Is Arweave Price Ready To Take A Big Leap Towards The $50 Level?
Arweave price has shown strong performance recently, climbing by 56% in just two weeks after rebounding from the $21 demand zone. However, at the time of writing, AR is experiencing a slight drop of 0.71% intraday and is trading around $33.
In June, AR faced a strong rejection at the $50 level, resulting in a sharp decline to $25, losing almost 50% in a month. However, recent social metrics have indicated a positive development, leading to a recovery in price.
Arweave is a decentralized storage network that aims to provide indefinite data storage. It is often referred to as a “collectively owned hard drive that never forgets.” The network supports the permaweb, which is a permanent, decentralized web consisting of community-driven applications and platforms.
Recent on-chain data reveals an increase in social media users engaging with Arweave. This has contributed to the overall strong performance of AR compared to other altcoins in terms of recovery. With the bulls seemingly in control, there is a possibility of reclaiming the $50 mark in the near future.
The price surge is supported by various factors, including positive developments in social metrics and transaction volume. Social dominance and social volume curve have been trending upwards, indicating an increase in the number of users. Additionally, the transaction volume has surged by 49.05% intraday to $96.72 million, highlighting a heightened demand for AR. However, the volume-to-market cap ratio suggests relatively low volatility at 4.65%.
From a technical standpoint, AR has surpassed the 20, 50, and 200-day EMAs, indicating a positive short-term outlook. The long-term trend suggests a range formation between the $50 level and the $21 level.
In the short term, the bulls are expected to continue dominating, potentially pushing the price closer to the $50 level. However, there might be resistance at the $36 level before reaching the $50 mark. In the event of a rejection at $36, the price could potentially retreat towards the $30 level.
Overall, AR has exhibited impressive performance, rising from $21 to around $33 in two weeks. The positive social metrics and increased transaction volume have contributed to its recovery. The price is likely to fluctuate between $21 and $50, with $36 potentially acting as a hurdle. A failure to surpass $36 could result in a decline towards $30.