The popular Layer-2 network Optimism experienced an increase in NFT trading activities on July 23. On that day, NFT sales volume reached a monthly high of $547,000. According to Santiment’s data, Optimism recorded a single-day NFT sales volume of $547,000 on July 23. This represented a 475% increase compared to the previous day’s NFT sales volume of $95,040.
What is Happening on the Optimism Front?
The sudden increase in NFT trading activity on the Layer-2 network occurred amid a recent rise in user demand. There has been a gradual increase in demand for Layer-2 networks ahead of the final approval of spot Ethereum ETF funds.
On-chain data reveals an increase in the daily number of unique addresses involved in at least one transaction on Optimism. The number of transactions completed daily also increased due to the rise in unique addresses within the ecosystem.
In addition to the rise in NFTs, another area of growth in the Optimism ecosystem occurred in decentralized finance (DeFi). With the help of the broader market recovery over the past few weeks, the value of assets locked across the network (TVL) increased by 15% over the last 30 days. Additionally, the volume of transactions completed daily on decentralized exchanges (DEXs) within the Layer-2 network also increased. According to Artemis’ data, this rate increased by 17% over the past seven days.
The combined increase in Optimism’s NFT sales volume and DeFi TVL and DEX volume indicates a significant rise in overall network activity. This has been a positive indicator of the network’s growth and adoption, especially with the launch of spot Ethereum ETF funds.
OP Chart Analysis
At the time of writing, OP is trading at $1.86. The increase in user demand for Optimism over the past month has affected the token price, which has risen by 10% over the last 30 days. The Aroon Up Line, evaluated on the daily chart, confirmed the likelihood of the uptrend continuing. At the time of writing, the indicator’s value was recorded at 85.71%.
An asset’s Aroon Indicator tracks price trends and identifies potential price reversal points. A value close to 100 indicates a strong uptrend and that the most recent high was reached relatively recently. If OP’s value continues to rise, it could trade above the $1.90 price level. However, if the current uptrend weakens, the bullish thesis above will be invalid, and the token price could fall to $1.60.
