In September, the hustle and bustle of the non-sharing token (NFT) sector subsided, but a new surge of energy emerged when the second-layer sector heated up after the successful introduction of scaling solutions: Ethereum (ETH) as arbitrum and optimism.
Another project that has benefited from the industry’s transition to Layer 1 and Layer 2 alternatives is the OMG Network (OMG), an unattended Layer 2 protocol that uses a coherent, synthetic scaling solution that is important to improve the scalability of Ethereum.
Data from Cointelegraph Markets Pro and TradingView show that after hitting a low of $ 8.42 on July 20, OMG price rose 380% to hit a daily high of $ 13.52 on October 1.
Before the market-wide decline that began in early May, OMG fared well largely thanks to its listing on Coinbase. An important development for the protocol took place in early June when the project was renamed from OmiseGO to OMG Foundation as part of a move towards Layer 2 solutions.
Enya and Boba Network support the OMG process
A key part of the rebranding is to highlight the network’s partnership with Enya, a company that developed decentralized infrastructure solutions and created the Boba network.
1 / The layer 2 room warms up. @optimismPBC, @arbitrum, @StarWareLtd and sidechains like @ 0xPolygon. We currently have @bobanetwork The differentiator of Boba Network is the fast transfer from Boba to # Ether mainnet, not in other compilations.
– DeFi information (@AboutDefi) August 19, 2021
According to the project’s website, the Boba Network is a level two optimistic scaling solution from Ethereum that aims to lower gas fees, improve transaction throughput and expand the capabilities of smart contracts.
With Enya building the Boba network as the main contributor to the OMG Foundation, the OMG token has benefited from its focus on rolling out a new Layer 2 solution.
The rollout of the Boba Network, renamed from OMGX, began on August 19th and has been closely monitoring OMG’s price rise.
Cointelegraph Markets Pro’s VORTECS ™ data began to see a bullish outlook for OMG on August 16, ahead of the recent price rally.
The VORTECS ™ Score, exclusive to Cointelegraph, is an algorithmic comparison of historical and current market conditions, derived from a combination of data points such as market sentiment, trading volume, recent price movements and Twitter activity.
As can be seen in the graph above, the VORTECS ™ Score for OMG began rising on August 16th and climbed to a high of 75 on August 25th, about 24 hours before the price rose 100% over the next three weeks began.