X

Sophia from Chicago

Signed up at Crypto Leo 44 minutes ago.

» Try Crypto Leo too
Do not show again

Arbitrum (ARB) has been in a positive mood this trading week, advancing from a low of $0.74 to a high of $0.82.

The current Arbitrum (ARB) price stands at $0.80, but despite the current jump, bears still control the price movement. But where is the price of Arbitrum (ARB) going next, and what can we expect from the rest of September 2023?

Today, Crypto Lists will discuss Arbitrum (ARB) price estimates from a technical and fundamental analysis perspective. Please note that there are also many other factors to consider when entering a position, such as your time horizon, willingness to risk, and how much margin you have if trading with leverage.

Arbitrum provides faster speed at a significantly lower cost

Arbitrum is an Ethereum layer-two (L2) scaling solution that provides faster speeds at a significantly lower cost, with the same level of security as Ethereum. Layer 2 solutions are designed to improve the efficiency of Ethereum by processing transactions and smart contracts off-chain or in a manner that reduces the burden on the Ethereum mainnet. While Ethereum manages a mere 14 transactions per second, Arbitrum races ahead at 40,000 transactions per second. Transactions cost several dollars to complete on Ethereum, while they cost about two cents on Arbitrum.

Arbitrum was developed by Offchain Labs, and it uses optimistic rollups to achieve its goal of improving speed, scalability, and cost-efficiency. It is also important to mention that Arbitrum derives its security from the Ethereum network, which provides consensus and finality for Arbitrum transactions. In other words, Ethereum guarantees the validity of the rollup’s off-chain computation and data availability behind the computation.

Arbitrum supports unmodified EVM contracts, and it allows developers to deploy programs written in popular programming languages like Rust, C++, and more using Stylus, its upcoming EVM+ equivalence feature. Arbitrum’s native token is ARB, which allows ARB holders to vote on proposals that affect the features, protocol upgrades, and funds allocation. Developers can use ARB tokens to incentivize users to participate in specific activities, such as providing liquidity or using dApps built on Arbitrum.

Fundamentals of Arbitrum (ARB) are usually tied to the overall cryptocurrency market, which remains supported last twenty-four hours. One of the reasons that lifted investors’ optimism again is connected with the latest U.S. economic data that kept alive expectations that the Federal Reserve would certainly pause rate hikes at its meeting on September 20. Michael Green, chief strategist at Simplify Asset Management, Philadelphia, said:

A spate of economic data released this week showed energy prices, specifically gasoline, were largely responsible for a hotter-than-expected producer prices reading and a consensus-beating retail sales number. The Fed is probably done with raising rates and that’s removing concerns around equities.

Rating: 9.5/10
Supply: 1,275,000,000
Release date: March 23, 2023

Description: Discover Arbitrum to unlock the full power of Ethereum.

Risk warning: The crypto market is volatile. Don’t risk more money than you can afford to loose.


Arbitrum whales sold a large number of ARB tokens recently

However, not long ago, Arbitrum (ARB) was trading above $1.30 ( July 2023), but since then, the price of ARB has been decreasing, and despite the current jump, the price of this cryptocurrency remains in a bear market. The Arbitrum token’s price tumbled to a new historical low of $0.74 on September 11, and one of the reasons behind ARB’s latest price downturn has been associated with the increased market activity of Arbitrum whales in the past few days.

According to information from crypto journalist Colin Wu, three whales recently transferred around 10 million ARB (worth about $8 million) to Binance. The first whale sold approximately 3.8 million ARB at $0.77 per token, while the second whale sold nearly 3.65 million ARB at $0.83 per token. Meanwhile, the third whale moved 2.8 million ARB for $0.79 per token. This seeming loss of interest from whales may have precipitated the downward pressure that pushed Arbitrum to a new all-time low.

