Should Optimism [OP] holders rejoice with Ethereum’s Merge coming up
Optimism’s OP was not left behind as the remainder of the market registered double-digit value upticks over the previous week. The truth is, in line with CoinMarketCap, the value of the Layer 2 (L2) token rallied by 16% over the past seven days.
Designed as an optimistic rollup community to reinforce the scalability of the Ethereum Chain, Optimism ranks second as probably the most used L2 resolution supplier. It’s behind Arbitrum with a complete worth locked of $1.60 billion.
In a Twitter thread shared on 8 September, Optimism confirmed that the transition of the Ethereum Community to a PoS consensus mechanism wouldn’t have an effect on its operations, and deposits & withdrawals on the community will proceed to “work as standard.” It additional added that upon the completion of the merge, its transaction knowledge and state roots can be posted to the PoS chain. Additionally, its nodes would proceed to “learn knowledge from the post-Merge chain.”
OP-timistic traders
On the time of writing, 1 OP token was obtainable for $1.37. Over the previous week, buying and selling quantity for the cryptocurrency asset grew by 109% on the charts.
Higher liquidity was additionally pushed into the OP market throughout the interval below assessment as key indicators rose above their respective impartial positions. At press time, the Cash Circulate Index was 62. The asset’s Relative Power Index was additionally positioned at 54. The dynamic line of the Chaikin’s Cash Circulate was pegged at 0.02, above the 0.0 middle line indicating progress in shopping for stress.
Supply: TradingView
On-chain efficiency
With the proposed launch of Optimism’s EIP-4844 and Optimism Bedrock forward of the Ethereum Merge, it’s no shock that growth exercise on the community has grown over the previous few months. Based on Santiment, this has seen a 23% hike within the final 180 days.
With an expectation of appreciable progress within the value of the L2 token post-merge, whales have regularly elevated their OP holdings too. In consequence, addresses holding between 1,000,000 to 10,000,000 OP tokens stood at 3.14% of all addresses holding the crypto-asset.
4 months in the past, this was 2.86%.
Supply: Santiment
With the L2 ecosystem changing into more and more aggressive, Optimism’s day by day income has declined steadily within the final 180 days. Based on knowledge from Token Terminal, day by day income on the community has dropped by 29% within the final 180 days, 76% within the final 90 days, and 26% prior to now 30 days.
The truth is, in comparison with different L2 resolution suppliers similar to dYdX and Loopring, Optimism’s day by day income has been probably the most inconsistent over the past 30 days.
Supply: Token Terminal
L2s post-merge
On the affect of the Ethereum Merge of L2 resolution suppliers, many business specialists consider that L2s will proceed to operate as standard. In a latest interview, for example, the CTO of Bitfinex Paolo Ardoino opined that “It is going to be enterprise as standard for L2s.”
Based on Anton Gulin, World Enterprise Director at AAX Alternate, with the Merge, “the remainder of the L2s would both adapt or seize to exist.”
