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- ARB/USDT is trading at $1.14 and is up by almost 4.85% in the past 24H.
- ARB/USDT Saw a bounce of almost 25% from its swing low.
ARBITRUM has gained 4.85% in the last 24H. The trading volume has also jumped 18.77%. The overall Market cap for ARB is $1,460,111,987, with the CoinMarketCap Ranking of #35.
ARBITRUM trailed a downward trajectory after creating an all-time high of $1.8. ARB was recently listed on Binance. The listing witnessed a pump of almost 220% followed by a swing creating an all-time high. The Prices have been sliding down since April and the asset declined by almost 45%.
The Daily charts show promising recovery
The Daily chart explains that the recent turmoil came due to profit booking as early investors were looking to take home some profits. ARB has managed to deliver a swift recovery of almost 25% after taking support at $0.906. This propelled the price further to pierce the Daily resistance of $1.10. Arbitrum also saw a daily candle close above the 9 and 15 EMA indicating that the price could follow an uptrend in the short-term.
According to the price action, Arbitrum is still in a downtrend on the daily chart. The trend can reverse only if ARB closes a daily candle above the resistance level of $1.28. This will create a higher high and change the market structure. ARB must stain above $1.10 to increase the probability of a trend reversal.
Inverse head & shoulders accelerate the Prices on 4H
As we drill down on the 4H chart, Arbitrum is showing early signs of a reversal. The price action shows a successful breakout of an inverse head & shoulders. This pattern is mainly associated with trend reversal and ARB managed to break out of it. This Breakout shot the prices up by almost 14%. As the Prices surge, there is a good possibility that Arbitrum can hit $2 this year.
The Bulls did manage to breach the resistance of $1.10 along with the 200 EMA. This is a good sign of strength as the bears failed to stop the price from rising. It is important to keep in mind that ARB is Volatile and it can be a thrilling opportunity as well as a dangerous encounter. Investors should follow a risk-management plan without being too greedy.
RSI: The RSI indicator is currently at 73.41 on the 4H and the RSI is about to cross down EMA. The market is bullish but can expect a pullback.
MACD: The MACD indicator is above the 0 line. The indicator is slowly moving towards a bearish cross. The market is still bullish but a correction can be on the way.
200 EMA: As observed, on the 4hr, The price managed to flip the 200 Exponential Moving Average(EMA). Although, a retest can be healthy for the price to continue its uptrend.
Technical levels
Support Levels: $1.10 – Support 1
$0.90 – Support 2
Current Price: $1.14
Resistance Levels: $1.28 – Resistance 1
$1.55 – Resistance 2
Conclusion:
ARBITRUM has managed a swift recovery from its recent swing low. The Daily trend remains bearish until a high is created above its resistance. ARB is showing signs of recovery but it’s important to keep in mind that the asset is relatively new. The lack of Data on the charts will hamper the accuracy of technical analysis. One must also factor in the fundamentals of the project to strategize their investment plan.
Disclaimer
The views and opinions stated by the author, or any people named in this article, are for informational purposes only. They do not establish financial, investment, or other advice. Investing in or trading crypto assets comes with a risk of financial loss.
