Home Editor's Pick Arbitrum Whales Deposit $58 Million Worth of ARB into Exchanges Post-Unlock

Arbitrum Whales Deposit $58 Million Worth of ARB into Exchanges Post-Unlock

by

The token unlock event for Arbitrum (ARB) took place on March 16, with the layer-2 blockchain project releasing 1.1 billion tokens worth approximately $2.32 billion.

The tokens were distributed to Arbitrum’s team members, advisers, and investors in a “Cliff Unlock,” meaning that the entire amount was released at once.

TLDR

Arbitrum whales moved $58 million worth of ARB tokens into exchanges after the token unlock on March 16.
Arbitrum unlocked 1.1 billion ARB tokens (worth $2.32 billion) for its team, advisers, and investors.
ARB token prices dropped consistently in the week leading to the token unlock, falling from $2.22 on March 13 to $1.64 on March 17.
Despite the price drop, some large whales continued to accumulate ARB tokens, suggesting bullish sentiment.
Arbitrum is scheduled to release another 92.65 million tokens (worth around $157 million) on April 16.

Following the unlock, blockchain analysis firm Lookonchain reported that at least 11 Arbitrum whales deposited a total of 34 million ARB tokens, worth nearly $58 million, into various cryptocurrency exchanges.

After the massive unlocking of $ARB, 11 whales deposited a total of 34M $ARB($58M) into the exchanges.https://t.co/Lcr5S3wE3t pic.twitter.com/jTBl5f3kQ5

— Lookonchain (@lookonchain) March 18, 2024

This move sparked concerns among the community that the token’s price would experience a significant dump.

In the days leading up to the unlock, ARB token prices had already been on a downward trend.

The token reached a high of $2.22 on March 13 but fell to $1.84 on the day of the unlock.

The following day, March 17, saw the token drop further to $1.64, marking a seven-day low.

As of this writing, ARB is trading around the $1.70 level, nearly 29% below its all-time high of $2.39, which it achieved on January 12.

7 Day ARB price on coingecko

Despite the price drop, some large whales appeared to remain bullish on Arbitrum’s prospects.

Data from Santiment revealed that wallets holding between 100,000 and 100 million ARB tokens continued to accumulate in the days leading up to and following the unlock.

However, it remains to be seen whether these whales will maintain their bullish stance or decide to sell their holdings in the coming days.

Arbitrum’s on-chain activity also saw a significant increase due to the token unlock event.

The number of unique addresses active on the network reached 330,000 on March 16, an increase of 13,000 compared to the previous day.

Additionally, the number of new addresses on the network jumped by 77%, indicating growing interest and adoption among retail investors.

Looking ahead, Arbitrum is scheduled to release another 92.65 million tokens, worth approximately $157 million at current market prices, on April 16.

These tokens will be distributed to the Arbitrum team, advisers, and investors, potentially leading to further price volatility in the near future.

The post Arbitrum Whales Deposit $58 Million Worth of ARB into Exchanges Post-Unlock appeared first on Blockonomi.

You may also like