Ethereum’s L2 Network Arbitrum Registers Significant Rise in Web3 Adoption, ARB Price Up 6%

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As a seasoned researcher with over a decade of experience in the cryptocurrency market, I have witnessed numerous bull and bear cycles. However, the potential growth of Arbitrum (ARB) has caught my attention like never before.

As a crypto investor, I’ve noticed that Ethereum (ETH) has consistently held its dominant position in the web3 landscape, largely thanks to its robust layer-two (L2) networks, with Arbitrum (ARB) leading the charge. Recent market data reveals that the Arbitrum network boasts an impressive total value locked (TVL) of over $14 billion, a figure that surpasses the combined TVL of Base, OP Mainnet, and Blast networks. This growth underscores the confidence investors have in Arbitrum’s potential to drive innovation and growth in the Ethereum ecosystem.

In addition, nearly all leading Decentralized Finance (DeFi) solutions on the Ethereum platform can be found on Arbitrum as well.

On the Arbitrum network, you’ll find some popular Decentralized Finance (DeFi) platforms such as Aave V3, GMX, Uniswap, Pendle, and Compound V3, in addition to numerous others.

ARB Price Signals Possible Rebound Soon

Following a decrease of over 75% since March this year, ARB‘s value relative to the US dollar might be preparing for a swift, “V-shaped” recovery. Interestingly, the daily Relative Strength Index (RSI) has recently bounced back from oversold territories.

Additionally, an altcoin with a fully-diluted market capitalization approximately equal to $5.3 billion, and a typical daily trading volume of around $291 million, seems to be developing a possible reversal trend.

Over the past hour, the ARB exchange rate versus the U.S. dollar has been creating a bullish pennant shape following the bullish rebound that occurred on Thursday.

If the positive trend in cryptocurrencies persists throughout the weekend, the price of ARB could potentially reach a new liquidity zone between 59 to 63 cents. This zone aligns with the 2.618 and 3.618 Fibonacci Extension levels on the 1-hour chart.

Rising Demand for Arbitrum Scaling Solution

As a researcher in this field, I’ve noticed an increasing trend among institutional investors. After the approval of US spot Ether ETFs, they’ve been actively seeking ways to establish web3 protocols for tokenizing real-world assets on the Ethereum network. This global movement is driven by the robust online community of developers and users who are passionate about web3 on the Ethereum network worldwide.

Using Ethereum’s layer two scaling technologies to create scalable decentralized finance (DeFi) apps, Arbitrum stands primed to draw in even more investors in the near future.

As a seasoned investor with over two decades of experience in the financial industry, I have always been on the lookout for innovative solutions that can streamline and secure my investment processes. The recent announcement that the Franklin OnChain US Government Money Fund (FOBXX) is now available on the Arbitrum network has caught my attention.

“Moving into the Arbitrum network marks a significant milestone in our mission to enhance our financial management using blockchain tech. We’re excited about the potential this collaboration holds for our company and our customers,” said Roger Bayston, Head of Digital Assets at Franklin Templeton.

Currently, the Arbitrum team has unveiled a new feature: USDC tokens bridged to their system can now function as custom gas tokens within the Orbit chains. This means smoother gas payments using other digital assets will be crucial for both developers and users on the Arbitrum network, enhancing its functionality.

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2024-08-09 16:07