Arbitrum (ARB), the ethereum Layer 2 (L2) scaling solution, recently went through an unlock event as part of its 2024 roadmap. However, the event raised concerns about how the token's price would react amid of the market slowdown.
It has been a week since the price of bitcoin started to decline. Despite btc recovery, the market is still in the red. crypto analysts remain bullish on ARB and the market. bull run.
Are Arbitrum Whales Still Dumping on 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 unlocked tokens.
Arbitrum whales have since dumped millions of ARB on exchanges. As NewsBTC reported, eleven whales recently sent over $58 million worth of tokens to different trading venues.
Yesterday, the trend continued when two ARB whales sent around $12.72 million worth of ARB to the Binance exchange. These whales are apparently investors who received around 28.43 million ARB tokens during the unlock.
:: insights about the chain::$ARB Investors are selling their tokens:
two wallets potentially belonging to $ARB Investors several hours ago sent their tokens to @binance
wallet 0x1dc sent first 3 $ARB to be sure they will reach your Binance account and then be sent… pic.twitter.com/L8yfKnOnvK– Catakor (@Catakor) March 21, 2024
As reported by an X user, the first wallet received 19.845 million ARB on March 16. This whale sent 3 ARB to Binance as proof before downloading. 3.9 million tokens worth $6.9 million.
The second whale yesterday sent 3.424 million ARB tokens to Binance in two transactions, 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 around $1.42 million.
Analysts predict upside for ARB
Arbitrum's most recent downward trajectory began just before the unlock event. After ARB price failed to hold the $2 support level, the token fell over 30% to trade around $1.48 on March 19.
Since then, ARB has started to rise and retest its resistance levels. According to crypto analyst World Of Charts, ARB bankrupt a bullish 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 in the early hours of today before returning to the $1.75 price range.
crypto analyst Bluntz projected an upside for Arbitrum after the price approached the $1.8 resistance level. As highlighted by the analyst, ARB's price performance shows a zigzag a, b and c pattern that could suggest an upward trajectory for the token. Additionally, he expressed optimism about the health of the market based on the token's performance.
you know the market is healthy when even eth and eth beta look good again$arb pic.twitter.com/gjn4zduLW7
– Bluntz (@Bluntz_Capital) March 21, 2024
ARB is trading at $1.76 at the time of writing, representing an increase of 5.2% in the last 24 hours. Although it shows a decrease of 14% and 12% in the weekly and monthly timeframes, its current price still represents a 29.4% increase 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
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