Metamask gives OP holders a few reasons to be Optimistic this crypto winter

• Metamask allows assist for L2 options like Optimism, which might improve Optimism’s adoption.
• The variety of transacting addresses on Optimism grows, nevertheless, token holders nonetheless stay largely unprofitable.

Metamask, a extensively used cryptocurrency pockets, just lately announced that it will be including assist for L2 options like Optimism. This transfer might assist improve layer 2 adoption and convey extra customers to the Optimism protocol.

A purpose to be Optimistic

One of many causes for the expansion in Optimism’s adoption might be as a result of the truth that customers will have the ability to entry Optimism by means of their telephones.

Nevertheless, even earlier than this replace was introduced, the variety of lively transacting addresses on the Optimism community was already on the rise.

The metric elevated from 22,000 to 79,000 within the span of three months. Now, it’s anticipated that this determine might attain new heights on account of Metamask’s current replace.

Supply: Dune Analytics

Another excuse for the rising variety of transactions on the Optimism community might be the sudden surge in stablecoin transactions. In line with knowledge supplied by Santiment, USDT and USDC transactions on the Optimism protocol witnessed an enormous spike over the previous few days. 

Supply: Santiment

Not solely did Optimism appeal to customers to its protocol, however it additionally managed to retain a big portion of those customers.

Primarily based on the data supplied by Dune Analytics, the weekly retention price for customers grew over the previous few months. At press time, the weekly retention price of transacting addresses was 33%. This meant that Optimism was in a position to retain 33% of addresses that have been new to utilizing the protocol each week.

Supply: Dune Analytics

Nevertheless, Optimism’s development on its protocol didn’t translate to the success of OP’s on-chain metrics.

A 715.89x hike on the playing cards if OP hits ETH’s market cap?

On the time of writing, it was noticed that Optimism’s community development had declined considerably over the previous few days. This urged the variety of new addresses that transferred OP for the primary time had decreased.

The rationale behind the decline might be Optimism’s low MVRV ratio. A unfavorable MVRV ratio implied that the majority OP buyers would incur losses in the event that they offered their holdings on the present value.

This was additionally evidenced by the decline in transaction quantity. Nicely, these developments urged that the majority OP holders have been keen to carry on to their tokens and wait for his or her transactions to be worthwhile.

Supply: Santiment