Arweave [AR] has attracted considerable attention lately, demonstrating impressive growth alongside other altcoins focused on artificial intelligence.
Over the past day, AR has surged by more than 17% in value, paired with a substantial 134% uptick in trading volume as reported by CoinMarketCap.
Currently priced at $23.9 with a market cap of $1.5 billion, Arweave has emerged as a prominent player among leading AI cryptocurrencies, with expectations of further gains in the foreseeable future.
Is AR at the Forefront of Altcoin Resurgence?
AI-oriented altcoins, like Arweave, are seen as spearheading a revival in the altcoin market. This trend has been catalyzed by strong financial results from tech giants such as Nvidia, reigniting interest in AI technologies.
Parallel to Arweave, other AI coins like Bittensor [TAO], NEAR Protocol [NEAR], and Artificial Superintelligence Alliance [FET] have also witnessed substantial growth, creating an optimistic atmosphere within the sector.
Given AI’s role in shaping the future of the cryptocurrency landscape, Arweave stands out as a potential frontrunner in this resurgence of altcoins.
Could Arweave see a 100% increase in price by the year’s end?
Breaking a Significant Trading Pattern
The AR/USDT pair recently broke out of a descending wedge pattern that had been forming over a six-month period. This breakout presents a bullish signal, indicating the potential for further appreciation of the coin’s value.
If Arweave manages to surpass the $50 level, it would signify a 100% upsurge from its current valuation, a scenario supported by most indicators.
The Moving Average Convergence Divergence (MACD) indicator also highlights robust upward momentum, reinforcing the likelihood of continued price escalation. A realistic price projection for Q4 of 2024 hovers around $35, offering an almost 50% return on investment.
AI Cryptocurrencies Driving the Altcoin Revival
The broader trend of AI-driven cryptocurrencies like Arweave lends credence to the concept of an altcoin revival, where alternative coins outshine Bitcoin as its market dominance wanes.
This narrative gains further support from technical indicators like the Relative Strength Index (RSI), indicating a growing bullish sentiment in the market.
As Bitcoin’s supremacy weakens, the altcoin realm, led by AI projects, is anticipated to break free from its downward trajectory, signaling the onset of an altseason.
Whale Activity in Long Positions
Aside from the technical signals, there are indications that major investors, or “whales,” are amassing Arweave tokens.
The whale-retail delta (green) metric, which tracks the disparity between whale and retail trader activities, demonstrates an increasing inclination of whales towards long positions in AR, juxtaposed with the optimism of retail traders.
This divergence suggests that whales are confident in a sustained price uptrend, lending further credence to the positive outlook for Arweave.
Lastly, the bid-ask ratio displays a marginally bullish bias, indicating a positive market sentiment. As the ratio climbs, it signifies a higher demand for AR compared to the available supply.
This hints at a probable price surge in the near term. The slight imbalance reflects a mounting interest in AR and hints that whales are strategically positioning themselves to propel the price upwards.
Arweave (AR) is reaping the benefits of the broader surge in AI-focused altcoins. Backed by promising technical signals and whale accumulation, AR is poised for further appreciation.
The optimistic market conditions suggest a potential doubling of AR’s value by the end of the year.