In a recent development, the Layer 2 token market has experienced a significant surge in trading volume, with several prominent tokens grabbing the attention of traders and investors alike. According to data from CoinGecko, the top five most traded Layer 2 tokens by 24-hour volume are Immutable, Arbitrum, Polygon, Optimism, and Loopring.
Immutable (IMX), the first token on the list, has witnessed a substantial increase in trading activity. IMX is a token ranked 51 on CoinMarketCap, with a current price of $0.7427. The token has seen a 2.13% decrease in price over the past 24 hours. Immutable operates in the blockchain space and is associated with various tags, including Collectibles & NFTs, Zero Knowledge Proofs, Gaming, and Scaling. Notably, 197,790 watchlists are tracking Immutable, indicating considerable interest in the token.
Arbitrum, the second most traded Layer 2 token, has grown in popularity due to its scalable and low-cost solutions for Ethereum. Arbitrum (ARB) trades at $1.30, experiencing a 2.29% decrease in the last 24 hours. The token has a circulating supply of 1,275,000,000 ARB coins and a market cap of $1,655,558,371. Regarding oscillators, the Relative Strength Index (RSI) with a period 14 shows a value of 65.8207, indicating a neutral signal.
At the third spot is Polygon (MATIC), renowned for its scalability and compatibility with Ethereum. Polygon has become a go-to solution for developers and users seeking to bypass high gas fees while enjoying seamless interactions on the blockchain. MATIC’s current price stands at 0.76115 USD, reflecting a decrease of 2.17% in the last 24 hours. This decline suggests a bearish sentiment in the market.
Optimism, the fourth most traded Layer 2 token, has gained momentum with its optimistic roll-up technology. Optimism (OP) is currently priced at $1.49, with a 24-hour trading volume of $182,765,831. Over the past 24 hours, the price of Optimism has increased by 0.29%. It holds the 42nd position in terms of market capitalization, with a live market cap of $960,366,075. The circulating supply of Optimism coins is 644,594,782 OP out of a maximum supply of 4,294,967,296 OP coins.
Rounding off the list is Loopring, a protocol that enables the creation of decentralized exchanges (DEXs) on Ethereum. Loopring (LRC) is currently trading at $0.23191991, reflecting a decrease of 1.57%.
In terms of moving averages, both the exponential and simple moving averages convey a sell signal on LRC. Shorter-term moving averages, such as the 10-day and 20-day, align with the overall bearish sentiment. However, the 30-day simple moving average stands out as a buy signal, indicating a possible reversal or a temporary uptrend.
In conclusion, the surge in trading volume for Layer 2 tokens reflects the growing demand for scalability and cost-effectiveness within the cryptocurrency space. Immutable, Arbitrum, Polygon, Optimism, and Loopring have emerged as leading players in this sector, offering users enhanced transaction speeds, lower fees, and improved overall blockchain experiences.
