• On June 2, the price of Arbitrum (ARB) rose 9%, beating the crypto market’s overall gains of 1.5%.
• The price rally coincided with some strange buying activity associated with popular trader Andrew Kang’s crypto addresses.
• ARB’s technical setup on the daily chart suggests that the token may experience a pullback in coming days if its demand drops.
Price Movement of Arbitrum
On June 2, the price of Arbitrum (ARB) jumped alongside the top-ranking cryptocurrencies after the United States Senate voted to raise the debt limit. The price of Arbitrum rose 9% to an intraday high of $1.25, beating the crypto market’s total overall gains of 1.5% in the same period.
Buying Activity Associated With Andrew Kang
The price rally coincided with some strange buying activity associated with popular trader Andrew Kang’s crypto addresses. Notably, on June 2, he deposited $1 million worth of stablecoins into Arbitrum pools and spent over 20% of it buying RDNT, the native token of decentralized finance lending platform Radiant Capital. He then exchanged his newly bought and existing RDNT reserves for $867,000 worth of ARB and deposited it to Radiant Capital to borrow Circle’s USD Coin USDC $1.00 .
Anonymous Whale Deposit
An anonymous whale also deposited $1.5 million worth ARB to OKX exchange simultaneous to Kang’s transfers earlier that day. The whale had withdrawn 1.2M $ARB from #OKX on May 8th which suggests that he was waiting for its rise before depositing again into OKX exchange on June 2nd.
Technical Setup On Daily Chart
ARBs technical setup on the daily chart suggests that it may experience a pullback in coming days if its demand drops as it printed what appears to be a bear flag after a strong move downward – confirmed by the price consolidating between two rising parallel trendlines..
Conclusion
Investors deposit tokens to crypto exchanges typically for selling which raises ARB’s pullback possibilities in upcoming days if its demand drops as suggested by its technical setup on daily chart..