Cryptocurrencies are currently facing significant fluctuations due to the erratic 25% tariffs on imports introduced by President Donald Trump.
On Tuesday, March 4, Bitcoin (BTC) dropped below $83,000 when these tariffs took effect; however, by Thursday, as some tariffs were either delayed or retracted, Bitcoin rebounded to over $90,000.
As of Sunday, Bitcoin dipped below $83,000 again, marking an 11.8% decline over the past week. In the meantime, Ethereum (ETH) is trading around $2,000, reflecting an 18.2% drop during the same timeframe.
Looking ahead to the upcoming week, crypto.news has pinpointed three altcoins to watch: Arbitrum (ARB), Flare (FLR), and Pi Network (PI).
Arbitrum
Arbitrum has been on a marked downward trend for nearly two years. It peaked at $2.4253 in 2023, establishing itself as the second-largest layer-2 blockchain.
However, it later fell to an all-time low of $0.312.
What contributed to this downturn? Arbitrum is a notably dilutive cryptocurrency. With a circulating supply of 4.41 billion against a total supply of 10 billion coins, it releases 479,068 new tokens daily and will unlock 93.2 million tokens this week. The unlocking process is set to continue until April 2027.
Recently, the Arbitrum token has sharply declined, falling below the essential support level of $0.4310. It continues to remain under the 50-day moving average, with the Relative Strength Index indicating a downward trend.
Consequently, the token is likely to keep declining in the lead-up to and post the token unlock. If this pattern continues, the next significant level to watch for ARB will be $0.25.
Arbitrum was developed by Offchain Labs, a New York-based company founded by Steven Goldfeder, Ed Felten, and Harry Kalodner.
Flare
Flare is another significant cryptocurrency to watch, as it is set to unlock tokens worth $28.16 million, equivalent to 2.90% of its circulating supply. Approximately 68% of all circulating tokens have already been liberated.
The Flare token has seen a decline from its peak of $0.03840 on December 3 to $0.01575, which is its lowest price since November 15.
It has fallen below the 50-day moving average. On a more optimistic note, it has formed a falling wedge pattern with the two lines almost converging, indicating a potential price rebound for Flare, possibly retesting the 50-day moving average at $0.0220.
Flare was established by Flare Networks, founded by Hugo Philion, Sean Rowan, and Francisco Riordan. Its blockchain aims to support smart contracts and interoperability with non-smart-contract networks like Bitcoin and XRP.
The token serves various functions, including governance, allowing holders to vote on network proposals, and participation in the Flare Time Series Oracle, a decentralized oracle system that provides rewards to users.
Additionally, FLR can act as collateral in decentralized finance (DeFi) applications and can also be used to pay transaction fees on the network.
Pi Network
Pi Network, the popular tap-to-earn token, has faced a downturn recently, falling to a low of $1.3960, the lowest point since February 2023. This drop follows the announcement that Pi plans to release over 1.4 billion tokens this year.
The price of Pi coin has slipped below the key support level of $1.5337, forming the neckline of a head and shoulders pattern. It has also created a small bearish pennant pattern and has slightly dropped below the 50-period weighted moving average.
Technical indicators suggest that Pi’s value may continue to trend downward as sellers target the psychological level of $1.00.
This week, other notable cryptocurrencies to watch include Aptos, Perpetual Protocol, and Apecoin, which are preparing to release millions of tokens. Furthermore, mainstream coins like Bitcoin, Ethereum, and XRP will remain in focus as traders analyze their recent price actions after a prolonged period of tight trading ranges.
On a positive note, potential new listings on major exchanges such as Binance and Coinbase could offer some support.
Pi Network was founded by Stanford alumni Dr. Nicolas Kokkalis, Dr. Chengdiao Fan, and initially by Vincent McPhillip.
