According to recent reports, Optimism, an Ethereum Layer-2 platform, has attracted the attention of venture capital powerhouse Andreessen Horowitz (a16z), which has acquired an astounding $90 million worth of OP tokens. The price of Optimism (OP) has increased by 13.5% over the past day, defying the general market decline. It is presently trading at $2.65, with a market capitalization of $2.77 billion.
a16z Covertly Captures Positive Icons
It’s interesting to remember that on March 7 of last month, the Optimism Foundation declared that it had sold 19.5 million OP tokens—worth around $90 million—to an unidentified buyer. A portion of OP’s initial treasury, equal to thirty percent, was used to purchase these tokens for the foundation’s first operational budget.
Following the a16z’s purchase of OP tokens, which was reportedly made under a two-year vesting period according to sources familiar with the situation who spoke with Unchained, there has been a period of robust ecosystem development. This development has included a significant increase in the use of Optimism’s OP Stack.
In comparison to the token’s current trading price, investors that participate in token vesting periods frequently obtain discounted purchasing.
OP Stack, a product by Optimism, provides Layer 2 blockchain developers with the ability to use its open-source technology for mainnet deployment. When the Celo blockchain’s creators chose OP Stack to introduce the much-anticipated Layer 2 solution for the blockchain, Optimism recently reached a major milestone.
One of the sources commented on the development, saying: “It’s interesting.” It’s done fairly well, optimism. Airdrops are still being conducted.
An Ethereum Layer-2 platform spokesperson expressed excitement about Optimism’s growing momentum and positive future, but did not mention a16z’s involvement.
It’s interesting to note that a16z has an investment in Coinbase, a cryptocurrency exchange that operates Base, a Layer-2 solution. Potential competitors Base and Optimism are drawing big cryptocurrency projects to use their tech stacks.
OP Price Increase to Go On
Strong interest in Optimism tokens has been sparked by the report that venture capital company A16z has purchased tokens. Notwithstanding the general market sell-off, the OP price has increased by nearly 13%, and trading volumes have increased over 90% to $548 million.
The OP found strong support near the $2 psychological barrier after the most recent Bitcoin halving event, creating a local bottom. This support sparked a bullish reversal that propelled the asset to its current trading price of $2.63, a 45% gain in just two weeks.
The coin price is currently hinting at a possible breakthrough from the trendline above. A movement in the dynamics of the market favoring buyers would be indicated by a daily candle closing above this resistance trendline. Following the breakout, the Optimism coin may rise to $3.4, $4, and $4.78 as possible goals.
