- ARB crypto price has decreased by over 6% during the weekly trading session.
- Technical Moving averages suggest a strong bearish signal in the current phase.
- The current ARB price is performing 57.43% below the all-time high price of $2.40.
Arbitrum (ARB) is a Layer-2 scaling solution that uses optimistic rollups to achieve speed, scalability, and cost efficiency on the Ethereum blockchain. The L2 solution provides higher throughput and lower fees compared to Ethereum. Arbitrum has a native token, ARB, that is used for project governance. By having a Vibrant ecosystem of DApps, wallets, tools, and partners, Arbitrum has become one of the leading scaling solutions for Ethereum.
Arbitrum May 2024, Supply Changes, Valuation & Distribution
The maximum supply of ARB tokens is locked at 10 billion. Its current circulation supply of 2.65 billion ARB tokens holds the current market capitalization of $2.79 billion. The total diluted valuation of Arbitrum is estimated at around $10.51 billion. The crypto is ranked among the world’s top 40 most dominant cryptocurrencies.
ARB crypto pairs with USD coins and tethers reflect higher liquidity on popular exchanges such as Binance, Bybit, OKX, etc. The 24-hour trading volume has reached over $300 million, with a decrease of 18.29%. The volume-to-market capitalization ratio (VMR) is at 10.62%. The current exchange rate of ARB to USD stands at $1.05.
The allocation of the Arbitrum tokens is widely distributed in five categories:-
- 17.53% is allocated to the Investors
- 1.13% is allocated to the DAOs in the Arbitrum Ecosystem
- 11.62% is allocated to the Individual Wallets
- 42.78% is allocated to the DAO Treasury
- 26.94% is allocated to the Team and Future Team + Advisors
Technical Analysis of the Arbitrum (ARB/USD)
The short-term outlook lies below the key exponential moving averages on the bearish side. The 50-day and 200-day EMAs had a death crossover, indicating negative sentiments. Both the EMAs can act as dynamic resistance for the price.
ARB price has given a breakout from a major trendline on March 16, 2024, at the $1.82 level. The price reflected over 50% decline to the $0.90 demand zone. In recent sessions, the crypto price showed an almost 38% upsurge from the demand zone but faced resistance from the $1.19 level.
According to the price actions analysis, the price can claim the $1.44 mark if the price breaks the $1.25 level. For the bearish trend, the price should close below the $0.76 support.
The relative strength index (RSI) shows bullish strength from the 30-mark lower band. The multiple crossover between the RSI and SMA lines reflects uncertainty. The RSI line is moving at 36.52 above the SMA line.
Summary
Since March 16, 2024, the Arbitrum crypto price has been facing strong bearish pressure. The crypto reflected over 25% of negative returns during the monthly trading sessions. Regarding the price action analysis, ARB price can claim the $1.44 mark if the price breaks the $1.25 level. For the bearish trend, the price should close below the $0.76 support.
Technicals Levels
- Resistance Levels: $1.44 and $1.82
- Support Levels: $0.90 and $0.76
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 any other advice. Investing in or trading crypto or stock comes with a risk of financial loss.