The crypto space continues to trade within a narrow range after the recent downfall, with the Bitcoin price stuck around $26,000. Alongside it, the other high-cap tokens are also flashing bearish signals as the bulls fail to utilize their strength. Amid the bearish chaos, a popular altcoin has managed to gain the attention of whales and sharks, indicating the possibility of huge price action very soon.
Optimism, one of the top layer-2 optimistic rollup networks designed to strengthen the Ethereum network, is about to undergo a huge change. Despite the recent pullback, the price held the crucial ascending trend, which has been acting as strong support since the beginning. The price, which has triggered a healthy rebound from the lows, has risen by nearly 28% while other cryptos faced a bearish pullback.
The trend continues to remain towards the north, with the RSI heading towards overbought levels. This may assist the price to trigger a healthy upswing for the OP price, which may retest the yearly highs at $1.8 and rise high to form a new one beyond $2. The price has faced multiple rejections at the resistance level of $1.8, and hence the bulls appear to be poised to rise and clear these levels. The buying pressure has also risen, which could offer bulls the required strength to maintain a decent upswing.
On the other hand, the whales and sharks have become more lenient on crypto as they continue to intensify their accumulation. As per the data from Santiment, the whale and shark addresses holding tokens ranging from 100K to 10M now hold tokens worth $781.9 million. Besides, the daily active address of the network has also seen a huge spike to 22.9K, which is the 5th highest in 2023.
Collectively, the layer-2 tokens on Ethereum have gained immense attention ever since the network underwent a massive transformation from PoW to PoS in 2022. However, the other layer-2 tokens continue to remain resilient, while Optimism appears to be preparing for a huge breakout.
Will rise in the OP price lead to a change in the crypto space? Will altcoins gain momentum? We need just wait and watch and manage risks wisely.
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