Is Arbitrum Doomed? Price Drops 28% as New Dogecoin Rival Rakes in $2.8 Million

cryptonews.com:

Layer 1 Ethereum competitor Arbitrum ($ARB) took some of the worst price losses of yesterday’s market-wide crypto crash. While it quickly recovered 14% in the last 24 hours, its seven-day losses amount to 28%. It now trades for $0.5028 a token.

This kind of price movement is closer to meme coin volatility.

Market leader Bitcoin ($BTC) had less extreme price swings, advancing 7.4% in 24 hours but retreating 17% over the last seven days to its current price of $55,213.

But original meme coin and sector leader Dogecoin ($DOGE) kept pace with Arbitrum, recovering 13% overnight but losing 26% over the week.

Ethereum ($ETH) also faced heavy intraweek losses of about 26.4% and trades at $2,458. It recovered 8.6% overnight.

Arbitrum is now far below its July bottom of $0.60 but appears to have rebounded up from $0.40. It’s too early to say whether this will be a strong support level, but even if the token recovers quickly, there will be stiff resistance at $0.80.

The token currently has a relative strength index (RSI) of 49 and rising, indicating a healthy rebound.

With a maximum theoretical number of processed transactions per second (tps) of 40,000—far higher than Ethereum’s 119 tps—Arbitrum is an exciting project redefining capabilities of commercial meme coins. However, as witnessed by the recent price movement, it is also a volatile coin that people are likely to cash out of in times of economic distress.

For investors willing to go the long haul on a project, the best bet is presales. Since presales tokens usually aren’t listed on exchanges, their value is fixed for the duration of the presale. After that, when they hit the open market, if they’re good enough they appreciate.

One of the top presales right now is for cross-chain