Bitcoin Struggles Below $80K as Arbitrum's Offchain Labs Announces Strategic ARB Buyback
Bitcoin and the broader altcoin market are facing another wave of turbulence, with BTC struggling to reclaim the $80,000 mark despite Donald Trump’s ambitious strategic Bitcoin reserve plan. The market downturn has intensified, sending many altcoins into double-digit losses within the last 24 hours.
Arbitrum's Offchain Labs Steps In With ARB Buyback Plan
Amidst the ongoing crypto downturn, Offchain Labs, the core research and development team behind Arbitrum, has announced a strategic plan to acquire ARB tokens for its treasury. In an official statement on X, the team confirmed its commitment to increasing its stake in the ecosystem.
According to the announcement, Offchain Labs will acquire ARB tokens over time via open-market purchases and other transactions based on predefined parameters. However, the company has not disclosed the total number of ARB tokens it intends to acquire.
This move comes at a time when ARB has witnessed a drastic price decline, dropping 86% from its all-time high of $2.39 in January 2024. Year-to-date, ARB has lost 54% of its value.
ARB Price Drops Further Despite the Buyback
Despite the buyback announcement, ARB continues to trade under heavy bearish pressure, registering a 7.6% decline in the past 24 hours, bringing its price down to $0.33 at press time.
However, despite its price struggles, Arbitrum remains the leading Layer 2 scaling solution on Ethereum, with over $2.3 billion in total value locked (TVL).
What This Means for ARB and the Broader Market
With Offchain Labs stepping in to acquire ARB, the move signals confidence in the long-term potential of the network. However, given the overall bearish sentiment in the crypto market, it remains uncertain whether this buyback plan can help reverse ARB’s downward trajectory.
For now, investors are closely watching whether Bitcoin can reclaim $80K, as further declines could trigger more liquidations and heightened volatility in the altcoin market.
