The AR cryptocurrency, native to the Arweave platform, has been rising in price strongly for the last two days, it is worth doing an analysis and forecast on it.
At the time of this writing, AR is trading at $ 81.13, accumulating a gain of 36.82% in the last 24 hours, and 66.21% in the last 7 days.
Its market capitalization is $ 2,718 million, which makes it the 63rd position in the Crypto Online ranking.
What is Arweave?
It is a decentralized storage network, in which indefinite data storage is offered.
The project describes the network as a collectively owned hard drive that you never forget, on a permanent, decentralized web that stores user-driven applications and platforms.
AR is the network’s native cryptocurrency, and is used to pay miners to store information indefinitely.
In August 2017 when the project was born, it was called Archain. In February of the following year the name would change to Arweave, and a few months later, June to be exact, the official launch occurred.
Since the launch of the mainnet, the growth has been exponential. Now we see how it hosts more than 300 sites and applications, as well as culturally and historically important data in an immutable library called Alexandria.
Furthermore, with the participation tokens and communities launched last summer, growth accelerated even further. Thanks to these launches, the network offers sustainable incentives for founders, developers, contributors and users alike.
Arweave technical analysis
In the daily chart we see how the price of AR is making an impulse, which is already quite extended at the current point.
The short-term trend is clearly bullish, but a correction, however small, may be on the way. The 8 EMA and 18-day SMA moving averages are trending, and may function as dynamic supports when Arweave price turns back.
Today the price is showing a bit of bullish exhaustion, so a pullback seems likely to start soon. However, it is not a very good idea to expect sales when buyers are in command. A decline will be quickly stopped by those who take advantage of discount prices.
After performing an analysis of the weekly Arweave chart, we can conclude that the price still has a bullish way to go.
This week momentum began to develop and managed to go above the previous high, confirming that the medium / long-term trend was resumed.
If we trace a Fibonacci from the lowest point of the previous momentum, we see that the price retraced towards 61.8% before starting this new bullish wave.
Now AR should go looking for at least -27%, which would take the price up to $ 94.33. Higher up the next target is $ 117.64 (-61.8% Fibonacci).
To think that a relevant fall is going to occur, the support at $ 51.33 must be lost, and at the moment this is a very unlikely scenario.
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