Arb Breaks Above a Negative Trend Line to Re-Enter a Bullish Cha

The Arbitrum price managed to break above a medium-term negative trend line over the past 48 hours. As a result, the altcoin may soon flip the $1.9470 resistance level into support. A daily candle close above this barrier may then give ARB the foundation needed to rise to the subsequent threshold at $2.4255 in the following few days.

This bullish thesis may be invalidated if the Arbitrum price falls below the lower boundary of the positive price channel that has formed on the crypto’s charts over the last few weeks. In this alternative scenario, ARB may retest the immediate support level at $1.6810. Continued sell pressure at this point could then expose the Arbitrum price to the risk of falling to as low as $1.3450 in the short term.

Technical indicators on ARB’s daily chart suggest that the crypto’s price may continue to rise in the upcoming days. Both the Moving Average Convergence Divergence (MACD) and the Relative Strength Index (RSI) indicators are flagging bullish.

The MACD line is looking to cross above the MACD Signal line. An intersection between these two lines will trigger a significant bullish technical flag that may indicate that ARB has entered into a short-term bullish cycle. In addition to this, the RSI line is positioned above its Simple Moving Average (SMA) line, which could be a sign that buyers are currently stronger than sellers.