- ARB prices fell more than 3%.
- TVL continued its upward trend despite the recent price decline.
In recent days, Arbitrum (ARB) has experienced fluctuating price trends. Nonetheless, despite these price fluctuations, total value locked (TVL) within the network has reached an all-time high.
Arbitrum recovery is interrupted.
Between January 12th and 14th, Arbitrum’s daily timeframe chart showed a continuous downward trend. The largest decline occurred on January 14, reaching approximately 6.7%.
This decline is the second largest decline this year. After this decline, Arbitrum attempted to recover, showing back-to-back upward trends on January 15th and 16th, for a total gain of close to 6%.
Source: Trading View
However, as of this writing, the cryptocurrency has resumed its downward trend and is currently trading at around $2, down more than 3%.
Arbitrum’s price was above its short and long term moving averages, shown by the blue and yellow lines respectively. The yellow line served as support around $1.4.
Additionally, at the time of writing, the Relative Strength Index (RSI) is above 60, which indicates that ARB is currently in a bullish trend. It is worth mentioning that this price trend is a departure from the general market trend.
ARB traders reduce excitement
Arbitrum Funding Rate has shown a recent decline in trader enthusiasm over the past few weeks. Analysis of Coinglass data shows that the funding rate has decreased from approximately 0.06% to approximately 0.009%. At the time of writing this article, it was around 0.01%.
We also examined open interest and found that activity has decreased. Open interest exceeded $340 million on January 12, but has now fallen to about $313 million.
The observed funding ratios and open interest status indicate that buyers are still dominant despite their reduced aggressiveness.
Read Arbitrum (ARB) Price Prediction for 2024-23
Arbitrum’s TVL peaks.
An examination of DefiLlama’s Arbitrum TVL (Total Value Locked) shows a consistent upward trend over the past few months. Looking at the chart, it appears that the upward trajectory began around October and continues.
As of this writing, TVL is worth approximately $2.6 billion, the highest in the network’s history. TVL’s previous peak was around $2.5 billion.