Arbitrum’s native token ARB has experienced a rapid price increase, reaching an all-time high of $2.42. Since September 2023, the price has been on a parabolic uptrend, consistently confirming its rising support trend line, most recently in December.
The momentum accelerated in early 2024, breaking past the previous all-time high of $1.70, which has now become a support level. Since then, ARB has surged by 60%, achieving its new peak today. Crypto analysts on Twitter are optimistic about ARB’s future trajectory, with predictions of at least a $2.60 price point.
Technical analysts employing Elliott Wave theory suggest ARB is in the third wave of a five-wave upward movement. This third wave, significantly extended, has created a parabolic rise, indicating a strong bullish trend.
The daily Relative Strength Index (RSI) indicates a potential local top due to a developing bearish divergence, hinting that a correction might be near. The initial level for a local peak is 15% above the current price, at $2.65.
If the third wave continues to expand, potentially reaching 3.61 times the length of the first wave, ARB could see a 45% increase, hitting the next resistance level at $3.28. Despite the bullish trend, technical analysis suggests caution as a local peak might be forming.