Whales Drive 25% Weekly Gain in Arbitrum Active Addresses

During the recent surge in Bitcoin prices, significant activity was observed from large investors, commonly referred to as "whales." These whales were particularly active during the minutes when Bitcoin prices experienced notable increases. Their transactions involved not only Bitcoin but also various altcoins, indicating a strategic diversification of their portfolios.

One of the altcoins that saw substantial activity was Arbitrum (ARB). The recent surge in ARB's price was fueled by several key developments. The introduction of tokenized U.S. stocks and ETFs on Arbitrum for European markets brought new liquidity and attention to the Layer 2 protocol. This move was complemented by the launch of tokenized stocks like MicroStrategy (MSTR) on Arbitrum, further boosting volumes and on-chain activity.

The on-chain metrics for Arbitrum were particularly bullish. The protocol saw over 420,000 active addresses, a 25% increase on a week-over-week basis. Additionally, significant movements from Gelato network and Monetalis-linked wallets indicated strong conviction from smart money investors. Despite some short-term dips, ARB showed green indicators such as RSI on support and formed solid support at around $0.35 with a double bottom pattern on the daily time frame.

Looking ahead, the focus is on European TradFi users onboarding into Web3 via ARB. With actively building out tokenized finance infrastructure, Arbitrum could become the go-to Layer 2 for real-world assets and next-generation decentralized applications (dApps). However, it is important to note that the crypto markets are highly volatile, and there are other Layer 2 protocols that pose serious competition to Arbitrum.

Another notable development in the crypto space is the introduction of Bitcoin Hyper, the first Layer 2 protocol built on Bitcoin. Bitcoin Hyper leverages Solana technology and zk-rollups to deliver next-level speed and scalability without compromising Bitcoin's security. The protocol allows users to bridge from Bitcoin to Bitcoin Hyper Layer 2 via the Bitcoin Hyper Canonical Bridge, enabling DeFi operations like staking and decentralized exchanges. The security of the transactions is ensured through periodic synchronization with the Bitcoin network, allowing users to reverse the process and send their BTC back to the Bitcoin chain if needed.

Bitcoin Hyper is powered by its native coin, $HYPER, which is currently on presale. The coin offers an attractive 429% APY for staking, and so far, more than $1.8 million has been raised. This development highlights the growing interest in Layer 2 solutions and the potential for Bitcoin to integrate with DeFi ecosystems.

In summary, the recent surge in Bitcoin prices was accompanied by significant activity from whales, who diversified their portfolios by investing in altcoins like Arbitrum. The developments around Arbitrum and Bitcoin Hyper indicate a growing trend towards Layer 2 solutions, which offer scalability and speed without compromising security. As the crypto market continues to evolve, these Layer 2 protocols are poised to play a crucial role in the future of decentralized finance.