Optimism surges 38.6% on the back of buying pressure, but…

Disclaimer: The data offered doesn’t represent monetary, funding, buying and selling, or different sorts of recommendation and is solely the author’s opinion.

• Optimism noticed heavy shopping for stress that noticed costs skyrocket.
• The sellers weren’t but dominant, though they may power a pullback towards $1.2.

Measured from the low of Monday 19 June, Optimism [OP] posted beneficial properties of near 40% throughout the following 48 hours. This rally was borne by enthusiastic consumers and the demand has not weakened significantly but.

How a lot are 1,10,100 OPs price as we speak?

Bitcoin [BTC] additionally has a bullish outlook on the charts, which may positively have an effect on the altcoin markets. There was additionally the potential for a pullback for the OP token value if a decrease timeframe assist stage gave means.

Optimism faces rejection from $1.5 – deeper pullback may start

Supply: OP/USDT on TradingView

The H4 market construction was firmly bullish. On 13 June, Optimism posted a decrease excessive at $1.2. Per week later, on 20 June, the bulls breached this stage and revealed their intent.

Thereafter, the OBV and buying and selling quantity additionally rocketed larger alongside costs. This confirmed heavy demand and a agency short-term uptrend. An examination of the every day timeframe chart confirmed that the $1.48, $1.55 and $1.67 ranges are essential resistances to observe.

Optimism has already confronted rejection on the $1.48 stage, and one other try to breach it faltered at $1.45. This noticed costs descend to the $1.34 short-term assist at press time.

Though the RSI neared the impartial 50 stage, the OBV didn’t see a pointy drop but. Therefore, the pullback may not morph right into a downtrend, as promoting stress was not but dominant.

Speculators had been shedding their bullish outlook

Supply: Coinalyze

The worth motion of OP on the 1-hour chart over the previous two days has slowly shifted downward. The rejection at $1.48 compelled costs again to $1.345. Throughout this time, Open Curiosity declined, exhibiting short-term bearish sentiment.

Practical or not, right here’s OP’s market cap in BTC’s phrases

The spot CVD additionally trended downward through the rejection to focus on promoting stress on the decrease timeframes. Subsequently, whereas the H4 chart remained bullish, a drop to the $1.345 assist or additional south couldn’t be dominated out.

Within the occasion of one other leg downward, a retest of the $1.2 assist zone may supply a shopping for alternative.