Arbitrum coin is a token that works with an Ethereum Layer-2 scaling solution that uses optimistic rollups. Arbitrum aims to enhance speed, scalability, and cost-efficiency on Ethereum by moving most of the work and storage off-chain. Arbitrum inherits the security and compatibility of Ethereum but also offers higher capacity and lower fees.
ARB holders can vote on proposals that affect the features, protocol upgrades, funds allocation, and election of a Security Council. ARB was launched on March 23rd, 2023.
As per Coinglass, Arbitrum has $143.60 Million Open Interest and recently showed an incline of +0.99% in the last 24 hours. The 24-hour long versus short ratio is 0.9701. The total number of short positions added in the last 24 hours is $52.87K against longs of $8.78K. Moreover, the average volume of the Arbitrum coin declined by 23.51%, and the volume is at $205.07 Million.
This month, the coin performed well as it was up by 13.89%. However, ARB price was down by 24.15% in the last six months which highlighted poor performance. Moreover, the ARB price year-to-date return is negative with a decrease of 24.14%.
Arbitrum Price Technical Analysis in 1-D Timeframe
As per the ARB coin price action, it is making lower lows and lower highs, and following a channel with clear support and resistance lines. It is in a downtrend. The ARB price dropped by 50% and reached $0.9114 in about two months.
However, the ARB price bounced back from the same level, but it is facing strong resistance as it is consolidating with small candles and trading between 20 and 50 EMA at $1.1261 at the time of writing. The coin is trying to hold on, but it needs more buyers to break the hurdles or else the price will pull the coin further down.
At the time of publishing, the ARB coin price (COINBASE: ARB) is trading in between the 20 and 50-day EMAs (exponential moving average). The EMAs are acting as hurdles rejecting the price trend. Hence, as per the Arbitrum price prediction, the coin is expected to move downwards, giving bearish signals over the daily time frame chart.
According to the Arbitrum price prediction, the MACD line at 0.0055 and the signal line at 0.0063 are above the zero line, and lines are narrowed tightly, suggesting more consolidation for the ARB coin. The current value of RSI is 52.01 points, and the 14 SMA is near the median line at 51.82 points. It seems the ARB price is consolidating as both RSI indicator lines are consolidating as well. Therefore, Arbitrum price prediction indicates consolidation to bearishness.
Conclusion
The Arbitrum price prediction highlights that the sentiments and perspectives of investors and traders regarding the Arbitrum price are bearish in the 1-D time frame. The Arbitrum price action reflects a pessimistic view at the time of publishing. Moreover, the technical parameters of the ARB price suggest the continuation of the consolidation over the daily time frame chart. Major indicators MACD, RSI, and EMA give consolidation to bearishness signals about the Arbitrum coin price.
Technical Levels
- The nearest support: $1.0398 and $0.9187.
- The nearest resistance: $1.2739 and $1.3732.
Disclaimer
In this article, the views and opinions stated by the author or any people named are for informational purposes only, and they don’t establish the investment, financial, or any other advice. Trading or investing in cryptocurrency assets comes with a risk of financial loss.
Andrew is a blockchain developer who developed his interest in cryptocurrencies while his post-graduation. He is a keen observer of details and shares his passion for writing along with being a developer. His backend knowledge about blockchain helps him give a unique perspective to his writing
Source: https://www.thecoinrepublic.com/2023/07/12/arbitrum-price-prediction-2023-will-arb-price-fall-further/