As the market enters a consolidation phase, Bitcoin still has not broken through the $100,000 mark, but at the same time, opportunities for altcoins are quietly emerging. Today, the altcoin we want to focus on is ARKM, which belongs to the AI sector and has shown an upward trend in the past few months. Considering the current market environment and the upcoming unlocking event, ARKM may welcome a breakthrough opportunity.
The upward potential of ARKM
Since August, ARKM has established a clear upward channel. Recently, the price trend has retraced and encountered resistance at the upper edge of the channel, confirming support at the median line. At this point, the increase in volume and signs of major funds' involvement provide strong support for ARKM's subsequent rise. Especially with the small-scale unlocking event that ARKM is about to face, although the unlocking amount is not large, the speed of the unlocking presents a short-term price correction opportunity worth our attention.
Short-term retracement opportunities
Currently, although ARKM's price faces certain correction pressure, this precisely provides us with an opportunity to enter at a low price. From a technical chart perspective, ARKM's support levels are mainly concentrated in the following areas:
Median line support of the channel: This is a key support level for ARKM's recent consolidation and has been confirmed multiple times previously.
Previous retracement low: Around $1.94, this position aligns with the 0.382 region of the Fibonacci support and has previously been a price high.
Bollinger Bands lower band: The opening of the Bollinger Bands indicates the possibility of price fluctuating upwards, and short-term low-price absorption is expected to bring certain profits.
If ARKM's price retraces to these support levels, it would be prudent to consider gradual accumulation in stages to seize this possible rebound opportunity. In terms of trading value, the short-term retracement space is about 20% based on the current consolidation rectangle.
Technical and financial aspects
From a technical perspective, ARKM's MACD indicator has formed a golden cross above the zero line, indicating a potential bullish signal. The Bollinger Bands are slightly opening, and the price bottom is gradually rising, suggesting an increased likelihood of an upward trend.
On the other hand, the supply of stablecoins continues to increase, and the market demand for stablecoins is rising, indicating more funds flowing into the crypto market, which also provides good financial support for altcoins like ARKM. Although the overall market is currently in a consolidation phase, as funds gradually enter, ARKM's upward potential remains worthy of expectation.
Suitable trading strategies
For ARKM, we can adopt the following strategies:
Gradual accumulation in stages: Gradually enter the market when the price retraces to previous support levels, lowering the holding cost.
Buy high, sell low: Operate based on price fluctuations within the range, trying to gain short-term profits.
Increase positions after breakout confirmation: If ARKM breaks through the current resistance range and confirms an upward trend, consider increasing positions to participate in its significant rise.
Therefore, ARKM, as a representative altcoin of the AI sector, currently shows potential in both technical and financial aspects. Although it faces a short-term correction, in the long run, ARKM has relatively large room for growth. If market funds continue to flow in, the rise of ARKM may just be a matter of time. Therefore, we should keep an eye on it and seize the opportunity for a potential breakout.
Introduction to ARKM:
Introduction Arkham is a platform that offers on-chain data and intelligence analysis rewards using AI technology. Arkham uses its proprietary AI engine ULTRA to match addresses with real-world entities through algorithms. The development of Ultra took more than 3 years and received support from the founders of Palantir and OpenAI. - Arkham launched 'Intel-to-Earn,' a product that matches blockchain buyers and sellers on a large scale for intelligence economic information. ARKM is the native utility token of the Arkham platform. It is used for: 1. Intelligence data analysis platform: ARKM is the currency of the Arkham data analysis platform, the first open market for trading cryptocurrency data analysis. 2. Governance: Token holders enjoy governance rights and can vote on the strategic direction of Arkham. 3. Incentives: Users earn ARKM rewards by submitting intelligence information, recommending new users, and other actions that benefit ecosystem development. - Arkham has two main components: 'Analysis Platform' and 'Intel Exchange.' The Arkham platform provides data and analysis as follows: 1. Entity pages for individuals, companies, and other entities, showing current and historical portfolio holdings, searchable and sortable transaction history, profit and loss, and key counterparties. 2. Token pages displaying major holders, transactions, and trading flows. 3. Network visualization mapping entity relationships and fund flows. 4. Real-time alerts for trading with customizable parameters. The Arkham intelligence trading platform allows anyone to buy and sell address labels and other intelligence. 1. Bounties: Users can post bounties for specific intelligence by locking ARKM in bounty contracts. Bounty hunters submit intelligence for verification, and if successful, receive the bounty. 2. Auctions: Users with high-value information can auction verified intelligence to the highest bidder through an auction system. 3. DATA program: Users who submit intelligence for training Ultra (Arkham's AI de-anonymization engine) will be rewarded.
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