Optimism Slips to $0.65 as Breakdown Tests Key Support Zones.

Optimism has lost ground after failing to sustain momentum above the $0.80 resistance zone, sliding back to $0.65. The rejection triggered a breakdown from both a horizontal consolidation band and a rising channel, signaling growing short-term weakness.

With sellers pressing the token toward lower supports, the asset is now at a critical juncture that could define its next trend direction.

Breakdown Raises Bearish Risks

According to market analyst Pelin Ay on X, Optimism has shown weakness after breaking down from both its horizontal consolidation zone and the rising channel that has guided price action in recent months. The chart indicates that the price has lost momentum near the mid-range resistance around $0.80, failing to establish a sustained breakout above this key zone.

Source: X

Currently, the asset is hovering near the 0.618 Fibonacci retracement zone, a level that often acts as a battleground for bulls and bears. If the breakdown proves to be a false move (a bear trap), the price could quickly reclaim the channel and resume its gradual climb toward $1.00. However, if buyers fail to defend the $0.70–$0.68 range, the bearish case strengthens, opening the door to deeper declines toward $0.55 or even lower support levels.

Momentum indicators, such as the RSI, also reflect caution, trending sideways without showing strong bullish divergence. This suggests that the market is waiting for confirmation—either a bounce back into the channel that revalidates the uptrend, or further weakness confirming that sellers have taken control.

Market Data Shows Pressure

On the other hand, data from BraveNewCoin highlights the token’s current weakness. OP trades at $0.65, marking a 3.97% daily decline, with a market cap of approximately $1.15 billion. Trading volume in the past 24 hours stands at $211 million, reflecting active participation skewed toward sellers.

Source: BraveNewCoin

The circulating supply is 1.77 billion tokens, placing the token at rank #107 by market cap. Despite robust liquidity, sentiment leans bearish, with consistent selling pressure limiting upside attempts. Forecasts suggest the token may continue oscillating between $0.60 and $0.70 until stronger inflows shift market direction.

This data underscores that while fundamentals remain steady, buyers have yet to show conviction in reclaiming lost ground.

Technical Indicators Point to Weakness

On the daily timeframe, OP’s structure reflects fading momentum after its rejection from $0.80. The MACD line sits below the signal line, with a negative histogram confirming bearish dominance. Sellers appear firmly in control unless a bullish crossover emerges.

Source: TradingView

The Relative Vigor Index (RVI) currently reads 41.03, below its moving average of 55.93, suggesting momentum remains tilted to the downside. While these readings highlight caution, oversold conditions could support a short-term bounce if demand reappears.

Overall, the asset faces pivotal support at $0.65. A decisive hold could stabilize the market, but failure here risks extending losses into deeper retracement zones near $0.55 or even $0.50.