Arbitrum distributed over 90 million ARB tokens to 125 DAO wallets earlier today as part of an airdrop. ARB prices reacted positively to the news.
Arbitrum distributes ARB tokens for 125 DAOs
Arbitrum airdrop distributor The DAO sent more than 90 million ARBs worth $120 million to 125 wallets on Tuesday. 90,148,325 ARBs were sent to 125 DAOs at $1.33 per token.
Treasure DAO received the largest amount of ARB at 8 million tokens, with 60 other wallets each receiving at least 75,000 ARB, according to crypto intelligence tracker Spot On Chain. The top 15 wallets with the highest amount of ARB are as follows:
The top 15 DAO wallets received ARB. Source: Spot On Chain
The news of the Arbitrum airdrop resulted in a positive response from ARB and the price of the token rose, but experts pointed out that it is on a downward trend as the distribution of ARB is likely to continue.
Why do experts peg ARB’s earnings at $1.6?
Analysts assessed the phases of ARB, dividing them into accumulation, distribution, and expansion, predicting a surge in the price of the token.
Technologist and cryptocurrency trader Crypto McKenna believes that ARB price is on track to reach its $1.6 upside target. McKenna’s bullish thesis based on ARB is currently in the distribution phase, with more tokens being transferred to the DAO wallet ahead of the next phase of scaling.
ARB/USDT 1H chart. Source: TradingView
During the expansion, McKenna expects ARB price to witness a bullish breakout and reach $1.6. A rally to $1.6 would represent a 23% upside from the current price of $1.30. As the chart above shows, ARB prices have been rising since Monday, and a bullish engulfing candle on the daily chart could bring ARB into the next phase of the bull market.
Believe in ARB’s Potential
On the other hand, analyst Jack Niewold recently made a bold statement that Arbitrum (ARB) will definitely beat well-known cryptocurrencies such as Hedera, Aptos, Stellar, ICP, ETC, LEO Token, Avalanche, and XRP.
According to Niewold, ARB offers investors the opportunity to gain unliquidated leveraged ETH beta while also outperforming other assets, especially during the current period of high Ethereum fees.
However, not everyone in the crypto community agrees with this assessment. Some commentators have argued that Arbitrum does not provide any significant value to investors; instead, it simply provides more affordable and convenient access to existing networks.
While it’s a successful business model, especially given the ethereum network’s current high fees, skeptics question whether Arbitrum has the potential to overtake giants like XRP or Aptos.
It’s worth noting that, unlike Arbitrum, which runs on existing blockchains, both XRP and Aptos seek to offer unique value propositions to their users.
For example, XRP aims to revolutionize cross-border payments, providing instant, low-cost, and secure transactions. Likewise, Aptos is focused on creating a decentralized and scalable infrastructure for Web 3.0 applications.
Arbitrum, on the other hand, is an Ethereum layer 2 solution designed to enhance the performance of the Ethereum network by providing faster, cheaper and more scalable transactions. The platform achieves this by using Optimistic Rollup, a technology that enables off-chain computation and storage while maintaining the security of the Ethereum blockchain.
Essentially, Arbitrum enhances the user experience on the Ethereum network without introducing any new features or functionality. There’s no denying that Arbitrum has gained massive momentum and is helping to alleviate the current congestion on the Ethereum network, but it remains to be seen whether it will overtake major cryptocurrencies like XRP and Aptos.
- Determine why and how Arbitrum topples Ethereum in this regard
- Lido considers using ARB received from airdrop to increase activity on Arbitrum
board take
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