Leading layer-2 scaling solution Optimism has experienced a strong week’s performance on the market, with OP price rocketing up +26.8% – leaving some side-lined traders asking ‘Is It Too Late To Buy Optimism?’.
Markets have been invigorated by the explosive upside move by OP price, however, sentiment amongst prominent traders on Crypto Twitter (X) appears to be shifting – with increased numbers of calls for a retracement move.
$OP entered my zone , I’ll try to short #OP around here. pic.twitter.com/zuBxOb1ryA
— CryptoMoneyKing (@CryptoMoneyKing) December 22, 2023
OP Price Analysis: As Optimism Hammers Up – Is a Retracement Coming or Is It Too Late to Buy Optimism?
As OP pushes into the upper echelons of the breakout channel, Optimism is currently trading at a market price of $2.95 (representing a 24-hour change of +17.14%).
This following a major +36% break-out over the past 48-hours, triggered by a 6-day panhandled consolidation above lower support at $2.10.
With price now seeking to retrace, multiple new lower supports have emerged, with likely downside footholds at $2.75 and $2.5.
Indeed, with OP price shifting away from the 20DMA amid the dramatic upside move, a healthy retracement would return Optimism to crucial moving average support.
The RSI reflects this need for retracement, with a severely over-heated signal at 74.54 – suggesting OP price is overbought at current levels.
However, this is conflicting in momentum on the MACD, which continues to display bullish divergence at 0.050.
Overall, OP price looks strong but over-extended here, with a retracement likely to come before any further upside movements.
This leaves OP price with an upside target at $3.35 (a potential +9%).
While downside risk could see OP price slump to $2.5 (a possible -16.92%).
Optimism’s current risk: reward proposition therefore stands at 0.53, a bad entry characterized by retracement risk – suggesting it is too late to buy.
But while OP offers an unalluring opportunity, a major opportunity emerges in the launch of Sponge V2.
Sponge V2 Launch ($SPONGEV2): A New Era in Meme Coin Evolution – Poised To Outperform OP Price?
Sponge V2, the latest iteration of the renowned Sponge ($SPONGE) meme coin, is making waves in the cryptocurrency market.
Following the phenomenal success of Sponge V1, which peaked at nearly $100 million in market cap and amassed over 13,000 holders, Sponge V2 arrives with promising innovations and opportunities for investors.
How to Acquire Sponge V2?
Acquiring Sponge V2 is unique:
Stake Sponge V1: Buy and stake V1 tokens via Sponge.vip or stake your existing V1 tokens.
Earn More V2: The longer and more V1 tokens you stake, the more V2 tokens you earn.
Read more: Best Crypto to Invest In 2024
Staking Mechanics and P2E Integration
Sponge V2 introduces Play-to-Earn (P2E) utility, enhancing its ecosystem.
Stake your V1 tokens to earn V2, and engage in the upcoming P2E game to earn additional $SPONGEV2 tokens.
This P2E game, a new utility in the Sponge ecosystem, will feature both free and paid versions for enhanced gaming and earning experiences.
Unique Aspects of Sponge V2 Over AVAXINU
Exclusive Access: Earn $SPONGEV2 exclusively through $SPONGE staking.
Bonus Rewards: Buying and staking $SPONGE offers special $SPONGEV2 bonuses.
Passive Earnings: Staked $SPONGE tokens yield passive rewards, starting at a minimum 40% APY.
Permanent Transition: Staked V1 tokens will be permanently locked, focusing on V2 post-launch.
Roadmap and Future Prospects
Sponge V2’s roadmap is ambitious, targeting 10,000 holders, Tier 1 CEX listings, and a $100M market cap.
The launch stages include the Sponge game’s development and the Sponge V2 claim and listing.
Sponge V2 is not just a sequel to its predecessor; it’s a reinvention with a focus on utility and community engagement.
The integration of P2E and exclusive staking mechanisms make it a standout project in the meme coin domain.
Stay updated on Sponge V2’s journey through social channels and witness its growth in the crypto world.
Disclaimer: Crypto is a high-risk asset class. This article is provided for informational purposes and does not constitute investment advice. You could lose all of your capital.
The post Is It Too Late to Buy Optimism? OP Price Rockets Up 26.8% as the Latest Meme Coin Prepares to Launch appeared first on Cryptonews.
