Arweave price prediction: Can AR reach $100?
After the all-time-high in November 2021, where is the Arweave (AR) token heading next?
Last month, Arweave (AR) seemed to have the backing of bulls when news broke of a partnership with the technology giant Meta, formerly known as Facebook. It was announced that Arweave, a blockchain data storage solution, is to provide its services for Meta’s Instagram platform to store non-fungible tokens (NFTs).
AR’s price then rocketed to $16.77 and was up 70% over the month to 3 November. But as of 6 December 2022, the price is trading at $9.43.
So where next for AR? Here follows a detailed fundamental and technical analysis, as well as the project’s latest developments, to help you form a plausible arweave crypto price prediction of your own.
What is Arweave coin?
Arweave is a blockchain technology which aims to enable sustainable on-chain data storage. The project describes itself as “a collectively owned hard drive that never forgets”.
According to its lightpaper, almost all web pages stored in centralised data stores are managed by a single organisation, or even a single person, resulting in data loss or degradation, server expenses and the possibility of data tampering.
Arweave claims it provides a secure method of permanently storing data on-chain that is immune to accidental or deliberate data loss or tampering.
Arweave is powered by permaweb, a collaborative web to which anyone can contribute and be compensated for maintaining. The permaweb is a decentralised and permanent web in which all information, including images, data and applications, can be restored instantly without fear of data breaches.
It is also underpinned by blockweave, a blockchain-like structure that enables cost-effective on-chain storage.
Additionally, Arweave claims that its network can handle up to 5,000 transactions per second (TPS) and store data at a fraction of the cost of conventional servers, making it, the project says, both cost-effective and fast.
AR/USD price analysis
Based on the earliest available price data from CoinMarketCap, the AR token initially gained traction in May 2020 when its price spiked from $0.69 on 29 May to an intraday high of $7.56 on 29 August, an increase of more than tenfold in three months. After that, however, the prices collapsed to $2.88 by 22 September 2020.
AR price chart, all-time performance
Source:CoinMarketCap
Once again, the trend turned slightly bullish for the arweave token price in late 2020, and it reached $4.94 by 10 October. However, the rally did not sustain, and prices bottomed to an intraday low of $1.69 on 4 November. It closed the year at $2.63 as of 31 December 2020.
The start of 2021 marked the beginning of a strong leg of the bull run, which took AR token’s price to $32.55 by 31 March, a significant 12-fold increase. The prices retraced and bottomed to $19.58 by 23 April 2021, a decline of nearly 40% from the March peak.
A small bull rally took the price to $30.08 by 27 April, but the price dropped to $12.73 by 29 May. It then fell further to $7.21 on 27 July.
The climate suddenly turned ultra-bullish in August 2021 and prices peaked at $65.84 by 31 August, a ninefold rise within a little more than a month.
The Arweave token sank to $46.52 by 27 October, before a final bull rally pushed the price to its all-time high of $90.94 on 5 November. A retracement saw the price plunge to $36.36 by 13 December. The token then slightly rebounded and closed the year on a bullish note at $58.92 as of 31 December 2021.
Recent price action and news
AR’s price action has been bearish throughout 2022. It plummeted below $30 in February and to a 52-week low of $7.21 on 18 June.
However, it saw slight gains in August and September, which came after a funding round for the platform. Community Labs, Arweave’s software development company, announced it had raised $30m in funding.
The funds would go toward supporting the adoption of the Arweave network, along with ecosystem growth, and protocol development.
This was especially noteworthy as the leader behind Community Labs is the 19-year-old Tate Berenbaum, who founded the organisation during the Covid pandemic, according to Bloomberg.
More AR bullish news was revealed recently. The technology giant Meta announced it is partnering with Arweave to assist the social media ecosystem in its Web 3.0 endeavours.
Stephane Kasriel, head of commerce and financial technologies at Meta, said the two were working on methods for businesses to mint and sell NFTs on Instagram.
Arweave will play a key role in this. The blockchain platform will provide the storage for these digital collectibles.
AR saw a breakout after this announcement. On 3 November, the cryptocurrency was trading at $16.77, up 60% in the previous 24 hours and 70% in the previous month.
As of 6 December 2022, the price is trading at $9.43.
Targets for 2022, 2025 and 2030
Short-term, Arweave’s technical analysis from CoinCodex was bearish, with 13 indicators giving bullish signals and 15 bearish signals, as of 6 December 2022.
According to the short-term AR coin price prediction by CoinCodex, it could be $10.50 by 3 January 2023.
Several algorithm-based forecasting services have given longer-term arweave price targets, as of 6 December. Wallet Investor said the cryptocurrency was a “bad” investment and its arweave price prediction for 2023 expected the token to have dropped to $0.364 in a year. Its AR price prediction said it could be $1.273 by the start of 2025.
On the other hand, DigitalCoinPrice expected AR to have averaged out at $22.90 next year. Its arweave price prediction for 2025 gave an optimistic maximum value of $40.16.
According to Price Prediction, the average price could have reached $14.44 next year. It expected strong growth and the site’s arweave price prediction for 2030 is $175.62.
When looking for arweave coin price predictions, bear in mind that analysts and algorithm-based forecasters can be wrong. Their AR projections are based on fundamental and technical studies of a cryptocurrency’s past performance. Past performance is no guarantee of future results.
It is important to do your own research and always remember your decision to trade depends on your attitude to risk, your expertise in the market, the spread of your investment portfolio, and how comfortable you feel about losing money. You should never invest money that you cannot afford to lose.