Arbitrum ARB approaches a critical support zone near $0.20–$0.22 as technical compression and strong on-chain inflows hint at a potential short-term recovery.Arbitrum ARB approaches a critical support zone near $0.20–$0.22 as technical compression and strong on-chain inflows hint at a potential short-term recovery.

Arbitrum (ARB) Price Prediction: ARB Holds Critical Demand Zone as Traders Watch for a Break Above $0.25

2025/11/28 03:57

Arbitrum price is showing early signs of stabilization around the $0.21–$0.22 region after a prolonged downtrend, with technical readings and on-chain flows hinting at a possible shift in short-term momentum. While ARB remains far below its mid-2025 levels, recent market behavior has prompted analysts to reassess whether the Arbitrum token may be nearing a structural turning point.

The broader crypto market remains mixed, yet ARB’s on-chain metrics, bridge flows, and compression of technical indicators continue to draw attention. Despite lingering downside risks, market participants are watching closely to see if buyers can defend current levels long enough to trigger a meaningful reaction.

Technical Analysis: A Potential Inflection Point

Short-term price action shows ARB consolidating inside a tight compression zone following months of controlled markdown. Fresh analysis from Devils Reach shows price stabilizing around $0.21, with indicators such as the RSI beginning to turn upward from deeply oversold levels. His chart also outlines a possible rebound formation, where even a minor liquidity-driven bounce could send the price towards the $0.24 to $0.26 area.

Arbitrum stabilizes near the $0.21 zone as RSI turns upward from oversold levels, hinting at a potential rebound toward $0.24–$0.26. Source: Devils Reach via X

This aligns with the broader structural model shared by CryptoBusy, who highlighted three developing phases on the chart: accumulation, markdown, and a forming reversal zone. Their structure mirrors classic market cycle behavior where narratives shift as weak hands exit and value buyers begin absorbing supply. The current region between $0.20 to $0.22 is historically one of ARB’s most heavily traded bands, making it an important decision zone.

Arbitrum sits in a key $0.20–$0.22 demand zone as the three-phase model hints at a potential reversal shift. Source: CryptoBusy via X

From a technical-probabilistic standpoint, reclaiming $0.25 would be an early indication of renewed strength, while a confirmed break above $0.28 would mark the first higher-high in months. Failure to protect the $0.20 floor, however, could expose deeper supports around $0.18 and $0.16, levels tied to previous liquidity sweeps.

On-Chain Metrics Highlighting Strength

While price remains subdued, Arbitrum’s ecosystem activity continues to outperform most major L2s. Data shared by @BitImmortal shows ARB leading in DeFi bridge inflows over the last three months, totaling more than $26.9 billion, with net inflows near $2.7 billion after adjusting for outflows. These inflows demonstrate persistent ecosystem demand despite short-term price weakness.

Arbitrum leads L2s with $26.9B in DeFi bridge inflows over three months, signaling strong ecosystem demand despite weak price action. Source: BitImmortal via X

ARB Price Prediction: Outlook and Scenarios

ARB remains in a sensitive region where the structure could shift in either direction. If buyers manage to hold the $0.20 to $0.22 support band and reclaim the mid-trend pivot around $0.25, the price may attempt a recovery towards $0.28, $0.32, and $0.36, each corresponding to previous breakdown points and Fibonacci mid-range levels. A reclaim of $0.30 is especially important, as it historically served as a liquidity magnet and major distribution zone.

Arbitrum’s current price is $0.22, up 1.03% in the last 24 hours. Source: Brave New Coin

If this reaction extends, the broader mid-term structure allows for a potential move into the $0.40–$0.48 zone, a region highlighted across multiple analyst models. These targets, however, depend heavily on improving risk appetite and stronger inflows into the wider altcoin market. ARB’s long-term recovery remains tightly correlated with the health of L2 adoption cycles and Ethereum’s broader liquidity environment.

On the downside, failure to defend $0.20 could reopen the lower boundary of the accumulation range. This would expose ARB to $0.18, followed by $0.16, and in deeper corrective scenarios.

Final Thoughts

Arbitrum’s technical and on-chain picture reflects a mixed but potentially constructive setup. While ARB remains at the lower end of its multi-month range, liquidity inflows and structural basing behavior suggest the token may be approaching an important inflection point. A confirmed reclaim above $0.25 to $0.28 is needed before any medium-term bullish thesis gains credibility.

ARB’s next major move will likely be shaped by ecosystem flows, market liquidity, and its ability to defend the $0.20 support zone, making the coming days critical for determining whether a recovery phase can begin.

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