Unfortunately, only several hours after three whales sold around 10 million ARB, blockchain analytics platform Lookonchain reported that another seven whales have sold 20.41 million ARB tokens (valued at about $16.05 million) with a total loss of $8.15 million. Another negative information for potential investors is the dwindling activity on the Arbitrum network. While the chain continues to hold its own as a prominent L2 network, it has been experiencing a steady decline in total value locked (TVL).

According to DefiLlama data, Arbitrum has a total value of $1.65 billion in assets locked on its network, reflecting a more than 35% decline in the past four months. This current figure also represents the network’s lowest TVL since March. The sustained decrease in total value locked suggests a loss of investor confidence, which could discourage participants from onboarding the network.

Arbitrum (ARB) is a highly risky investment, while the wider dynamics of the cryptocurrency market also play an important role in determining the price of ARB. Recession fears and monetary policy decisions from major central banks will continue to influence the cryptocurrency market in the weeks ahead, and a recommendation is that investors should continue to take a defensive investment approach.

Technical analysis for Arbitrum (ARB)

Arbitrum (ARB) has weakened more than 40% since July 17, 2023, falling from $1.35 to a low of $0.74. Despite the current jump, bears continue to control the price movement, and in the weeks ahead, the price of ARB could be again under the selling pressure. On the chart below, I marked the trendline, and as long the price of Arbitrum (ARB) is below this trendline, we can’t talk about a trend reversal, and the price of ARB remains in the SELL-ZONE.

Technical analysis for Arbitrum (ARB)

Important support & resistance levels for Arbitrum (ARB)

Important support & resistance levels for Arbitrum (ARB)

On this chart (the period from May 07, 2023), I marked important support and resistance levels that can help traders understand where the price could move. According to technical analysis, bears control the price movement of ARB for now, but if the price advances above $0.90, the next target could be resistance that stands at $1. The important support level is $0.70, and if the price breaks this level, it would be a “SELL” signal, and we have the open way to the next support that stands at $0.60.

What speaks for the rise in the Arbitrum (ARB) price

The upside potential for ARB probably remains limited for the rest of September 2023; still, if the price advances above $0.90, the next target could be resistance at $1. Traders should also consider that the price of ARB is correlated with Bitcoin, and if the price of Bitcoin jumps again above $28000, we can see Arbitrum (ARB) at a higher price level than the current price.

What indicates the downfall of Arbitrum (ARB)

According to the latest data, Arbitrum whales have sold more than 30 million ARB between September 09 and September 11, which indicates that they are losing confidence in the underlying coin’s short-term price prospects. If the whales continue to reallocate funds to other investments, the price of ARB could take an even bigger hit in the upcoming weeks. The downfall of ARB can also be influenced by a wide range of other factors, including market sentiment, regulatory developments, technological advancements, and macroeconomic trends. The last several weeks have been negative for ARB, and investors should continue to take a defensive investment approach as the macroeconomic landscape remains uncertain.

What do analysts and experts say?

The cryptocurrency market is advancing this Wednesday; Bitcoin’s price hit levels above $26,600, which also positively influences Arbitrum (ARB). However, despite the current jump, bears still control the price movement of ARB, and many crypto analysts say that the fact that Arbitrum whales have sold more than 30 million ARB recently indicates that we could see new lows for ARB. Another negative information for potential investors is the dwindling activity on the Arbitrum network. While the chain continues to hold its own as a prominent L2 network, it has been experiencing a steady decline in total value locked (TVL). Arbitrum (ARB) is a highly risky investment, and its price can fluctuate dramatically over short periods, leading to substantial gains or losses for investors. It’s essential to conduct thorough research, understand the risks, and only invest what you can afford to lose when considering investing in Arbitrum (ARB).

