Layer-2 Project Arbitrum (ARB) is testing key resistance at $0.61 with bullish momentum.
The leading cryptocurrency Bitcoin touched $69 thousand, paving the way for many altcoins. Although Ethereum remained weak in terms of individual performance, it started to rise as Bitcoin strengthened. Touching $2,700, ETH triggered Layer-2 projects.
Ethereum scaling project Arbitrum gained momentum due to the positive outlook in the market. Although the popular altcoin has lost nearly 2 percent in value in the past 24 hours, it has reached a critical resistance level.
Analysis platform AMBCrypto noted that ARB is blinking at $0.68.
Arbitrum (ARB) analysis surprised.
AMBCrypto used the following statements in its analysis.
“Technical indicators support a breakout, but on-chain data suggests caution despite positive funding rates.”
The fact that ARB was trading in the region around $0.60 gave analysts hope. AMBCrypto emphasized that breaking the $0.61 resistance is not easy, but the daily close will be important.
According to the analysis, if the price of ARB closes above $0.61, it will fall to $0.68. On the other hand, the popular altcoin is expected to see a big drop if it loses the $0.55 support. ARB is trading at $0.57.
Maintaining its positive outlook, AMBCrypto noted the following;
“A rising trendline indicates continued buying pressure and increases the likelihood of upside momentum. However, failure to cross $0.61 could potentially lead to a temporary pullback towards $0.55.”
While technical indicators mostly show a bullish outlook, the RSI indicator points to overbought conditions. Analysis suggested that these indicators support an upward trend.
The MACD indicator formed on the ARB chart also shows the possibility of a positive reversal. AMBCrypto interprets the indicator as follows.
“These indicators show that while there may be short-term corrections, the general trend is bullish for ARB.”
This article does not contain investment advice or recommendations. Every investment and trading venture involves risk, and readers should do their own research when making decisions.
