Aaryamann Shrivastava
FXStreet
- Optimism price noted a nearly 10% increase over the past day, attempting to breach the 200-day Exponential Moving Average (EMA).
- Despite being unsuccessful, the price marked a two-month high, translating to profits for the addresses that bought their tokens in the past 30 days.
- Unless OP declines going forward, about 120 million OP purchased by 38k addresses is enjoying 43% profits.
Optimism price has been performing better than most of the altcoins in the market for the past two weeks of the month. Even though the impact has not been significant enough to yield excessive gains for investors, a particular cohort is enjoying much more profits than they could have anticipated.
Optimism price tests multi-month resistance
Optimism price trading at $1.567 at the time of writing has risen by almost 10% in the last 24 hours. The altcoin even tested the 200-day Exponential Moving Average (EMA) during the intra-day high marked at $1.661. However, OP bulls failed to breach it for the second time in a week.
OP/USD 1-day chart
Regardless, it did not disappoint investors or at least a portion of them who purchased their supply in the last 30 days. These addresses, known as Cruisers or mid-term holders, have been holding onto their OP tokens for the past month, and it's safe to say that they have made their fair share of profits.
About 38k addresses bought more than 120 million OP tokens worth $187 million since June 20, which has grown to become profitable. Since June 20, Optimism price has increased by more than 43%, translating to similar gains for the investors that bought their supply back then.
Optimism mid-term holders supply
However, it is important to note that these gains are not concrete as the altcoin is unable to flip the 200-day EMA into a support floor. Additionally, the Relative Strength Index (RSI) is also inching closer to the overbought zone above the 70.0 mark. This zone is synonymous with corrections, and once OP breaches into the same, it could begin declining.
Thus investors looking to jump onto the profit wagon out of FOMO are better off holding off until the green candlesticks sustain, and Optimism price finds some solid support.
Like this article? Help us with some feedback by answering this survey:
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended Content
Editors’ Picks
Celebrity meme coins controversy continues amid Pump.fun revenue dominance
Pump.fun outperformed the Ethereum blockchain on Tuesday after raking in $1.99 million. Following this achievement, a meme coin based on actress Sydney Sweeney was the subject of controversy after its developers dumped their bags on investors.
PEPE's on-chain metrics indicate potential rally after weeks of silence
PEPE has struggled to see any significant price move after reaching an all-time high in May. Increased adoption rate and low MVRV ratio indicate a bullish run may be on the horizon. A single PEPE outflow from Binance worth $14.7 million gives credence to signs of bullish expectation.
Ethereum has failed to overcome key resistance despite bullish sentiment surrounding ETH ETF
Ethereum (ETH) is down more than 1.4% on Tuesday following another ETH sale from the Ethereum Foundation. Meanwhile, crypto exchange Gemini's recent report reveals that ETH ETF could see about $5 billion in net inflows within six months of launch.
Crypto community blasts Polkadot following report of treasury spending
Polkadot reports $87 million of treasury spending during H1. Crypto community members expressed harsh feelings toward the DOT team's high spending. DOT is up more than 2% in the past 24 hours but risks correction following the report.
Bitcoin: BTC price correction could end in July, according to seasonal data
Bitcoin (BTC) price appears poised for a decline this week, influenced by slight outflows in US spot ETFs, selling activity among BTC miners, and a combined transfer of 4,690.28 BTC to centralized exchanges by the US and German governments.