $1.65. Notably, 3 consecutive attempts to transverse the $1.65 people person been thwarted, mounting the autochthonal Layer-2 altcoin to chalk up a scope enactment betwixt $1.38 and $1.65. 

Read Optimism’s [OP] Price Prediction 2023-24

Meanwhile, Bitcoin [BTC] faced different terms rejection astatine the range-low of $29.5k. That makes the level a important absorption to flooded if bulls are to beforehand further. But the derailment could further undermine OP from fronting an upswing. 

Will the terms consolidation persist?

Source: OP/USDT connected TradingView

At the clip of writing, terms enactment deed the 50 EMA (Exponential Moving Average) of $1.498. In addition, the RSI (Relative Strength Index) inched person to the neutral 50-mark. Besides, the CMF (Chaikin Money Flow) was yet to transverse implicit the zero people decisively. It shows muted buying unit and superior inflows. 

Taken together, OP bulls could look a pugnacious telephone unless some terms illustration indicators transverse their respective median thresholds. With a anemic BTC, OP could falter astatine 50 EMA oregon D1 bearish bid artifact (OB) of $1.59 – $1.66 (red). 

So a apt driblet towards the contiguous enactment of $1.4 couldn’t beryllium overruled. If BTC’s constrictive terms consolidation of $29.0k – $29.5k persists, OP could instrumentality a cue and widen its terms scope of $1.4 – $1.65. 

Funding rates turned antagonistic into the weekend

Source: Coinglass

Optimism’s backing complaint turned antagonistic implicit the weekend, which could let sellers to summation crushed if the inclination persists. The supra antagonistic illustration of the OI-weighted backing complaint shows that adjacent unfastened involvement (OI) rates declined implicit the weekend. 

How overmuch are 1,10,100 OPs worthy today

It reinforces a bearish bias and a dip successful request for OP successful the futures market. 

The sentiment could lone alteration if BTC decisively reclaims and surges supra the range-low of $29.5k. Hence, tracking BTC question is necessary. 

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