• EMA 200 at $0.80 acts as a major resistance, confirming a long-term bearish sentiment for OP.
• Fibonacci level (-42.65%) highlights oversold conditions, indicating a short-term price rebound.
• RSI reflects neutral-to-weak momentum for the altcoin.

Optimism (OP), one of the leading Ethereum Layer-2 scaling protocols, is maintaining momentum as usage on its network increases. As the month of October unfolds, traders are observing three pivotal price levels that might indicate a breakout, with increasing adoption and sentiment driving hopes for the token’s next direction.

Optimism (OP) Technical Snapshot: RSI, Fibonacci & EMA 200 Insights

The Relative Strength Index (RSI) indicates normal buying and selling activity in the altcoins network, as the median is shown between 60 and 30. The RSI values of 43.20 and 30.08 indicate that Optimism (OP) is moving from a bearish zone toward a neutral range.

The Fibonacci retracement chart of the steep fall shows that the 42.65% reading is an oversold reaction and potential exhaustion of selling pressure. This indicates a short-term bounce might occur before OP retests key resistance areas.

The EMA 200 at $0.80 is a firm long-term resistance zone. As OP is trading far below it at approximately $0.46, the overall trend is still bearish, and momentum is capped until the price can recapture this area.

Also Read: Optimism Price Prediction: OP Price Targets $0.8800 Amid Building Momentum

Market Outlook: Tracking Trend, Resistance, and Support Levels

At press time, the altcoin is trading at $0.4583, having decreased by 5.81% over the past 24 hours. OP holds a market capitalization of around $815.21 million, maintaining its position among the top cryptocurrencies, with a 24-hour trading volume of nearly $359.6 million

The price is moving in a bearish trend and is currently testing a resistance level near $0.5036. If it breaks above this, the next target could be $0.6000. On the downside, the support level is around $0.4556. If the cryptocurrency falls below this level, we may see a drop towards $0.3000.

The blue line indicates the resistance level at $0.5036, while the yellow line represents the support level at $0.4556.

Conclusion

Optimism (OP) is recovering from oversold levels but remains weak in momentum. A breakout above the EMA 200 at $0.80 is essential to confirm a bullish reversal; otherwise, the token may continue consolidating below.

Also Read: Optimism (OP) Price Prediction: Bullish Rebound Targets $4.2 Resistance