Arbitrum Price Drops Amid Whales’ Activity

The decline in Arbitrum’s price breached a significant support level, trading at $1.6435, the first time below $1.685 since February.

Spot On Chain, an on-chain platform for crypto analytics, reports that the price of Arbitrum (ARB) fell 11% amid a market downturn and a significant unlock. Spot On Chain reported in an X post that six wallets that had recently acquired tokens through vesting contracts deposited Binance $8.95 million ARB, or $16.4 million.

Additionally, the analytics platform noted that the identified wallets retain 32.95 million ARB, which is valued at $56.6 million, and they can deposit additional tokens.

Crypto users frequently examine transaction patterns involving whales to comprehend and interpret market trends. In this vein, crypto billionaires may be preparing to sell when they transfer digital assets to central exchanges such as Binance. Such enormous sell-offs frequently result in cryptocurrency price crashes.

Whale Activity Impacting Arbitrum’s Market Dynamics

The price action of ARB indicated that the price continued to decline during the time frame cited by Spot On Chain.

Despite the token of the Layer-2 protocol declining, it breached a substantial support level and continued to fall with considerable momentum.

ARB traded at $1.6435 at the time of writing, according to data from TradingView, marking the first time since the start of February that the price fell below $1.685.

It is imperative to acknowledge that the decline in cryptocurrency prices is not unique to Arbitrum, as several prominent cryptocurrencies, such as Bitcoin and Ethereum, have substantially reduced value over the last few days.

Bitcoin’s value has decreased by more than 12 percent in the previous three days, falling from its most recent all-time high of $73,794 to $64,707 at the time of writing.

In the interim, Ethereum has experienced a decline of more than sixteen percent, falling from $4,095 to $3,432. Following a substantial rally over the previous few weeks, the market underwent a tremendous pullback, led by both leading cryptocurrencies.