Arbitrum whale withdraws a million ARB tokens and takes this position

• Over 11 million ARB tokens have been withdrawn from the exchange by an Arbitrum whale.
• 5 million of the withdrawn ARB tokens have been deposited on a DeFi platform.

A recent report revealed that a specific Arbitrum whale has been making noteworthy transactions over the past few days. The whale appears to have a bullish stance on ARB. Considering this, what is the overall trend of the token, and what is the current sentiment surrounding it?

How much are 1,10,100 ARBs worth today

Arbitrum whale goes long

On 23 July, Lookonchain reported that an Arbitrum whale made a significant withdrawal of 1 million ARB tokens, valued at over $1 million, from Binance. The post also highlighted the whale’s previous activities, revealing a total withdrawal of 11 million ARB tokens, worth more than $13 million.

Whale”0x6950″ withdrew 1M $ARB ($1.24M) from #Binance again 1 hour ago and has withdrawn a total of 11M $ARB ($13.66M) from #Binance in the past 5 days.

The whale deposited 5M $ARB ($6.2M) to #Aave and borrowed $2M stablecoins today, seemingly long $ARB.https://t.co/3FjwsoJKKj pic.twitter.com/urDbYUj3CL

— Lookonchain (@lookonchain) July 23, 2023

This particular withdrawal stood out because the whale deposited over $6 million worth of ARB tokens into Aave. The deposited amount was 5 million ARB, valued at around $6.2 million, and the whale borrowed $2 million in stablecoins. This indicated that the whale was taking a bullish stance on ARB, as it opted to go long on the token.

Arbitrum long vs. short

Given the whale’s apparent bullish stance on ARB, the current sentiment on Coinglass was analyzed. According to data from Coinglass, Arbitrum has a positive funding rate as of this writing. Similar to the whale, traders on the platform were also betting on the token’s price rise, evident in the positive trend of the funding rate.

However, despite this positive sentiment, a concerning trend emerged when examining the liquidation data of ARB. Over the past five days, long positions have been experiencing more frequent liquidations. As of this writing, close to $1 million worth of long positions have been liquidated, compared to just over $100,000 in short positions. This indicated that long positions faced significant losses in the recent market conditions.

ARB price trend

Upon analyzing the daily timeframe chart of Arbitrum, it was evident that the whale’s withdrawals on 23 July were profitable. This was due to ARB’s price experiencing an increase of over 2% during that trading session. The token started the session at approximately $1.22 and closed it at around $1.25.

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However, as of this writing, the market had taken a significant downturn, with ARB trading at around $1.20, representing a 4% decline in value. This decline likely explains the substantial volume of long positions liquidated, amounting to close to $1 million.

Source: TradingView

The chart also revealed that the last time the whale made a significant move on 19 July, the market concluded with an almost 2% increase in price. This suggested that the whale has been strategically timing its moves to capitalize on favorable price movements in the market.