- Optimism token OP rose 16% after Coinbase announced the launch of its L2 platform on OP stack.
- OP price hit highs of $3.10 on Coinbase, not far from its all-time high of $3.19.
- Gains for the OP token paled in comparison to the staggering 250% spike for BASE, a token unrelated to Coinbase’s L2 Base.
Optimism price surged double digits on Thursday after cryptocurrency exchange Coinbase announced it had launched Base, an Ethereum Layer-2 network.
Like Arbitrum, Optimism is a L2 network that uses Optimistic Rollups to increase transaction speed and reduce gas fees. Its scalable blockchain is one of the top chains in the Ethereum ecosystem.
Optimism price surges 16% on Coinbase news
Sentiment across the OP community flipped bullish as reaction to Coinbase news pushed OP token higher.
According to Coinbase, Base will offer “a secure, low-cost and developer-friendly” platform for people to create, deploy or interact with decentralized apps. The project’s goal is to onboard the next 1 billion or more people into the crypto space, the digital asset platform noted.
Base is built on Optimism’s OP stack, Coinbase announced.
While the news saw another unrelated cryptocurrency called Base Protocol spike more than 250% amid speculation, the price of Optimism also jumped. However, the native token OP did not rip as much as BASE did, with its price soaring roughly 16% on Coinbase.
OP surged to above $3.00 on most major exchanges that support the cryptocurrency, including $3.10 on Coinbase.
OP/USD price chart on Coinbase. Source: TradingView
Market activity was also up, with data from CoinGecko showing trading volume rose nearly 90% in the past 24 hours to over $733 million. Alongside the spike in buyside volume is the bullish flip of the relative strength index, which is upturned to suggest bulls are in control.
Optimism price reached its all-time high of $3.19 in early February this year, and with a positive technical outlook in place, it’s likely OP/USD could go on to hit a new ATH.
Crypto trader and analyst HornHairs says this is likely if Bitcoin and Ethereum prices break above key resistance zones.
$OP daily RSI reset at 50 and reclaimed bullish MS… chain to benefit the most from Coinbase announcement… ATH looks likely.
If BTC and ETH can break these massive resistance levels I expect it to continue to lead. pic.twitter.com/rTlLy0nJXZ
— HornHairs 🌊 (@CryptoHornHairs) February 23, 2023