According to TradingView data, Arbitrum (ARB), the utility token that drives the Decentralized Autonomous Organization (DAO) that manages the Arbitrum blockchain system, has pulled back from its most recent highs to the north of the $1.70 mark and was last trading in the $1.62s, down around 4% on Monday.
Nevertheless, according to CoinGecko, Arbitrum has increased by almost 32% over the past week, making it the top-performing cryptocurrency among the top 50 in terms of market value. Price projections are also mostly optimistic.
Arbitrum exploded upward last Thursday and Friday, rising from about $1.20 to nearly $1.70 in less than two days.
A downward break of a downtrend connecting a string of highs dating back to March served as the catalyst for the rise.
On top of the Ethereum network, the Arbitrum blockchain is a layer-2 scaling solution designed to reduce transaction costs and boost throughput.
With the airdrop of its ARB token on March 23, Arbitrum became a DAO for good.
Arbitrum has found a strong support near its March highs in the $1.60 region, indicating that the bull run that started in the middle of last week still has legs.
However, it is challenging to pinpoint ARB’s upcoming set of objectives to the upside due to a paucity of price data going back past mid-March.
In fact, if ARB does keep moving higher, it will be in a price discovery phase, and trading conditions will probably be quite erratic.
Targeting prices that match specific market capitalizations is one technique to approach price objectives.
For instance, ARB has a market valuation of just over $2 billion at its current price of slightly over $1.60.
ARB would need to reach a price of $2.35 in order to reach a market value of $3 billion with its current supply of 1.275 billion tokens.
Because of this, $2.35 may be a level that some bulls are aiming for.
Another strategy that bulls could employ to set upward price objectives is to 1) take into account psychologically significant round numbers and 2) take into account critical Fibonacci levels.
Regarding the former, many bulls are probably aiming for a test of $2.0 per token, followed by $2.5 and $3.0, and so on.
In the history of cryptocurrency, round figures have been significant. For instance, Bitcoin bulls have long waited for Bitcoin to reach $100,000 (which it may accomplish later in this bull market cycle).
Thus, long-term ARB bulls may aim for $10 in the years to come.
In terms of important Fibonacci levels, a Fibonacci retracement from the most recent lows to the most recent highs can be stretched to the upside to provide retracement levels of 161.8% and 261.8% at $2.13 and $2.78, respectively.
Given that the token is now in a bullish trend, Arbitrum has a bright prognosis for the next weeks and months, but cryptocurrency investors should always be trying to diversify their holdings.
Additionally, one coin has been the subject of much buzz in the cryptocurrency industry and on Cryptonews.com, where analysts have listed it as one of the top 2023 presales to invest in.
Deelance is a web3 startup that is developing an NFT-powered metaverse that will enable remote working and serve as a platform for recruiting. It is an interesting new cryptocurrency concept.
According to analysts, Deelance’s native cryptocurrency token, DLANCE, may perform admirably in the years to come as it rides two waves: 1) the growing trend toward remote labor and 2) increased acceptance of crypto and metaverse technologies.
Furthermore, DLANCE coins from the startup have been flying off the shelves throughout the presale. Since the beginning of the presale, DLANCE has raised more than $240,000.
Investors must act quickly since the token’s price will shortly increase from its current level of $0.025 to $0.029.
Investors who buy DLANCE now will sit on paper gains of more than 100% when it lists on exchanges later this year for $0.53.