A fresh batch of whales who hold Arbitrum have transferred their coins to exchanges after a significant number of vested tokens were released earlier this month. On March 23, Lookonchain, a blockchain data platform, identified four additional wallets that moved ARB tokens into exchanges following the $2.32 billion token unlock on March 16. These whales transferred a total of 11.34 million ARB tokens to Binance in four separate transactions, amounting to approximately $18.5 million.
According to Lookonchain, the crypto community has had mixed opinions about these recent fund movements in Arbitrum. While one user believes that this is not a bearish sign, another user thinks that ARB will not increase in value.
This event comes after another group of whales deposited ARB into exchanges last week. On March 18, Lookonchain reported that whales transferred ARB tokens worth $58 million to exchanges.
The transfers occurred following the release of $2.3 billion worth of tokens by the layer-2 blockchain project Arbitrum, after the vesting period. The project allocated 673.5 million ARB tokens to its advisers and team members, and 438.25 million ARB tokens to investors. The tokens were released in a cliff unlock, meaning they were all released at once. This triggered predictions of a massive sell-off, while others hoped this would not be the case.
Following the token unlock, ARB prices experienced a downward trend. On March 13, the ARB token reached a high of $2.22, but dropped to $1.84 on March 16 when the tokens were unlocked. In the past seven days, the token dropped to as low as $1.48 on March 19, but reached a high of $1.79 on March 21. As of now, the token is trading around $1.70.
According to CoinGecko, a coin data tracker, ARB’s current price point is nearly 29% lower compared to its new all-time high of $2.39 on January 12.
While the token vesting unlock has already had an impact on prices, it may not mark the end of the downward price trend. According to the crypto vesting tracker Token Unlocks, Arbitrum is scheduled to release an additional 92.65 million ARB tokens for its advisers, team, and investors on April 16.