- According to the weekly Arbitrum report, the network recently surpassed the milestone of 300 million transactions. This success confirms the network’s strong usage and growth.
- Despite a slight price rally, ARB experienced a significant amount of outflow according to the Money Flow Index (MFI) data. Further examination of the outflows revealed that whales have been selling significant amounts of their assets recently.
- The selling pressure from whales may have hindered the potential rise of ARB this week. It is worth noting that the cryptocurrency experienced some upward momentum, especially on Wednesday, July 12th.
According to the latest weekly report published by Arbitrum, the network has achieved significant growth, but the ARB token has observed a high amount of outflow; However, hopes are not lost for ARB.
Significant Growth Recorded on the Arbitrum Network
Ethereum Layer 2 network Arbitrum has released its latest weekly report. Among the highlighted points was a significant network milestone indicating rapid growth. According to the weekly Arbitrum report, the network recently surpassed the milestone of 300 million transactions. This success confirms the network’s strong usage and growth, which is not a bad situation for a network operating in a bear market.
In addition to the milestone, Arbitrum confirmed that it will hold Security Council elections on September 15th. According to the official announcement, the elections will include various sensitive issues, including critical risks faced by Arbitrum.
While the transaction milestone represents a step in the right direction, some growth metrics did not perform well. For example, Arbitrum’s network growth metric remained at low levels over the past six months.
On the other hand, there was an increase in the average token age metric of Arbitrum’s native token ARB. This indicated that most token holders were hodling instead of selling. This occurred despite the bear market movement of ARB.
ARB reached a new historical low of $4.20 in June this year. The same historical low represented a 70% decrease compared to the highest price level in the past six months.
Is ARB Token Losing Interest from Whales?
Despite a slight price rally, ARB experienced a significant amount of outflow according to the Money Flow Index (MFI) data. Further examination of the outflows revealed that whales have been selling significant amounts of their assets recently. This reflected a significant decrease in supply distribution between July 5th and 6th. The same supply distribution metric did not indicate signs of accumulation.
The selling pressure from whales may have hindered the potential rise of ARB this week. It is worth noting that the cryptocurrency experienced some upward momentum, especially on Wednesday, July 12th. However, as of writing this, most of Wednesday’s gains had already been given up.
Will we see a resurgence in whale demand? It is currently uncertain but not entirely impossible. The recent transaction milestone confirmed the state of network demand, which could strengthen ARB’s market sensitivity.
