Optimism, Potential Choice For The Next Market Rallies?

$OP is one of the scaling layer 2 solutions for Ethereum. Optimism has impressed investors with the first airdrop and the pump x more than 4 times during the last July, August, 2022. So what is the reason that $OP will become one of the many choices for the portfolio, in next rallies? Let's find out with Holdstation through this article!

Recent Highlights of Optimism

Before getting to the reasons why $OP could be one of the potential picks for the portfolio of the next rallies, let's take a look at some of the recent highlights from Optimism.

The Second airdrop opportunity of investors

Optimism is currently attracting a lot of attention from investors and airdrop hunters, when the events about doing tasks to experience the ecosystem of Optimism have been launched continuously in the past time, received back a large amount of community involvement and attention.

According to the announcement of Optimism, about 10 million $OP will be distributed in the next airdrop that will take place in February, 2023. This has made users interested in Optimism look forward to the latest announcements about airdrop information from this layer 2 "giant" every day.

Optimism's Governance Fund Grants Season 3 Event

This is the program that Optimism's team has implemented to develop the Optimism ecosystem in both terms including: users and developers on its ecosystem.

-Building Commitee: Maximize the number of developers on the Optimism ecosystem.

-Growth Experiments Committee: Maximize the number of users of applications on Optimism ecosystem.

This will be the momentum of Optimism for the upcoming recoveries of the market, in order to bring strong cash flow into the ecosystem.

Reasons $OP could be a portfolio choice in the next rallies.

Successfully upgraded Optimism's Goerli Testnet to Bedrock

This morning (January 13), OP Labs announced the successfully upgrade Optimism's Goerli Testnet to Bedrock.

Bedrock is a new generation of decentralized Rollup architecture developed by OP Labs. This upgrade is co-operated by Optimism with parties such as: Alchemy, Ankr, Chainlink, Etherscan, etc. And is designed to reuse Ethereum's code and infrastructure as much as possible.

The most important thing about this Bedrock upgrade is that it will allow:

-Reduce transaction fees on Optimism

-Optimism can be combined with many different proof mechanisms including ZK (Technology being pursued by big players like ZKsync, Aleo, ...) without waiting for ZK technology to be deployed on Optimism. When ZK technology is ready, developers can use it for their projects.

-Make a two-step withdrawal for bridge assets. Users will be able to self-monitor for bad behavior, making bridge asset withdrawals safer.

With the upgrade Bedrock Optimism not only attracts users and project developers by reducing transaction fees but also upgrading technology. This is also the way Optimism is doing to make money flowing into the ecosystem.

Outstanding data statistics

To have a closer look at the growth of money flowing into the Optimism ecosystem as well as attracting users to join the Optimism ecosystem. Let's take a look at the following metric with Holdstation:

The number of transactions and users on Optimism has grown strongly

Although the past 2022 has seen the number of players leaving the crypto market due to the prolonged gloom of the general economic post-covid era. However, the statistics recorded on Optimism show that the number of unique users (actual users) and the number of transactions on Optimism have not decreased but even grown rapidly.

This shows how strong the ecosystem of Optimism has attracted cash flow and users despite the downtrend market. If the market recovers, surely these statistics will be much larger.

Optimism's TVL compared to other tops layer 2

Although the whole year of 2022 is extremely difficult and volatile. However, Optimism has proven itself to be more than just a temporary emerging ecosystem, as the ecosystem's TVL has grown tremendously in the past 6 months. At its peak, Optimism's TVL reached $1.15 billion, closely chasing Polygon.

Contributing to the development of Optimism's TVL is a large amount of cash flow, accounting for more than 18% of TVL poured into Synthetix. A derivatives trading platform with a wide range of trading products from crypto to forex attracts a large number of users.

Price line of $OP compared to other layer 2 tops

At the time of writing the price of $OP is trading at $1.50 which is the same as the price listed on Binance as of June 1, 2o22. If you work on Layer 2 like $ETH and $MATIC, the price of $OP in the past 6 months has grown far ahead of the other 2 competitors. Shows the ability to grow and cash flow to $OP compared to the remaining layer 2 competitors is superior.

Conclusion

Investors could consider adding $OP to their personal investment watchlist with what $OP has shown. Investors can consider the adjustment of the general market as well as the price of $OP, to buy at good and reasonable price zone.

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Disclaimer:
The information, statements and conjecture contained in this article, including opinions expressed, are based on information sources that Holdstation believes those are reliable. The opinions expressed in this article are personal opinions expressed after careful consideration and based on the best information we have at the writing's time. This article is not and should not be explained as an offer or solicitation to buy/sell any tokens/NFTs.
Holdstation is not responsible for any direct or indirect losses arising from the use of this article content.