Arbitrum’s Token ARB Launch Causes 18% Spike In Ethereum Daily Traded Volume
Amidst the U.S. cryptocurrency regulatory crackdown and the global banking crisis, the second largest digital asset Ethereum (ETH), has recorded an 18 percent uptick in daily traded volume. According to aggregate data from Binance-backed Coinmarketcap, the Ethereum market registered a 24-hour trading volume of approximately $12,392,144,477. Notably, approximately $51 million in Ether was liquidated in the past 24 hours, according to market data provided by Coinglass.
However, the underlying Ethereum price declined approximately 2.27 percent in the past 24 hours to trade around $1,752.
Profiting Amid Volatility
The increased volume and liquidation amid price decline are attributed to heightened whale activity taking advantage of market volatility. According to on-chain analytics firm Lookonchain, a cryptocurrency trader identified as smart money has been making calculated moves yielding high profits.
For instance, the smart money crypto trader made more than $3 million with yesterday’s FOMC statement on the interest rate.
The guy who calls himself "smartestmoney" transferred 7,868 $ETH to #Binance 10 hours before the announcement of the Fed rate decision.— Lookonchain (@lookonchain) March 23, 2023
Then received 19.6M $USDC from #Binance 2 hours after the announcement. #FOMC
Really smart!https://t.co/3wI6YKZlB8 pic.twitter.com/BqtIItEYMS
ARB Launch Bullish for Ethereum
The much-hyped Ethereum’s layer 2 scaling solution, Arbitrum, announced the launch of its token on Thursday. Notably, the Arbitrum Foundation announced that 12.75 percent of the $ARB token supply will be airdropped today. As such, increased on-chain activity has been recorded on the Ethereum network, whereby the Arbitrum ecosystem takes pride in over $649 million in gas saved on the ETH network.
Moreover, Arbitrum enjoys 55.6 percent of Ethereum’s rollup market share, with about 3.4 million users. According to the company’s website, the total value locked on the Arbitrum network amounts to $3.75 billion.
Amidst the ARB token launch, Lookonchain has warned investors to be careful with contract addresses they interact with to avoid getting scammed.
Please confirm whether the contract address is correct before trading $ARB!— Lookonchain (@lookonchain) March 23, 2023
A scammer created fake tokens of the same name as $ARB and generated $24.48k in volume on #Uniswap.
The correct address of $ARB: 0x912CE59144191C1204E64559FE8253a0e49E6548https://t.co/qvmcEz82Oh pic.twitter.com/47qvaePkXQ
Meanwhile, Wintermute Trading, Arbitrum’s market maker, received about 40 million $ARB and transferred a small amount to exchanges for testing.