Loopring and other Ethereum layer-2 solutions are set to explode as Eth 2.0 is now close to becoming fully operational.
Loopring has an edge for its Zk Rollups that make transactions safe and faster.
Loopring is currently trading in a bullish channel despite the high volatility.
Ethereum developers have made huge progress towards the launch of Ethereum 2.0. By mid-year, the transition is expected to be complete. It is expected that the impact on Ethereum’s price will be huge because gas fees will drop, and Ethereum will handle a lot more transactions per second than it can today.
The best part is that Eth2.0 will also open up many opportunities for layer 2 solutions. Layer 2 solutions will take a more central role in completing Ethereum-based transactions to get the load off the Ethereum mainnet. One of the projects set to benefit the most from the shift to Ethereum 2.0 is Loopring.
Loopring (LRC) is a decentralized exchange that can be used to trade ERC tokens without having to go through the Ethereum mainnet. Since Loopring uses Zk Rollups, transactions are fast and take a fraction of the cost that they would, were they to be completed on the Ethereum mainnet.
Loopring has been growing in popularity, and with Eth 2.0 almost complete, a lot more transactions will go through Loopring. Loopring is already showing positive signs, and in the past week, when the entire market was turning bullish, Loopring rallied by over 20%. It’s an indicator that once bulls gain control again, LRC could be a winner.
Loopring trading in a bullish channel
Source: TradingView
Since March 18th, Loopring has been trading in a bullish channel, despite the volatility in the broader crypto market. Currently, Loopring is trending towards the 50-day MA resistance at $0.848. If it breaks through this resistance, $1 could be within reach pretty soon.
Summary
Loopring and other layer-2 solutions are set to grow as Eth 2.0 edges closer to completion. Loopring is already showing signs of an uptrend as it continues trading in a bullish channel despite the volatility.
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