2024, mixed bag for Arbitrum and Optimism – Why?
Why did Arbitrum and Optimism see more transactions this year?
Arbitrum and Optimism, Ethereum's Layer 2 scaling solutions, experienced an increase in transaction activity this year due to several factors. The implementation of Ethereum Improvement Proposal (EIP) 4844, designed to enhance Ethereum's scalability, contributed significantly to this growth2. Additionally, both networks quadrupled their transaction volumes over the past year, with Arbitrum witnessing more substantial growth since the start of the new year2.
How does the $2.2 level act as resistance for OP?
The $2.2 level acts as resistance for OP because it is a psychological barrier where selling pressure increases, making it difficult for the price to break above. When the price approaches this level, traders who bought at lower levels may sell to take profits, while others may short-sell, believing the price will not surpass resistance. This increased selling pressure prevents further upward movement, reinforcing the resistance level.
How did ARB's transaction count change post-March?
Post-March, ARB's transaction count escalated significantly, reaching over 1 million and peaking at approximately 2.6 million transactions on the 26th of June. This growth came after a period where ARB transactions were under 1 million.