"Arbitrum (ARB) Token Sees Significant Decline, But Whales' Movement Suggests Potential Rebound
The Arbitrum (ARB) token has experienced a drastic 56.90% price drop over the past 90 days, currently trading at $0.94. While this decline may seem ominous, technical analysis and on-chain data suggest that ARB could recoup its losses in the future. Notably, whale activity has increased, fueling expectations of a potential price rise.
According to Santiment's data, addresses holding 100 million to 1 billion ARB tokens have been accumulating more tokens since June 5, increasing their supply from 27.19% to 34.40%. On June 10, whales acquired 251.79 million ARB tokens, a sign that could indicate a forthcoming price increase.
Historically, ARB has given buy signals based on certain indicators, but the expected rise did not materialize due to poor timing. However, the current concentration of large holders suggests a different scenario. IntoTheBlock data reveals that 88% of ARB holders are currently in the loss, while only 4% are in profit. Moreover, 83% of holders possess a significant amount of tokens, indicating potential price growth if whale accumulation continues.
Investors should closely monitor the following key points:
- Whale accumulation movements
- Addresses holding 100 million or more ARB tokens
- Money Flow Index (MFI) to track buying and selling pressure
- Resistance level reached on May 21
A surge in buying pressure could propel ARB towards its previous resistance level, while a concerted sale by whales could significantly impact prices. As the daily chart money flow index (MFI) declines, investors must vigilantly monitor buy and sell pressure to capitalize on potential opportunities."