- Optimism community development declined previously month, new customers present much less curiosity
- OP token costs had been doing comparatively properly, however future development is unsure.
Layer 2 options have seen quite a lot of development of their respective areas, however the competitors inside this sector has elevated tremendously. With Arbitrum [ARB] set to launch its native token, there’s a chance that every one the eye shall be diverted from different L2 options, corresponding to Optimism [OP].
Learn Optimism’s [OP] Value Prediction 2023-2024
Optimism continues to attempt
Regardless of the hype surrounding the launch of the ARB token, the variety of distinctive addresses on the Optimism community has continued to rise.
✨🔴#Optimism distinctive customers are exploding in parabolic means 📈@optimismFND going super-chain is across the nook and no person is aware of how excessive this will attain 👀 🤔#Layer2 #L2 $OP $ETH pic.twitter.com/PrFCBMEeaD
— Optimism Hub (✨🔴_🔴✨) (@OptimismHub) March 20, 2023
This means that Optimism remains to be in a position to entice new customers to the protocol, regardless of incentives just like the Optimism Quests NFTs now not being obtainable to new customers. It might be because of the customers recognizing some great benefits of the Optimism community over its rivals, corresponding to its low charges and sooner transactions.
Nevertheless, fuel utilization on the community has fallen, indicating that regardless of the excessive variety of customers, the general exercise on the community has decreased.
Supply: Dune Analytics
This has resulted in a decline within the total charges collected on the protocol. The income generated by the protocol decreased by 32.7% within the final 24 hours, in accordance with Token Terminal.
This drop in income might be a priority for the platform, particularly as competitors continues to rise.
Supply: token terminal
State of the OP token
Even with the decline in exercise and income generated, the OP token’s costs had been doing comparatively properly. After the OP token dropped, its value fell by 80% within the subsequent 18 days, however since then has recovered. It has surged by 154% within the final 3 months and was buying and selling at $2.53 as of this writing.
Reasonable or not, right here’s OP’s market cap in BTC’s phrases:
Nevertheless, issues could go south for OP holders sooner or later. Its community development declined over the previous month, indicating that new customers had been disinterested within the OP token.
OP’s velocity fell throughout this era as properly, implying that the frequency with which OP was being traded has decreased.
Supply: Santiment