The price of Arbitrum (ARB) fell below $0.10, a nearly 20% drop from recent levels, continuing its bearish trend. Technical analysis points to a potential reversal, with a “falling wedge” pattern signaling weakening selling pressure that could precede a breakout toward the $2 mark. Separately, the DeFi lending protocol Ploutos launched on the Arbitrum network, aiming to provide users with faster and lower-cost transactions.
The price of Arbitrum (ARB) declined sharply below $0.10 after consolidating between $0.11 and $0.12 earlier in the week. This move represents a drop of nearly 20% from recent highs, reflecting ongoing bearish pressure in the market for the Layer 2 token.
Technical indicators show ARB approaching oversold conditions, with the Relative Strength Index at 31.7. The MACD line hovers slightly above the signal line, suggesting the bearish momentum may be starting to ease. Short-term traders are monitoring the token for signs of stabilization or a potential rebound.
A crypto analyst highlighted that ARB is forming a “falling wedge” pattern, which indicates weakening selling pressure. “It has been in a downtrend for a while, and a bullish reversal pattern is a sign of weakening selling pressure,” the analyst stated.
A confirmed breakout above resistance could propel a swift move toward the $2+ supply zone. Volume and market sentiment will be critical factors in supporting any potential momentum for such a price move.
In a separate development, the DeFi lending and borrowing protocol Ploutos went live on the Arbitrum network. This allows users to supply or borrow crypto assets with faster transactions and lower fees compared to the Ethereum mainnet.
The platform has activated incentives for liquidity suppliers on Arbitrum. This launch aligns with a broader trend of DeFi protocols migrating to Layer-2 solutions to improve efficiency and reduce costs for users.
