Arbitrum (ARB) Price Prediction: Falling Wedge and On-Chain Surge Fuel Hopes of Breakout Above $0.50

Arbitrum is testing key support near $0.50, with growing on-chain activity hinting at a breakout that could finally end its long-term downtrend.

Arbitrum is now testing the limits of its long-term channel. For over 875 days, price has been locked between lower highs and lower lows, rejecting every attempt to break higher. But recent price action is showing signs of pressure building, and participants are beginning to look for a breakout.

Arbitrum’s current price is $0.49, down -4.53% in the last 24 hours. Source: Brave New Coin

Arbitrum Awaits Breakout After Long-Term Channel

Arbitrum has now spent over 875 days trading inside a descending channel, steadily compressing price action while repeatedly rejecting at the channel’s upper boundary. The structure shows a sequence of lower highs and lower lows, yet recent movement hints at pressure building towards a possible breakout attempt. Price is currently testing the mid-range of the channel, where momentum could decide whether ARB finally escapes the prolonged downtrend or continues its grind lower.

Arbitrum has spent over 875 days in a descending channel. Source: Daniel Ramsey via X

Analyst Daniel Ramsey highlights three potential targets should a breakout occur: 1.0095, $1.4880, and $2.4310, mapped directly along Fibonacci extensions and prior structural reaction zones. For ARB, the key lies in reclaiming the channel’s top trendline with volume confirmation, which would mark a shift from the long-term downtrend.

Onchain Activity Backs ARB’s Breakout Setup

Arbitrum’s recent on-chain surge is hard to ignore, with fees climbing more than +160% in just seven days according to Nansen. This growth places ARB among the top-performing chains, signaling that user activity and dApp demand are strengthening even as price remains compressed within its long-term descending channel. The contrast between growing network usage and weak price action highlights a potential disconnect that could soon resolve in favor of bulls.

Arbitrum’s network fees have surged over 160% in a week, signaling accelerating adoption despite its prolonged price downtrend. Source: Nansen via X

Looking back at June, Arbitrum also made the top fee growth list, but at a much lower +32%. The latest jump is far more aggressive, showing that underlying adoption is accelerating despite the technical downtrend.

This on-chain momentum adds weight to the building bullish setup. If ARB can finally reclaim the channel’s upper boundary with conviction, the alignment of technical breakout pressure and real network growth could act as a catalyst, validating upside targets and marking a meaningful shift in trend.

Arbitrum’s Short-Term Outlook

Arbitrum is hovering just above the $0.49 to $0.51 support band, a level that has repeatedly acted as a reaction zone in recent sessions. The chart highlights how price is attempting to stabilize here before making another move higher, with short-term structure showing a potential higher low forming. The descending trendline overhead near $0.54 remains the immediate resistance, and reclaiming that zone would be the first signal of strength in this setup.

Arbitrum holds steady above $0.50 support, with a breakout over $0.54 poised to confirm short-term bullish reversal. Source: Niko via X

A clean hold above $0.51 would allow a retest of $0.54, while a stronger breakout above the trendline would confirm a short-term reversal for the ARB Arbitrum price.

Arbitrum Price Prediction: Falling Wedge Near $0.50 Hints at Breakout Toward $1.80

Arbitrum is currently shaping a falling wedge pattern, with price consolidating tightly above the $0.49 to $0.50 support zone. This structure often signals bullish reversal potential, and the repeated defense of this level suggests sellers are struggling to push ARB lower. If price can hold here and challenge the descending wedge resistance near $0.54, it could provide the first breakout signal for momentum to shift upward.

Arbitrum forms a falling wedge near $0.50, with price eyeing a potential breakout towards $1.80 if $0.54 resistance is cleared. Source: Niko via X

Crypto analyst Niko believes that a confirmed breakout above $0.54 would set the stage for a move towards $1.20, a critical horizontal resistance that has historically capped rallies. Clearing this level would validate further upside, with the broader projection targeting $1.80. This Arbitrum price prediction aligns with both the falling wedge structure and the growing expectation that the price won’t hold around $0.50 for long if buyers maintain control.

Final Thoughts

What makes Arbitrum’s setup compelling right now is not just the chart, but the timing. After months of sideways chop and compressed price action, the project is finally showing signs of life both technically and on-chain. That mix often acts as the spark for bigger moves, especially when the broader market is improving.

A clean reclaim of resistance could flip sentiment quickly, putting ARB Arbitrum price back on the radar for market watchers who have long written it off. The $0.49 to $0.50 zone remains the main line. Holding this support while pressing into the $0.54 trendline will decide whether momentum can truly shift. If bulls succeed, the path towards $1.20, and eventually $1.80, becomes achievable.