Renowned cryptocurrency analyst World of Charts has recently published his views in an X post saying that Optimism (OP) is now drawing an interesting portrait on the market charts. As per the latest post by the analyst on X, it seems that Optimism has done a healthy pullback and hence a possible trendline breakout is in store for it.
Optimism, a layer-two blockchain solution, which promise to improve the scalability and transaction speeds of Ethereum, has been in a focus of both traders and analysts. The analysis of World of the Chart points out that after a corrective phase, OP is preparing for a large upward moment. The expert indicates that an attempted breakout of its current trendline could fuel a buying spree that would see it reach as high as $5 in the next few days.
Analyzing Optimism (OP) Potential Breakout
The analysis by World of Chart is based on different technical indicators that suggest the end of the correction period of OP. These parameters are very important to those traders, who use chart patterns to take relevant actions on their holdings. The breakout expectation emanates from the recent behavior of the asset, which is consistent with the recovery patterns commonly seen in other cryptocurrencies following a correction.
At present, OP is trading at $2.64 occurring with a noteworthy rise of 15.44% in the last 24 hours and an extra 5.95% gain in a week. The asset has also been subjected to a high rate of trading with the recorded 24-hour trade volume of $424,139,772. This positive evolution in the price and volume states the increasing interest and optimism among the trading community regarding OP’s market direction.
The possibility of reaching the $5 point is quite an increase from the current prices and in such movements, investors would be interested. As Optimism goes further in creating and providing solutions which potentially could reduce transaction costs and increase in Ethereum throughput, the value of its token may grow accordingly.
OP’s price movements are being watched by investors and market observers. A breakout above the trendline could support the bullish thesis formulated by analyst and establish a new price path for the digital asset. But like with any other investment in this volatile cryptocurrency market, any potential investor should be very careful and weigh all the market dynamics.
The next days are very important period for Optimism as it challenges these technical levels. In the event of a breakout the token’s performance could potentially reach a certain milestone in 2023, say even align itself with certain bullish projections of the market.