Arkham (ARKM) Price Skyrockets 31% as the Platform Launches New Crypto Derivatives Exchange

Arkham Intelligence is fast growing and has now opened its new line of business through crypto derivatives exchange whereby contracts for perpetual futures contracts will be offered.

Arkham Intelligence is rapidly expanding its footprint in the crypto industry with the launch of its new crypto derivatives exchange.

The exchange will offer contracts for perpetual futures, catering to the growing demand for derivatives among retail traders. Arkham's fully on-chain audited platform will also feature PoR slots for the retail trading circuit, enhancing transparency and accountability.

Arkham's platform provides users with blockchain analysis and data insights, enabling them to determine connected parties based on crypto wallet numbers.

The exchange, set to begin trading next week, will face direct competition from Binance, Huobi, and other major exchanges. However, it will not operate in the U.S. due to legal restrictions. This marks Arkham's first foray into crypto trading, broadening its services beyond analytics.

With the integration of live audits, Arkham aims to instill confidence among users regarding the stability and security of funds, capitalizing on the rising demand for transparency in crypto exchanges. Analysts anticipate that this expansion will pave the way for Arkham to enhance its presence in the crypto market.

Rising Demand for Crypto Derivatives and Perpetuals

The cryptocurrency derivatives market has witnessed a phenomenal surge, with trading volumes reaching $3 trillion in September, up from $1.5 trillion during the same period last year.

This growth is primarily driven by the increasing participation of retail traders in derivative products trading. Arkham's entry into this market aligns with the trend among crypto investors seeking to mitigate risks and capitalize on market fluctuations.

Moreover, the exchange will amplify competition in this sector, especially considering that other trading platforms, such as Crypto.com, have begun offering derivatives linked to novel assets like memecoins.

This trend is likely to continue, especially if the market conditions remain favorable and there are fewer restrictions on regulations.

Technical Analysis: ARKM Price Shows Bullish Momentum

Following the news, ARKM price breached a key resistance level at $1.93 and reached $2.11. This price movement signals a shift in momentum, with potential for further gains if the support at $2.03 holds.

Analysts indicate that if this level is maintained, ARKM could move toward a new resistance target of $2.72, which would represent an approximate 30% upside from current levels.

Additionally, technical indicators support this outlook. The Moving Average Convergence Divergence (MACD) on the 4-hour chart indicates a bullish trend, with the MACD line crossing above the signal line and showing increasing separation.

This signifies growing buying pressure and positive momentum, as evidenced by the expanding MACD histogram. However, any signs of convergence in these lines could hint at a slowdown in upward momentum.

Meanwhile, the Relative Strength Index (RSI) for ARKM is currently at 76.42, indicating that the stock is in overbought territory. This suggests that the recent rally may prompt some traders to lock in profits, which could lead to a short-term pullback.

The RSI's rapid rise from 60 to over 76 corresponds with the price surge and strong market demand. If the RSI moves below 70, it may signal a corrective phase for ARKM, although sustained levels above 70 could indicate further bullish momentum.

Future Outlook

At press time, Arkham (ARKM) was trading at $2.08, reflecting a 31% increase over the past seven days. Its market cap stood at $467.98 million, marking a 1.68% rise, while the 24-hour trading volume was at 190.26 million.

Arkham's exchange launch could enhance ARKM price trajectory, provided market conditions remain supportive and key support levels are upheld. With the integration of on-chain audits and proof-of-reserve features, Arkham's platform is well-positioned to cater to the needs of retail traders in the crypto market.