Optimism

On March 2, Messari released a study contrasting Arbitrum and Optimism [OP]. According to the research, Optimism focused on giving consumers incentives to meet its 3-million unique user milestone over the course of the previous year, whereas Arbitrum may have depended on organic growth.According to the research, both Arbitrum and Optimism kept 35–45% of new users in the near term, with Optimism keeping a greater share of its long-term user base. Both the short- and long-term retention rates are essential measurements, although the latter is more critical to comprehend the worth of a blockchain.Moreover, Optimism&#39;s long-term retention was significantly greater than Arbtrum&#39;s, indicating that more people trust the L2 blockchain. It&#39;s interesting to note that while OP&#39;s retention rate increased, Token Terminal&#39;s statistics showed that the blockchain&#39;s fees stayed the same. During the past 30 days, OP&#39;s network expenses and income have both grown, which suggests higher usage.As the blockchain gets closer to the date of the much anticipated Bedrock update, more growth in the Optimist network is to be anticipated. The new update will significantly lower mainnet use prices when it launches in March. While the aforementioned data indicated great network performance, Optimism&#39;s native token had cause for fear because its price had dropped by more than 17% during the previous week. OP was trading at $2.56 with a market value of more than $805 million at the time of writing, down 5.5% in the past 24 hours alone, according to CoinMarketCap.OP&#39;s MVRV Ratio saw a significant drop, which may be ascribed to the token&#39;s price collapse. Another warning indication was a decrease in the network&#39;s recent development activities. According to its social volume, OP&#39;s social media performance also declined.A daily chart of OP showed the emergence of an ascending triangle pattern, which is often a bullish indicator. In this instance, however, the opposite was true as OP&#39;s price fell. The bears were also encouraged by other market indications.The Relative Strength Index (RSI), for instance, showed a decline. The Chaikin Money Flow (CMF), a bearish indication, exhibited the same behavior. The 20-day exponential moving average (EMA) was safely above the 55-day EMA, therefore OP&#39;s Exponential Moving Average (EMA) Ribbon was still optimistic.

Optimism [OP] Overtakes Arbitrum, But What’s Troubling Investors?

ItsBitcoinWorld

Other articles published on Mar 4, 2023

Galaxy Tips Bitcoin NFT Market to Hit $4.5B by 2025

Kounotori Token Launches Public Alpha Testing of its Centralised Exchange

JUST IN: US Crypto adoption lagging behind other countries, says Ripple CEO

Bitcoin Price and Ethereum Prediction: Choppy Sessions Continue, Will There be a Weekend Breakout?

24 Hrs Crypto Update, March 2: Global Cryptocurrency Market is undergoing a Bloodbath

U.S. Judge Challenges SEC's Objection to Voyager-Binance.US Deal

Join our free newsletter for daily crypto updates!