In late May 2023, a significant event unfolded in cryptocurrency as 386 million $OP tokens, valued at over $500 million, were unlocked for Core Contributors and Investors. This momentous unlocking marked the first release after a year of vesting, with plans for monthly unlock in the future.
Token Unlock shared a tweet post providing insights on the current Optimism market:
As the unlocking event commenced on May 23rd and extended until May 31st, the OP token, initially valued at $1.715, saw a noticeable dip to $1.356 on the unlock day, representing a 20% decline. Additionally, the value of OP in comparison to ETH dropped to 0.000730, also experiencing a 20% decrease. These price fluctuations underscore the impact of the unlock event and the cautious sentiment among investors.
Since July 22, the Total Value Locked (TVL) for Optimism has exhibited resilience within the range of $500 million to $1 billion despite market volatility. Monthly unlocks have expanded the circulating supply, subsequently increasing the market capitalization. The market cap-to-TVl ratio has surpassed 1.5, indicating a scenario where either the OP price is high or the TVL is low.
At the time of writing, Optimism’s price is trading at $1.41, with a surge of 1.88% in the past 24 hours. This price action is expected to remain stable with gradual growth, primarily driven by investor attraction and platform growth. The market capitalization for the OP token stands at $1.12 billion, representing an increase of 1.76 from the past day. The 24-hour trading volume has also seen an upsurge of $71 million, indicating a bullish market trend.
Looking ahead, Optimism appears well-positioned to realize its full potential in the coming years. With the potential attraction of investors and the initiation of developmental and community-building initiatives, the Optimism coin price is poised for significant growth in 2025.
In conclusion, the recent unlocking event for OP tokens had a notable impact on price action, prompting a 20% decline in value. Despite this, Optimism has shown resilience in maintaining a TVL range between $500 million and $1 billion. The future holds promise for Optimism, with the potential for substantial price increases in 2025 as the project develops and attracts new investors.
