Arbitrum (ARB), the Ethereum Layer 2 (L2) scaling solution, recently underwent an unlock event as part of its roadmap to 2024. However, the event raised concerns about how the token’s price would react amid the market downturn.
It has been a week since the price of Bitcoin started falling. Despite BTC recovery, the market still shows red numbers. Crypto Analysts Remain Bullish on ARB and the Market bull run.
Are Arbitrum whales still dumping exchanges?
The March 16 event unlocked 1.1 billion ARB tokens. These tokens were distributed among the team, advisors and investors, who received 438.25 million ARB, approximately 40% of the total tokens unlocked.
Since then, Arbitrum whales have dumped millions of ARB on exchanges. As reported per NewsBTC, eleven whales recently sent over $58 million worth of tokens to different trading venues.
Yesterday, the trend continued with two ARB whales sending around $12.72 million worth of ARB to the Binance exchange. These whales are apparently investors who received around 28.43 million ARB tokens during unlock.
::insights into the chain::$ARB investors are selling their tokens:
▪️ two wallets that potentially belong to $ARB investors several hours ago sent their tokens to @binance
▫️ 0x1dc wallet sent first 3 $ARB to make sure they get to your binance account and then get sent… pic.twitter.com/L8yfKnOnvK– Catakor🐯 (@Catakor) March 21, 2024
As reported by a user X, the first wallet received 19.845 million ARB on March 16th. This whale sent 3 ARB to Binance as a test before offloading. 3.9 million tokens worth $6.9 million.
The second whale sent 3.424 million ARB tokens to Binance in two transactions yesterday, representing $5.79 million. Of the 28 million tokens these investors received during the Arbitrum unlock, the wallets now only contain 804,000 ARB, worth about $1.42 million.
Analysts predict upside for ARB
Arbitrum’s most recent downward trajectory began right before the unlock event. After ARB price failed to maintain the $2 support level, the token fell more than 30% to trade around $1.48 on March 19.
Since then, ARB started rising and retesting its resistance levels. According to World Of Charts crypto analyst, ARB broken a bull flag on March 20.
ARB’s retest above the suggested price range was successful in the following hours. The token rose to the $1.8 mark early today before returning to the $1.75 price range.
Crypto analyst Bluntz projected an upside for Arbitrum after the price approached the $1.8 resistance level. As the analyst highlighted, ARB’s price performance shows a zigzag pattern a, b, and c that could suggest an upward trajectory for the token. Additionally, he expressed optimism about the health of the market based on the token’s performance.
you know the market is healthy when even eth and eth beta look good again$arb pic.twitter.com/gjn4zduLW7
-Bluntz (@Bluntz_Capital) March 21, 2024
ARB is trading at $1.76 at the time of writing, representing a 5.2% increase over the last 24 hours. Although it shows a drop of 14% and 12% in the weekly and monthly intervals, its current price still represents a drop of 29.4%. outbreak since the year began.
ARB's price trends to the upside on the hourly chart. Source: ARBUSDT on Trading.view.com
Featured image from Unsplash.com, chart from TradingView.com
Disclaimer: The article is provided for educational purposes only. It does not represent NewsBTC’s opinion on buying, selling or holding any investments and, naturally, investing carries risks. We advise that you conduct your own research before making any investment decisions. Use the information provided on this website at your own risk.
