This Is Where Arbitrum (ARB) Price Needs to Be for $140 Million Profits

Arbitrum price gains have brought the altcoin significantly closer to registering a new all-time high. Doing so would also be highly profitable to thousands of investors.

However, the slightest drawdown could mean losses worth millions of dollars to $ARB investors. What would be the likely outcome?

Arbitrum Price Needs a Little Push

Arbitrum price trading at $2.16 is close to establishing a new all-time high. The former ATH of $2.42 was established at the beginning of this year, and $ARB warrants an 11% rally to break through this. The chances of this happening are high for two reasons. The first is support from investors, and the second is market conditions.

$ARB holders are likely poised to hold off on selling until the aforementioned level is breached. This is because about 64 million $ARB worth over $140 million is at the cusp of turning profitable.

Arbitrum GIOM. Source: IntoTheBlock

Secondly the Relative Strength Index (RSI) and Moving Average Convergence Divergence (MACD) are both signalling a bullish sentiment at the moment. RSI is a momentum oscillator measuring the speed and change of price movements, indicating overbought and oversold conditions.

MACD, on the other hand, is a trend-following momentum indicator that shows the relationship between two moving averages of an asset’s price. It consists of a MACD line, a signal line, and a histogram, which helps identify trend changes and momentum shifts.

Arbitrum RSI and MACD. Source: Tradingview

The former is in the bullish zone above the neutral line, and the latter indicates an active bullish crossover.

$ARB Price Prediction: Watch out for This Level

Looking at the aforementioned conditions, Arbitrum’s price has enough steam to complete the 11% rally over the coming days, making 64 million $ARB profitable. At the same time, doing so would also result in the altcoin marking a new all-time high.

$ARB/USDT 1-day chart. Source: Tradingview

However, given $ARB has been moving sideways for the past few days, a potential decline should investors opt to sell cannot be ruled out.

A solid support floor is established at $2.00, but losing this level would likely invalidate the bullish thesis since $841 million worth of $ARB would face losses. Consequently, Arbitrum price might end up testing $1.68 as the next support.