Arbitrum (ARB) Sails Near $1, Will ARB Ride On the Bullish Track?

• 1 Arbitrum (ARB) token price decisively held the $1 mark but failed to attain a rebound.
• 2 Buyers made a firm grip around $1 and were eyeing for a reversal.

The Arbitrum (ARB) token price hovered near the round mark of $1 and is in a bearish trajectory. For bulls, $1.20 is the prompt hurdle to cross and sustain to revert the gains.

Recently, the token has witnessed a breakdown of the ascending triangle pattern and a follow-on selloff was noted in the last sessions.

Later, the token failed to hold the momentum and was dragged to the crucial support zone of $1, which breached the key moving averages. The token has eroded over 45% of gains in the last three weeks.

At press time, the Arbitrum crypto (ARB) price traded at $1.01 with an intraday drop of 0.89%, reflecting a neutral outlook and staying in the bearish region. It has a monthly return ratio of -27.10% and 11.29% yearly.

The pair of ARB/BTC is at 0.0000166 BTC, and the market cap is $1.29 Billion. Analysts are neutral and suggest that the ARB crypto may replicate a pullback and will cross the 20-day EMA mark later.

Can Arbitrum (ARB) Regain The Shine Amidst Downtrend?

A sharp correction was noted on the daily charts, and the token slid to the bearish region. Following the triple top formation, bears are actively pushing the token from the highs.

Source: Santiment

The intraday trading volume averaged around $272.90 Million, signifying low investor interest. A break and close above the $1.20 mark would validate the trend reversal.

Key Factors Suggest Positive Outcome

1. Social Volume

Despite the price downturn, the social volume data witnessed a consistent uptick, highlighting a surge in popularity among investors.

2. Development Activity

The development activity delivered a positive outlook, and the value stands close to the midline region, as noted at 122.

 

Source: Santiment

3. Futures Open Interest

The data from coinglass highlights buyers have made fresh long positions, and the open interest spiked over 2.37% to $164.01 Million.

Source: coinglass

4. Historical In/Out of the Money

Per the indicator, 68.40% of the in-the-money holders at the current price level are in profit, and around 32% are still looking to cover their gains.

Source: IntoTheBlock

5. Transaction Volume and Velocity Indicator Analysis

The Transaction volume data reflected an incremental move, highlighting the buying interest in the past sessions. The value rose to 185.61 Million, which signifies a positive outlook.

Source: Santiment

The Velocity Indicator showcased a sudden spike; the value spiked over 2.13% to 1.635. The rise in the price volatility hints at the bullish bias. The momentum indicator, the Relative Strength Index, witnessed a positive crossover, but the curve remained in the oversold region.

However, the MACD indicator still delivered the bearishness, and the histogram displayed the red bars. The immediate support level for the Arbitrum (ARB) token is $0.970 and $0.920, whereas the critical upside hurdle is around $1.20, followed by $1.40.

Conclusion

The Arbitrum (ARB) token price has made a firm grip around $1 and is all set to initiate a bounce. However, the bulls have yet to cross $1.20, which is still a dream for investors.

Disclaimer

The views and opinions stated by the author or any other person named in this article are for informational purposes only and do not constitute financial, investment, or other advice.