Coinspeaker
Ethereum’s L2 Network Arbitrum Registers Significant Rise in Web3 Adoption, ARB Price Up 6%
The Ethereum (ETH) network has maintained its top position as the leader in web3 activities primarily due to its versatile layer-two (L2) networks led by Arbitrum (ARB). According to the latest market data, the Arbitrum network takes pride in more than $14 billion of total value locked (TVL), which outshines that of Base, OP Mainnet, and Blast networks combined.
Furthermore, almost all the top-tier decentralized financial (DeFi) platforms on the Ethereum network are also available on Arbitrum.
Some of the top DeFi protocols on the Arbitrum network include AAVE V3, GMX, Uniswap, Pendle, and Compound V3, among many others.
ARB Price Signals Possible Rebound Soon
After bleeding more than 75 percent since March this year, ARB’s price against the US dollar could be on the verge of a V-shaped rebound. Already, the daily Relative Strength Index (RSI) has bottomed out from the oversold levels in the recent past.
Furthermore, the mid-cap altcoin with a fully diluted valuation of about $5.3 billion and a daily average traded volume of around $291 million, has been forming a potential reversal pattern.
In the one-hour time frame, ARB price against the US dollar has been forming a bullish pennant pattern after Thursday’s bullish rebound.
If the crypto bullish outlook continues over the weekend, ARB price will be aiming for the next liquidity range between 59 cents and 63 cents, which coincides with the 2.618 and 3.618 Fibonacci Extension in the 1-hour time frame.
Rising Demand for Arbitrum Scaling Solution
Since the approval of the US spot Ether ETFs, more institutional investors have been seeking to build web3 protocols to tokenize real-world assets on the Ethereum network. Furthermore, the Ethereum network has a vibrant online community of web3 developers and users around the world.
With the Ethereum network tapping on its layer two scaling solutions to build scalable DeFi applications, the Arbitrum chain is well positioned to attract more investors ahead.
For instance, the Arbitrum Foundation together with asset manager Franklin Templeton announced on Thursday that the Franklin OnChain US Government Money Fund (FOBXX) is now available on the Arbitrum network.
“Expanding into the Arbitrum ecosystem is an important step on our journey to empower our asset management capabilities with blockchain technology. We are enthusiastic about the opportunities this partnership will unlock for our firm and our clients,” Roger Bayston, Head of Digital Assets at Franklin Templeton, noted.
Meanwhile, the Arbitrum team recently announced that the bridged USDC can be used as a custom gas token for the Orbit chains. The easier gas payment through other digital assets will be vital for both developers and users on the Arbitrum network.
Ethereum’s L2 Network Arbitrum Registers Significant Rise in Web3 Adoption, ARB Price Up 6%
