Arkham [ARKM] tests $2.8 resistance level, eyes potential surge to $4

Arkham [ARKM] has demonstrated strength by breaking out of its bullish flag pattern and currently trading at $1.97, marking an 11.77% increase. Investors are closely watching whether it can surpass the critical resistance level at $2.828.

A successful breakthrough at this resistance level could indicate a significant rally, potentially propelling ARKM towards $4. However, the key question remains – will the current positive momentum be sufficient to carry ARKM through this crucial barrier?

ARKM Faces Resistance at $2.828

Arkham’s chart exhibits a buildup in momentum post a prolonged consolidation phase. With the bullish flag pattern breached, Arkham is now approaching the challenging $2.828 resistance level, a historical point of contention.

If the resistance is overcome, the next target is $4. Hence, traders are closely monitoring the price action around this level for signals of further upside potential.

Moreover, the Bollinger Bands indicate heightened volatility as ARKM nears this significant level. The RSI moving above 73 suggests a possibility of Arkham being overbought, a common occurrence during sharp market rallies.

Therefore, traders need to observe the resistance zone diligently, as a failure to breach it could lead to a short-term retracement.

Surge in Volume: Analyzing the Implications

Further strengthening the bullish case is Arkham’s remarkable 163.18% surge in trading volume, totaling $276.58 million over the last 24 hours. This substantial increase in volume validates continued accumulation of ARKM by traders, crucial for sustaining the upward momentum.

However, maintaining this elevated volume is essential for ARKM to overcome the $2.828 hurdle. A dip in trading volume might impede Arkham’s ability to break through this resistance level.

Increased Interest, Increased Potential

The daily active addresses have experienced a slight uptick from 298 to 330, signaling a rise in interest towards ARKM. This surge in network activity aligns with the price surge, indicating growing user engagement with the token.

Hence, this rise in activity supports the notion of Arkham continuing its upward trajectory.

Market Sentiment: What Traders Are Indicating

The Open Interest for ARKM has seen a notable 19.54% increase, now standing at $57.09 million. This surge implies a higher number of traders establishing positions, reflecting a positive market sentiment.

Combining the elevated Open Interest with the rising trading volume suggests that Arkham is potentially on the brink of a significant movement.

With ARKM’s breakout, accompanied by escalating volume and increased market participation, the likelihood of testing the $2.828 resistance level looms large. A successful breach could pave the way for a rally towards $4.