90 Million ARB Airdropped to DAO Addresses: Price Analysis

Arbitrum (ARB) Airdrop and Market Impact

A recent blockchain analysis revealed that over 90.15 million Arbitrum (ARB) tokens were airdropped to 131 DAO addresses, estimated to be worth $118 million based on the current ARB price. This airdrop has influenced ARB's position in the market, where it ranks 35th by market cap.

ARB's Price Performance

Following the airdrop, ARB's price experienced a notable rise of 4.70% against the US Dollar. Additionally, it showed strength against major cryptocurrencies, Bitcoin (BTC) and Ethereum (ETH), increasing by 1.16% and 2.65% respectively. As a result, ARB is currently valued at approximately $1.37.

Technical Analysis

On ARB's 4-hour trading chart, the price has surpassed the 9 and 20 EMA lines, indicating a potential upward trend. The crypto is currently testing a key resistance level at $1.4038. If it breaks above this level, the next target is $1.47. The RSI indicator supports a bullish outlook, with the line trending positively towards overbought territory and positioned above the RSI SMA line.

Potential Risks and Considerations

Should ARB fail to close above the 9 EMA line, a fallback to $1.3088 is possible. External factors, such as the upcoming release of US Durable Goods Orders MoM data, may also impact ARB's price. Negative economic indicators could push prices below critical support levels.

Conclusion

While ARB shows promising short-term gains, traders should remain cautious and consider market volatility and economic data releases. Conducting thorough research and staying informed on market dynamics is crucial for making informed trading decisions.