Optimism (OP) has plunged over 22% following Base's decision to transition away from the OP Stack, triggering significant market volatility. The altcoin's sharp decline, which exceeded the broader market's 2% drop, was exacerbated by heavy selling and liquidations, raising concerns about its future as an Ethereum layer 2 solution. The market reacted with a 157% spike in sell volume, amounting to $187 million in trades, and futures flows indicating a $7.5 million capital outflow from exchanges.
Base's move to consolidate its network operations has removed a major source of OP Stack revenue, intensifying financial pressure on Optimism. The altcoin has lost about 60% of its value this year, with technical breakdowns and bearish momentum suggesting further declines. Analysts warn that without strong support at $0.20, OP could fall below $0.10. Investors are advised to monitor the $0.20 support level and trading volumes closely to assess potential stabilization or further losses.
Optimism Plummets 22% as Base Abandons OP Stack
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