Here’s What’s Next for These Popular Layer-2 Tokens as RWA & MEMES Lead the Market

The post Here’s What’s Next for These Popular Layer-2 Tokens as RWA & MEMES Lead the Market appeared first on Coinpedia Fintech News

The launch of the spot ETH ETF was expected to be a positive development for Ethereum and Ethereum-based tokens. Furthermore, the entire crypto market was expected to experience a significant boost, but the outcome was quite different. This caused the layer-1 & layer-2 tokens to remain consolidated within a narrow range without exhibiting the required strength. Here is what’s next for the Polygon (MATIC), Arbitrum (ARB), and Optimism (OP) prices during the second fortnight of the month.  

Polygon (MATIC) 

• The weekly chart of MATIC price suggests the price has approached the end of the consolidation and hence a major breakout may occur anytime from now.

• The price broke the ascending trend line but has held firmly within the descending parallel channel and is heading to test the lower support

• Besides, the Bollinger bands have begun to squeeze, suggesting a massive drop in volatility, which may result in a massive breakout soon

• However, the RSI has reached a lower level and is about to trigger a bullish rebound, validating a rise from the bearish captivity and reclaiming levels above $1

Arbitrum (ARB) 

• Similar to the MATIC price rally, the Arbitrum price seems to have reached the apex of a bearish consolidation, which may result in a bullish breakout 

• On-balance volume has fallen to its lowest level, which indicates the end of the accumulation phase within a descending trend is on the horizon. 

• On the other hand, the RSI fails to reach the average range and is about to initiate a bearish reversal 

• Therefore, the ARB price is believed to drop to the lower support of the wedge and exhaust the selling volume as a rebound occurs, which may trigger a strong upswing and breach the upper resistance to reach $0.8 and later above $1

Optimism (OP) 

• The Optimism price has shed most of the gain that it incurred since the start of the year, which could flip the trend after the sellers face extreme exhaustion

• The price is trading between the crucial resistance and support zones, displaying a huge possibility of a bearish pullback before the next price action

• The MACD is close to triggering a bullish crossover as the selling volume has dropped to a large extent 

• Therefore, the OP price is speculated to drop slightly, close to $1, which may attract fresh liquidity, paving the way for a significant rise to $2