Arbitrum (ARB) Price Prediction: Falling Wedge Pattern Hints at a Strong Reversal Ahead

ARB has returned to its long-term support zone near $0.30, sparking renewed interest among participants anticipating a potential reversal from current levels.

ARB is starting to get interesting again as it returns to its long-term support zone near $0.30. Despite prolonged downside pressure, buyers have consistently defended this region, hinting at quiet accumulation beneath the surface.

ARB Back to Long-Term Support Region

Arbitrum has returned to its long-standing structural support zone between $0.28 to $0.30, an area that has historically acted as a base for rebounds. The 6-month price action shows a gradual compression pattern following a series of lower highs, yet each test of this support has seen a consistent defense by buyers.

ARB Back to Long-Term Support Region

ARB Arbitrum’s current price is $0.29, down -4.24% in the last 24 hours. Source: Brave New Coin

The declining volume hints at consolidation rather than panic selling, suggesting that ARB may be preparing for a potential stabilization phase. As long as this range holds, it serves as the foundation for any upcoming recovery leg, particularly if accumulation starts to build around the current valuation zone.

Fundamentals Underscore Arbitrum’s Undervaluation

Despite trading near multi-month lows, market observers like Hydraze highlight that Arbitrum remains one of the strongest Layer-2 ecosystems in both technology and adoption. With the team’s proven reliability and deep integration across DeFi and gaming applications, the current price levels are widely seen as undervalued relative to fundamentals.

The $0.30 floor is being interpreted as a long-term accumulation zone, especially considering how far ARB remains from its January 2024 all-time highs. Analyst Hydraze sees this as an opportunity rather than weakness.

4H Structure Signals Early Recovery Momentum

According to RISK’s technical analysis, ARB is showing early signs of trend recovery on the 4-hour chart. The asset continues to consolidate above $0.29 to $0.30, confirming a higher-low structure that may serve as the first step toward a broader reversal.

4H Structure Signals Early Recovery Momentum

Arbitrum’s 4H chart reveals early signs of recovery as price forms higher lows above $0.30, hinting at a potential bullish shift. Source: RISK via X

Volume expansion during minor pullbacks supports the thesis of gradual accumulation. A breakout above $0.32 to $0.33 could confirm the shift in market structure, opening room for a short-term push towards the $0.36 to $0.38 region. Maintaining price stability above $0.29 remains crucial to preserve this developing bullish bias.

ARB Price Prediction: Weekly Pattern Points to Reversal Potential

The weekly chart shared by Infos & Charts outlines a falling wedge pattern, typically seen as a bullish reversal structure. ARB has continued to trade between two descending trendlines since early 2024, with the latest bounce from $0.28 indicating the lower boundary’s continued strength.

ARB Price Prediction: Weekly Pattern Points to Reversal Potential

Arbitrum’s weekly chart forms a falling wedge pattern, signaling potential for a medium-term bullish reversal if $0.40 resistance breaks. Source: Infos & Charts via X

A confirmed breakout above the wedge’s upper resistance, near $0.40 to $0.42, could signal the start of a major upside wave. The next resistance sits around $0.97, corresponding with previous highs. As long as ARB sustains momentum near current levels, this setup suggests that a medium-term reversal could unfold, aligning with the broader L2 market recovery.

On-Chain Data Confirms ARB’s Renewed Network Strength

Marc Shawn Brown noted that Arbitrum’s net inflows hit a new all-time high in October, reflecting strong investor confidence despite price weakness. DeFiLlama data shows inflows surpassing $14 billion, marking one of the largest surges since the protocol’s inception.

On-Chain Data Confirms ARB’s Renewed Network Strength

ARB’s on-chain inflows surpass $14 billion, highlighting renewed investor confidence and growing network activity. Source: Marc Shawn Brown via X

With both fundamentals and on-chain trends improving, the discrepancy between network strength and token price may narrow in the coming days.

Final Thoughts

While sentiment around ARB remains cautious, the technical and fundamental confluence points towards resilience. The $0.28 to $0.30 range continues to attract buyers, on-chain inflows remain robust, and multiple indicators suggest a brewing structural recovery.

If the ARB price manages to reclaim $0.33 to $0.35 with volume confirmation, it could mark the beginning of a sustained reversal phase. Until then, the focus remains on holding key supports and monitoring liquidity behavior across exchanges and DeFi platforms. In many respects, Arbitrum’s current consolidation resembles a calm before the next expansion cycle.

Source: https://bravenewcoin.com/insights/arbitrum-arb-price-prediction-falling-wedge-pattern-hints-at-a-strong-reversal-ahead