Disclaimer: The data offered doesn’t represent monetary, funding, buying and selling, or different forms of recommendation and is solely the author’s opinion
- OP’s pullback steadied at round $1.18.
- Sellers had the higher hand regardless of the constructive funding charges.
Optimism [OP] struggled to cross above $1.45 since September. It plunged even additional in October as sellers exploited the bearish stress however steadied close to $1.18 at press time.
Learn Optimism [OP] Value Prediction 2023-24
In the meantime, Bitcoin [BTC] fronted a shock upswing from Sunday (16 October) and recovered many of the current losses. OP took a cue from BTC and registered a bounce however confronted an overhead roadblock above $1.25.
Will sellers exploit the overhead hurdle?
Supply: DOT/USDT on TradingView
At press time, OP’s increased timeframe market construction bias was bearish. Value motion was beneath the current decrease excessive of $1.21. Apparently, the decrease excessive coincided with an H12 bearish order block OB of $1.26 – $1.285 (white).
The opposite two essential hurdles above the speedy resistance are $1.349 and a each day breaker block of $1.40 – $1.46 (crimson).
The bearish market construction bias may make sellers exploit the speedy hurdle of $1.26 – $1.285 (white). If that’s the case, OP sellers may gain advantage from a 5% shorting acquire if the value retests $1.18.
A transfer past the overhead impediment will probably be an invalidation of the above bullish bias.
In the meantime, there was delicate shopping for stress, as indicated by the uptick within the Relative Power Index (RSI) at press time. However capital inflows into the Layer-2 native token declined in October, as proven by the southward motion of the Chaikin Cash Movement (CMF).
Optimism sellers maintained market management
Supply: Coinalyze
How a lot are 1,10,100 OPs value at the moment?
Since 8 October, demand for OP within the Futures market has declined and underscored a unfavorable sentiment, as demonstrated by dropping Open Curiosity (OI) charges.
The weakening Futures market demand tipped sellers to realize extra market leverage over the identical interval, as illustrated by the downsloping Cumulative Quantity Delta (CVD).
Nonetheless, the Funding Charges have been constructive previously few hours, denoting market sentiment improved at press time. The bearish bias will probably be invalidated if value motion surges above $1.288 and flips the upper timeframe’s market construction to bullish.