Disclaimer: Crypto is extremely volatile and not suitable for everyone to invest in. Never speculate with money that you cannot afford to lose. The information on this site is presented for educational purposes only and should not be construed as investment or financial advice.

by Our Certified Author
Arbitrum Newsflash
    Top 3 games & crypto casinos with Barbara Bang slotsTop 3 games & crypto casinos with Barbara Bang slots
    Wednesday, 23 Oct 2024 3:24 pm
    One of the game providers that you shouldn't miss in October 2024 is Barbara Bang (see review). A few games that you shouldn't miss include the hilarious Mad Monkey, the Sunshine Rich Hold and Spin along with Juicy Fruits. You can enjoy Barbara Bang's online slots on crypto casino sites such as Kripty - a next-gen site with a great range of both slots and crash games. Further, you can enjoy their slots on Chancer Bet which despite the name is solely focused on casino (and not sports betting). Finally, you can visit Jettbet for a surge of bonuses. When making your first deposit you can enjoy 6000 USDT and 425 free spin...
    Read the full newsflash


    Experience authentic decentralized casino fun on Star Bets!Experience authentic decentralized casino fun on Star Bets!
    Tuesday, 30 Jan 2024 1:33 pm
    If you want a genuine decentralized casino that comes without country restrictions, allows you to sign up using a wallet and no proper KYC requirements, plus has its own token - then we've got just the site for you. Welcome to Star Bets (read more), an incredible site with the privacy and Web3 player at the forefront of its decentralized mind! That's right. Of course, fiat fans won't feel too much at home here since cards and e-wallets aren't accepted as deposit methods here as it's all about crypto! Don't forget to claim your free registration bonus of 100 Free Spins on Wild West Duels using CODE: CL100FS. It's a Crypto Lists exclusive that you'll only trigger if you sign up here. What are you waiting for?...
    Read the full newsflash


    Starbets: a decentralized casino with a unique rewards tokenStarbets: a decentralized casino with a unique rewards token
    Monday, 15 Jan 2024 12:05 pm
    Have you been looking for a genuine decentralized casino where you can benefit from the site's success by holding their native coin? If so, we've got something in store for you. Star Bets (read more) has a few standout features, but one probably stands out more than the rest. The crypto gambling site offers a unique and exciting opportunity for players: every time you place a bet, you get the chance to mine the casino's exclusive STAR Token. This innovative addition not only enhances your experience but also opens up a new avenue for generating passive income, adding an extra layer of reward to each bet. Awesome, right? Try it today and get an exclusive set of 100 free spins by using the code CL100FS. Reach out to us via live chat...
    Read the full newsflash


    Get referral rewards today on Star Bets decentralized casinoGet referral rewards today on Star Bets decentralized casino
    Thursday, 1 Jun 2023 9:52 am
    Star Bets (review) is a decentralized casino that we think represents some of the best things about the niche. Something that we think is really cool is the referral program. Registered players can share a referral link with friends and get 0.1% of every bet they make plus some added extras too. What are they you ask? Well, you also get up to 5% of their mined STAR tokens, which enable players to participate in the platform's success and enjoy consistent rewards. And, in the future they might be tradable too! If playing in a genuine decentralized casino sounds good then try Star Bets and start earning rewards right away...
    Read the full newsflash


    Starbets Casino reaches 519 029 USDT in dividendsStarbets Casino reaches 519 029 USDT in dividends
    Monday, 17 Apr 2023 11:37 am
    The amazing dividend system on Starbets (see review) is reaching over 99 121 USDT or more than 3.2 BTC. The total amount available is 519 029 USDT, that's up for grabs for frequent players. Are you one of them? If not, sign-up for Starbets and be part of the...
    Read the full newsflash

New Casino Reviews
New Crypto Casinos
Best Crypto Casinos
Recent Crypto Sites
Recent Crypto Coins
Keep up to date with
 

Our Newsletter

Sign up to our newsletter to get the
latest crypto news, new casinos,
bonus offers and other exciting
exclusives.
* indicates required
CryptoLists.com
Copyright © 2019-2022, by Crypto Lists Ltd (CryptoLists.com). Company name: Crypto Lists Limited. Address: 5 Upper Montagu Street, LONDON W1H 2AG, England.
Jump to top