- ARB tests key support near $0.39, signaling a potential rebound, but the overall trend remains bearish within a descending channel.
- Breakout potential emerges as ARB trades within a falling wedge; a move above resistance could trigger a recovery toward $1.
- Accumulation zone strengthens between $0.30–$0.40; a breakout with strong volume may shift sentiment and fuel bullish momentum.
Arbitrum (ARB) is testing the lower boundary of its descending parallel channel, suggesting a possible rebound toward $0.63. The ARB/USDT perpetual contract on Binance indicates a downward trend within well-defined trendlines. The price remains constrained within the channel, with multiple resistance rejections and support bounces.
Source: Ali
The price peaked near $2.60 before sharply declining. A retracement followed, forming a lower high around $1.25. The trend persisted downward, with brief rallies failing to break resistance. Recently, ARB reached approximately $1.10 but faced another sharp decline. The price structure confirms a pattern of lower highs and lower lows, reinforcing the bearish trend.
ARB Maintains Structure Despite Downtrend
Currently, ARB trades near $0.3938, hovering around the channel’s lower boundary. A slight bounce off support suggests short-term buying activity. However, overall momentum remains bearish, and no breakout attempts are evident.
The descending channel remains intact, respecting its trendlines. A minor rebound from support is visible, yet the broader trend remains downward. Unless a strong bullish move breaks resistance, the downtrend is expected to continue. The market structure aligns with previous movements, highlighting repeated lower highs and lower lows.
Possible Breakout and Recovery Toward $1
After a long consolidation phase, ARB has consistently tested resistance within its daily falling wedge pattern. A breakout could trigger a significant recovery toward $1 and beyond in the coming days.
The ARB/USDT chart on Binance highlights a downward trajectory since late 2024. The falling wedge pattern suggests possible trend exhaustion. A breakout above resistance may signal a shift in market sentiment.
Source: X
At present, ARB trades at $0.4081, reflecting a 7.45% increase in the latest session. A projected breakout target of $0.95 presents a potential 121.66% gain. This target aligns with prior resistance levels, making it crucial for traders. The lower boundary of the wedge has provided strong support, preventing further losses.
ARB remains below key moving averages, confirming its bearish trend. However, the demand zone between $0.30 and $0.40 has seen accumulation. Market sentiment and liquidity will influence the next major move. If sustained volume accompanies a breakout, bullish momentum could drive prices higher.
