Perfect Short Setup? ARB Enters Bear Territory

ARB/USDT on the 4-hour chart is trading right into a proven resistance zone between 0.4266 and 0.4448 USDT, where the price has reversed multiple times before, as shown by the red “S” markers. This level acted as a ceiling during prior rallies, triggering sharp declines each time it was tested.

The current move up is steep and impulsive, climbing almost vertically from the strong support around 0.3581 without meaningful consolidation. Such rallies often attract profit-taking as traders who bought lower look to exit into overhead supply. The fact that price is already stalling just below resistance suggests momentum is weakening and sellers may soon step back in.

Another reason for a bearish bias is the absence of any strong base or sideways build-up under this resistance area. Typically, a sustained breakout requires accumulation or compression just below resistance; here, price simply surged straight up into it. If this zone holds again, it will likely trigger a pullback back toward the last breakout levels.

A short scenario is attractive because the trade offers a clear invalidation level and clean downside targets. Entering near 0.4266–0.4448 with a stop above 0.4450 protects against a breakout trap while aiming for a retracement first to the 0.3901 zone, which acted as former resistance-turned-support, and potentially deeper to the strong support around 0.3581.

In summary, the chart structure favors a short-term bearish reversal at this resistance. The combination of historical rejection, overextension without consolidation, and evident prior sell reactions makes this level a high-probability area to look for shorts, unless price convincingly breaks and closes above 0.4450 with strong bullish candles.