Arbitrum price plunged 0.78% to $0.585 during the U.S. trading session on Wednesday. The crypto market is still struggling to maintain a stable bullish recovery as Bitcoin wavers around the $60000 psychological market. Amid the volatile market, the ARB price managed to reclaim $5 support as Franklin Templeton launched its OnChain U.S. Government Money Fund (FOBXX) on the Arbitrum blockchain.
Arbitrum Price Gain Momentum as Franklin Templeton’s Digital Asset Fund Goes Live
On August 8th, the renowned asset management company Franklin Templeton launched its OnChain U.S. Government Money Fund (FOBXX) on the Arbitrum blockchain. Investors can access FOBXX through digital wallets via the Benji Investments platform, Franklin Templeton’s blockchain-integrated recordkeeping system.
The Arbitrum network is available to eligible investors upon request, enabling streamlined access to this U.S.-registered mutual fund within a blockchain environment.
Following the announcement, the Arbitrum price surged 14.46% last Thursday to secure $5 support.
“Expanding into the Arbitrum ecosystem is an important step on our journey to empower our asset management capabilities with blockchain technology,” said Roger Bayston, Head of Digital Assets at Franklin Templeton.
Arbitrum is now the third blockchain network where Franklin Templeton’s fund shares can be traded, following Stellar and Polygon, another Ethereum Layer 2 solution.
This integration further strengthens the bridge connecting traditional finance and decentralized markets, offering more options for blockchain-based trading of the fund’s shares.
Arbitrum Price Hints Breakout from Multi-Month Resistance
Over the past four months, the Arbitrum price has showcased a steady downtrend resonating within a falling wedge pattern. The pattern consists of two converging trendlines, which provide dynamic resistance and support to the falling asset.
Amid the recent market reversal, the ARB price bounced from $0.42 support to $0.584, registering a 38.2% gain, while the market cap bounced $1.985 Billion. The rising price triggered a bullish crossover between the MACD (blue) and signal (orange) lines, signaling a renewed market sentiment.
With sustained buying, Arbitrum price should rise 10% to challenge the wedge resistance at $0.64. A potential breakout will accelerate the bullish momentum and drive another 28% rally to $0.8.
On the contrary, if the selling pressure at the overhead trendline persists, the ARB price could revert, signaling the continuation of correction. This reversal may plunge the asset over 20% to seek support at $0.42.
Frequently Asked Questions (FAQs)
The 21% surge in Arbitrum’s price followed the launch of Franklin Templeton’s OnChain U.S. Government Money Fund (FOBXX) on the Arbitrum blockchain, signaling increased investor confidence.
The falling wedge pattern in Arbitrum’s price suggests potential bullish momentum, with the price poised to break out if it sustains above key resistance levels.
Persistent selling pressure at the overhead trendline could delay Arbitrum’s breakout, potentially leading to a continuation of its correction phase.
Sahil Mahadik
Sahil is a dedicated full-time trader with over three years of experience in the financial markets. Armed with a strong grasp of technical analysis, he keeps a vigilant eye on the daily price movements of top assets and indices. Drawn by his fascination with financial instruments, Sahil enthusiastically embraced the emerging realm of cryptocurrency, where he continues to explore opportunities driven by his passion for trading
Disclaimer: The presented content may include the personal opinion of the author and is subject to market condition. Do your market research before investing in cryptocurrencies. The author or the publication does not hold any responsibility for your personal financial loss.
Source: https://coingape.com/markets/arbitrum-price-5-franklin-templetons-treasury/
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