Arbitrum (ARB) Falls 10%, Likely to Retest All-Time Low Amid Bearish Momentum

Key Takeaways

• Despite a 28% rebound from April’s all-time low, ARB faces major resistance at $0.36 due to significant unrealized losses.
• The Money Flow Index on the ARB/USD daily chart has dropped from 73.35 to 58.24, showing waning bullish momentum.
• ARB’s price trades within a descending triangle, signaling a potential breakdown to $0.25 if support fails.

ARB, the native cryptocurrency of the Ethereum layer-2 scaling solution Arbitrum, has been down 10% in the last seven days. As a result, Arbitrum’s price is trading at $0.31.

This decline highlights the altcoin’s ongoing underperformance throughout 2025. Its last significant rally occurred in January, when the price peaked at $0.92.

Since then, ARB has trended chiefly downward, even reaching an all-time low in April. With bearish momentum still in play, this analysis reveals why ARB could be at risk of revisiting those record lows.

Arbitrum to Experience Further Pushback

Although ARB has recovered 28% from its April all-time low, the In/Out of the Money Around Price (IOMAP) metric suggests the token may face strong resistance, making a sustained recovery difficult.

For context, the IOMAP identifies key support and resistance zones based on the unrealized profit or loss volume. Typically, larger profit clusters suggest strong support, while heavy unrealized losses indicate tough resistance.

According to IntoTheBlock, Arbitrum’s strongest support is at $0.31. However, a major resistance looms at $0.36, where 3,560 addresses collectively bought over 250 million ARB, which is now at a loss.

If ARB attempts to breach this level, it could face significant selling pressure, potentially triggering a notable pullback.

ARB Price Analysis: New Low Coming

From a technical perspective, CCN observed that the Money Flow Index (MFI) reading has turned downward. Earlier, the MFI on the ARB/USD chart climbed to 73.35, indicating increasing buying pressure.

However, as of this writing, that value has decreased to 58.24, suggesting that bulls are no longer in control of Arbitrum’s price action. If this remains true, the altcoin might drop below the horizontal support of the descending triangle on the chart.

As seen below, ARB has been trading within a descending triangle since Jan. 18. With a bearish momentum, it could be challenging for the price to recover in the short term.

In addition, the Relative Strength Index (RSI) has dropped below the 50.00 signal line, which implies bearish momentum around the cryptocurrency.

If this trend continues, ARB’s price could drop below the underlying support and hit $0.25, marking a new all-time low.

Meanwhile, if buying pressure increases, this trend might change. Arbitrum’s price might break above the resistance at $0.35 in that case.

Should that be the case, the altcoin’s market value might surge to $0.48 at the 0.236 Fibonacci level. If the broader market condition improves, this recovery could be stronger.

Arbitrum’s price might rally to $0.62 if that were to happen.