Optimism’s OP price surged 26.80% as Kraken enabled Tether deposits on the network. Image by akif, Adobe Stock.
The recent price surge of the native Optimism token OP may be driven by Kraken’s launch of Tether (USDT) deposits and withdrawals on the Optimism network.
$USDT @tether_to deposits and withdrawals are now available on @optimismFND !
More info https://t.co/CLGZuoxa4L pic.twitter.com/b7pMVrFCiz
— Kraken Pro (@krakenpro) December 7, 2023
Kraken announced yesterday its support for USDT funding via Optimism, allowing users to now deposit and withdraw Tether to Kraken using the Optimism network.
The network leverages optimistic rollups to reduce congestion and fees compared to the Ethereum mainnet.
The timing of Kraken’s integration aligns with the 28.60% price jump seen in the OP price around the same time.
Analysts speculate that the ability to transfer USDT on Optimism may be driving increased use of DeFi protocols on the network, validating Optimism’s technology and boosting demand for the OP governance token.
As the first stablecoin launched in 2014, Tether intends to maintain a 1:1 peg to the US dollar to facilitate cryptocurrency transactions.
The integration with Optimism provides Tether holders a lower-cost option for accessing DeFi apps while still maintaining stability.
With OP price continuing to surge, the Kraken announcement seems to have kicked off a positive feedback loop for Optimism adoption.
Optimism OP Price Prediction and Technical Analysis
Source: TradingView / OPUSDT
After over a month of lackluster trading activity, the Optimism (OP) token staged a sharp rally yesterday, surging past the $2 psychological mark.
However, this breakout now faces a critical test as the OP price encounters stiff overhead resistance on its ascent.
The OP Price’s Exponential Moving Averages Indicate a Sustained Uptrend
The OP’s 20-day EMA currently stands at $1.799, which is above both the 50-day EMA of $1.665 and the 100-day EMA of $1.570.
This is generally seen as a bullish signal as the short-term average is higher than the long-term average, indicating an ongoing uptrend.
The OP price is also trading above these EMAs, signaling bullish sentiment among investors.
RSI and MACD: Momentum and Trend Confirmation
The RSI for OP is currently at 66.98, a slight decrease from yesterday’s 70.72.
Although the RSI has dipped, it remains in bullish territory (above 50), suggesting the buying pressure still outweighs the selling pressure.
The MACD histogram reads 0.029, an increase from yesterday’s 0.017.
A rising MACD indicates the bullish momentum is gaining strength, further confirming the ongoing uptrend in the OP price.
Volume, Market Cap, and Key Price Levels
OP’s market cap has seen an increase of 25.22%, raising to $1.9 billion, while its 24-hour trading volume is surging by 177.10% to $526.7 million.
This surge in trading volume and market cap is a positive sign, indicating increased investor interest and activity.
On the resistance side, OP faces a horizontal resistance zone of $2.167 to $2.235, coupled with the extended reverse fib -0.382 level of $2.190.
The selling pressure around this area has temporarily stalled the upward momentum.
On the downside, the OP price might retrace to the horizontal support zone of $2.016 to $2.068, which is in confluence with the extended reverse fib -0.236 level of $2.054.
A retest of the $2 psychological level could pave the way for the OP price to establish a new base before it continues its uptrend.
What Lies Ahead for the OP Price?
With OP maintaining above the $2 mark, the technical indicators suggest a bullish scenario.
However, the selling pressure around the resistance level warrants careful observation.
Traders and investors might want to keep an eye on the key resistance and support levels, as a breakout or breakdown from these levels could dictate the next direction for the OP price.
Although momentum shows signs of continuing, traders need to stay alert and make decisions using both technical indicators and news about the broader cryptocurrency market.
In the wider crypto space, projects like Meme Kombat are charting an inventive path forward as well. Meme Kombat combines memes and crypto gaming in its unique proposal.
Meme Kombat’s AI-Powered Battle Arena Raises Over $2.7 Million in Presale
The seemingly unstoppable rise of meme coins continues, as Meme Kombat, a new entrant in the meme coin space, has raised over $2.7 million so far and counting in its ongoing MK token presale.
Meme Kombat seeks to capitalize on the meme coin hype by creating an engaging platform that fuses memes with crypto gaming and betting features.
We passed $2.7 million, fighters!
What a great way to go into the weekend pic.twitter.com/gnOF0ze1Fs
— Meme Kombat (@Meme_Kombat) December 8, 2023
According to the project’s whitepaper, Meme Kombat will center around an AI-powered battle arena where popular meme characters like Doge, Pepe the Frog, and Wojak face off in play-to-earn matchups.
Users can place wagers on the bouts and earn MK, Meme Kombat’s native token, by accurately predicting match winners.
To encourage lasting participation, the platform also incorporates staking rewards enabling users to earn yields as high as 315% annually on their MK holdings.
Meme Kombat plans to structure its arena around seasons, with fresh characters, battle modes, rewards programs, and ways to earn MK regularly rolling out.
Along with player vs player duels, Meme Kombat will also eventually host player vs game modes where users can bet against the computer.
This unique blend of gaming, betting, and staking is designed to provide an enjoyable experience that taps into the expansion of GameFi.
GameFi converges gaming and decentralized finance, weaving in elements like crypto rewards and staking mechanisms into video games.
According to market research, the GameFi sector is forecasted to reach a $90 billion valuation by 2031, representing a massive 27.13% compound annual growth.
By integrating meme battles and staking, Meme Kombat is primed to ride the growing GameFi trend.
Crypto influencers like Austin Hilton have already promoted Meme Kombat’s presale to their extensive followers, sparking hype around the new meme coin.
Meanwhile, the impressive background of Meme Kombat’s founder, Matt Whiteman, has strengthened confidence in the project.
With presale momentum accelerating, Meme Kombat’s team intends to list the MK token on the leading decentralized exchange Uniswap once the presale concludes.
The Uniswap listing is expected to bolster liquidity and open up accessibility to MK for a wider swath of investors and gamers.
Members of Meme Kombat’s Telegram channel believe the eventual DEX listing could catalyze notable price appreciation as new buyers enter the mix, reinforcing MK’s status as a meme coin to closely monitor as its launch draws nearer.
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.
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