Optimism (OP) price has become a hot topic once again as the network prepares for the major mainnet upgrade. OP crypto price started 2023 very strong as the coin rallied 250% in the first two months. However, the price had a massive pullback as the BTC price failed to break above $30,000.
Currently, OP crypto is trading at $1.43, which is 56.7% below its yearly high. On Friday, the price had a bounce after days of negative price action. Till press time, the coin was up 3.24% as the BTC price broke above $27,000 once again. The latest analysis shows that Optimism may rebound very soon.
According to the most recent Optimism news, the network is expected to experience a major mainnet upgrade to Bedrock on June 6, 2023. As per the team, the Bedrock upgrade will bring a 47% reduction in protocol costs and security fees to Optimism Mainnet. Optimism price is expected to react positively to the upgrade.
On the day of the upgrade, the transactions, deposits, and withdrawals will not be available on the Optimism network. Optimism is a layer 2 scaling solution that leverages Optimistic roll-ups to offload transactions from Ethereum. OP is the native asset of the network which can be used to pay for fees.
The following OP crypto chart shows that the price has broken below the key support level of $1.57. This has resulted in the formation of a bearish market structure. However, the relative strength index (RSI) and the money flow index (MFI) show bullish divergences.
Optimism price prediction will flip very bullish if it reclaims the $1.57 level on the daily timeframe. This may trigger a retest of the $1.85, where lies the 200-day moving average. Such a move is likely in the coming days due to the upgrade hype.
I’ll keep sharing my updated outlook on Optimism crypto in my free Telegram group, which you’re welcome to join.
This post was last modified on Jun 02, 2023, 18:37 BST 18:37