The beginning of June was a boon for the Arbitrum cryptocurrency; the price of the ARB token surged along with the main cryptocurrencies in the market.
Beyond this rise, Arbitrum investors were also surprised by the appearance of a popular whale that started buying the token again in addition to a brand new token from an interesting and strong crypto project. Potential.
The causes of the price increase for ARB
Arbitrum (ARB) experienced a 9% price increase on June 2 to reach an intraday high of $1.25. This value also outperformed the overall gains of the cryptocurrency market, which were calculated at 1.5% over the same time period.
Most analysts who paid attention to movements on the blockchain quickly noticed a strange element, however. Indeed, Arbitrum's strong performance coincided with buying activity associated with trader Andrew Kang's crypto addresses.
On the same day, the one known as the co-founder of Mechanism Capital would have deposited stablecoins worth one million dollars in the Arbitrum pools. He then spent more than 20% of this sum on buying RDNT, the native token of the decentralized financial lending platform Radiant Capital.
Sometime after, Kang exchanged his newly purchased and existing RDNT reserves for $8,67,000 worth of ARB tokens, which he then deposited with Radiant Capital to borrow USD Coin from Circle, according to data harvested on Lookonchain.
The analytics platform also reported that an anonymous crypto whale transferred $1.5 million worth of ARB tokens to the OKX exchange. A transfer operated simultaneously with the transfers of Kang.
Typically, investors deposit tokens on cryptocurrency exchanges to sell them. Thus, such a situation increases the possibilities of a pullback at the level of Arbitrum in the days to come if its demand decreases.
Crypto Arbitrum Analysis
Moreover, analysis of the token's daily chart reveals that its technical pattern suggests the same. Incidentally, the ARB token has achieved what appears to be a bearish flag on the chart. The consolidation between two parallel and ascending trend lines after a strong downward movement confirms the latter.
A bearish flag usually ends when the price crosses below the lower trendline.Analysts predict that the ARB token, currently valued at $1.17, will fall to $0.95 in June, representing a reduction of about 20%.
If, on the other hand, the token managed to make a decisive break above the upper trendline of the flag, this bearish outlook would not take place.
The Arbitrum cryptocurrency would then have a better chance of reaching $1.35, which remains, until today, the resistance level of the March-May 2023 session.
The Ecoterra project: Another Token of Interest to Whales
Ecoterra is a blockchain project that aims to make recycling more rewarding and accessible to the general public. Through its Recycle-to-Earn rewards system, platform users can earn the project's native token, ECOTERRA, by recycling materials, purchasing recycled goods, and offsetting their carbon emissions.
Users can use the ECOTERRA token to buy goods and services on the ecoterra platform or trade on cryptocurrency exchange platforms.
ecoterra's Recycle2Earn app will allow users to earn ECOTERRA through product recycling easily. The ecoterra platform also includes a marketplace for recycled products.
Businesses can sell their recycled materials there, and consumers can buy recycled products at a reduced price. The platform also offers a carbon offset market.
Since its launch, the ecoterra presale has been able to raise more than $4.7 million. The current price of the token is $0.00925, but it will increase in the next phase of the presale. Do not hesitate to join the movement if you find this project interesting.