Disclaimer: The information presented does not constitute financial, investment, trading, or other types of advice and is solely the writer’s opinion.
- ARB’s recovery hit a bearish zone and could derail bulls.
- Funding rates were positive, but buyers lost little market influence.
Arbitrum [ARB] faced a bullish breakout from its narrow range of $0.87 – $0.90 and forayed above the mid-August lows of $0.9160. But the upswing entered a bearish and confluence zone that could tip sellers to gain market control.
Is your portfolio green? Check out the ARB Profit Calculator
Will ARB reverse recent gains?
The Relative Strength Index (RSI) climbed above the 50-neutral level and went sideways above it. It shows that buying pressure improved in the last few days but waned off as of press time.
In addition, the Chaikin Money Flow (CMF) failed to reclaim the zero threshold since the end of August. It demonstrates capital inflows into Arbitrum markets remained low in early September.
Despite the bullish breakout from the short-term range of $0.87 – $0.90, the H4 market structure was still bearish as of publication. Besides, price action entered a bearish zone.
The zone also doubles as a confluence of the 50-EMA (Exponential Moving Average) of $0.925, a previously invalidated daily bullish order block (OB) of $0.918 – $1.012 (red), and mid-August lows of $0.9160.
So, sellers could exploit the roadblock and push ARB lower towards the price imbalance and FVG (fair value gap) of $0.896 – $0.904 (white) or the range-low of $0.87. Such a drop could offer shorting gains.
Funding rates were positive but buyers lost little market control
Go to Source to See Full ArticleAuthor: Benjamin Njiri
Tip BTC Newswire with Cryptocurrency
Donate Bitcoin to BTC Newswire
Donate Bitcoin Cash to BTC Newswire
Donate Ethereum to BTC Newswire
Donate Litecoin to BTC Newswire
Donate Monero to BTC Newswire
Donate ZCash to BTC Newswire
