ARB Price Surge: Whale Activity & dApp Growth
ARB Price Surge: Whale Activity & dApp Growth
Arbitrum (ARB) experienced a significant price increase, trading at $0.729 after a 5% jump in 24 hours. Trading volume also surged by 89% to $414 million, indicating heightened interest in the altcoin. Despite this positive momentum, 80% of ARB holders are currently underwater due to a 55% year-over-year price decline, according to IntoTheBlock.
Whale Accumulation Fuels ARB Price
Large Arbitrum transactions increased by 38% in 24 hours, reaching 85.9 million ARB. This surge is largely attributed to whale accumulation, with large addresses acquiring 10 million ARB tokens over the past two days. This accumulation, coinciding with the price increase, strongly suggests that whale buying is driving the uptrend. Whales hold 47% of the total ARB supply; their actions significantly impact the price.
Booming dApp Activity
DappRadar reports a 121% surge in Arbitrum dApp volume in 24 hours, reaching $1.27 billion. Transaction counts also rose by 16% to 143,000. DeFiLlama data shows Arbitrum surpassing Base in DEX volume, with $1.26 billion compared to Base's $1.25 billion. Increased network activity typically boosts demand and could support a sustained uptrend for ARB.
Technical Analysis: Bearish or Bullish?
While ARB’s daily chart shows a descending triangle pattern indicating bearish pressure, with a key support level at $0.68, the decreasing Average Directional Index (ADX) suggests the bearish trend is weakening. The Chaikin Money Flow (CMF) of -0.15 indicates net outflows. Positive funding rates on derivative markets, however, hint at long traders' confidence. If buying pressure continues alongside whale accumulation and sustained network growth, a bullish rally is possible. A break below $0.68, though, could trigger increased selling and accelerate the downtrend.
Disclaimer: This analysis is for informational purposes only and does not constitute financial advice. Investing in cryptocurrencies carries significant risk.
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