Journalist
Posted:
- A whale recently bought ARB worth a million dollars from FalconX.
- ARB’s price fell almost 1% and market indicators were bearish.
Arbitration [ARB] has seen quite a bit of pull from the whales as they expanded their hold. In general, an accumulation of whales reflects the confidence of the major players in an asset.
Realistic or not, here it is ARB market cap in terms of BTC
Given the recent whale movement, it therefore seemed likely that ARB’s chances of registering a price increase would materialize in the coming days.
Do Whales Actually Buy Arbitrum?
Lookonchain’s recent tweet highlighted whale activity, suggesting its accumulation was increasing. According to the tweet, a whale received 1.19 million ARB, worth over $1 million, from FalconX.
A whale received 1.19 million $ARB($1 million) from #FalconX already 4 hours ago.
This whale has collected 2.28 million $ARB ($1.93 million) from #Binance through #FalconX since September 13, with an average purchase cost of ~$0.81.https://t.co/HxXA7MUBHc pic.twitter.com/r7nJDkiVgJ
— Lookonchain (@lookonchain) September 23, 2023
This whale has collected 2.28 million ARBwhich were worth $1.93 million from Binance [BNB] via FalconX since September 13, with an average purchase price of approximately $0.81.
While this indicated that whales were stockpiling, the reality was a little different. A look at Santiment’s map revealed that it was not the whales that were buying, but the fish and shrimp that were increasing their holdings.
This fact was evident from the increase in the number of addresses with a balance of ARB. On the other hand, ARB addresses with balances greater than 10 ARB remained relatively flat.
In fact, whale activity around the token has been low, as evidenced by the number of whale transactions over the past week.
Source: Santiment
Aside from whale activity, several other metrics were also not in favor of the token. For example, the MVRV ratio fell sharply last week. Daily trading volume fell, indicating that investors are less interested in trading the token.
Moreover, Arbittrium’s one-week price volatility also decreased, reducing the chance of a sudden price move north.
Source: Santiment
MoonCrushThe data showed that market confidence in ARB was also low, as bullish sentiment around the token fell 30% last week. According to CoinMarketCapARB is down almost 1% in the last 24 hours.
At the time of writing, it was trading at $0.8337 with a market cap of over $1 billion, making it the 40th largest crypto.
How many Worth 1,10,100 ARBs today?
What can you expect from Arbitrum?
Several market indicators also supported the bears. For example, ARBThe Money Flow Index (MFI) and the Relative Strength Index (RSI) remained below the neutral limit. Arbitrum’s Chaikin Money Flow (CMF) recorded a decline.
Regardless, the MACD remained in buyers’ favor as it showed a bullish crossover on September 18.
Source: TradingView
