In the cryptocurrency market, technical analysis emerges as an indicator that investors, especially those trading in the futures market, must continuously monitor. So, what clues does technical analysis provide for Arbitrum, trading at $1.13, and Optimism, trading at $2.39, at the time the article was written? We examine with detailed chart analysis and important support and resistance levels.
Arbitrum Chart Analysis
The first noticeable structure in the four-hour Arbitrum chart is the rising channel formation. The fact that this structure has touched both the support and resistance lines in the last week provides important clues for futures market investors. The role of the EMA 200 level (red line) as support during the recent correction process puts the bullish scenario a step ahead.
The most important support levels to follow on the four-hour Arbitrum chart are, respectively; $1.12, $1.09, and $1.06. A four-hour bar close below the $1.06 level, especially where it intersects with the formation support line, could lead to significant selling pressure on the ARB side.
The most important resistance levels to watch on the Arbitrum chart are, respectively; $1.15, $1.18, and $1.22. A four-hour bar close above the $1.15 level, which has been a significant obstacle in recent upward movements, will accelerate the ARB’s momentum.
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Optimism Chart Analysis
The rising channel formation structure stands out in the four-hour Optimism chart. The intersection of the support line with the EMA 200 is an attractive feature for investors. OP, which managed to break the resistance line during the rise on December 11, re-entered the formation structure and faced selling pressure after sales came from this region. OP, which has been squeezed into a narrow area lately, has gained upward momentum with the last bar breakouts.
The most important support levels to monitor on the four-hour OP chart are, respectively; $2.30, $2.19, and $2.07. Especially a four-hour bar close below the $2.07 level, which has been playing an important role since December 6, could lead to selling pressure on OP.
The most important resistance levels to watch for OP are, respectively; $2.41, $2.50, and $2.55. A four-hour bar close above the $2.41 level, which has been a significant barrier in recent upward movements, will help the OP price gain momentum.
