Crypto Patel projects a potential 7,400% rally for Arbitrum (ARB) after it fell 96% from its $2.40 ATH; current price ~ $0.1241 and a higher‑timeframe accumulation zone is $0.07–$0.095 (price reportedly +57% from lows). Watch for breakout/retest of the descending channel and possible liquidity sweep; invalidation on a 2‑week close below $0.065. Key technical levels and targets: bullish structure only valid above a $0.27 reclaim; intermediate bull targets at $0.27, $0.50, $1.2, $2.5 and $5. Analyst Michaël van de Poppe notes a breakout above the 21‑day MA, rising volume and bullish divergence — base‑building phase similar to early 2020. Market impact and risks: positive signals could drive token performance and DeFi adoption if sustained, but high downside risk remains (descending channel, historical bull traps for retail, false reversals). Keywords: crypto, Arbitrum, token, DeFi, breakout, accumulation zone, token performance, adoption.

Bullish

Crypto analyst Crypto Patel has predicted that the Ethereum layer-2 Arbitrum could record a 7,400%, providing a bullish outlook for the altcoin. He also revealed key levels for investors to keep an eye out for as the position for this potential rally.

Arbitrum Eyes 7,400% Run With Price Down 96% From ATH

In an X post, Crypto Patel predicted that Arbitrum could rally 7,400, with the price currently down 96% from its all-time high (ATH) of $2.40. He noted that ARB got trapped inside a brutal descending channel after its 2024 top, which led to the 96% crash from its ATH. The analyst added that retail investors have gotten trapped in bull traps in every minor bounce before the next leg down.

Commenting on the current Arbitrum price action, Crypto Patel revealed that the price is sitting above a high-risk, higher-timeframe accumulation zone following the liquidation phase. He added that ARB has shown the first real sign of strength, with price up 57% from its lows. This higher timeframe high-risk accumulation zone is notably between $0.095 and $0.07.

Crypto Patel stated that market participants should be watching for a breakout and retest of the descending trendline. There could also be a liquidity sweep below the dynamic trendline. Meanwhile, the bullish structure remains valid only above the $0.27 reclaim. An invalidation could happen with a 2-week close below $0.065 for Arbitrum.

The analyst also mentioned that descending channels, as in this case, often print multiple false reversals before the real one occurs. Crypto Patel reiterated key levels to watch, including the higher timeframe demand zone, the breakdown zone, and the trend reclaim zone. Meanwhile, the bull cycle targets are $0.27, $0.50, $1.2, $2.5, and $5.

ARB’s Price Action is Similar To 2020’s Price Action

In an X post, crypto analyst Michaël van de Poppe stated that Arbitrum is one of many altcoins that have similarities with the beginning of 2020 in terms of price action. He noted a strong bullish divergence on the daily timeframe, indicating that the altcoin is ready to record a bullish reversal.

He highlighted other positives for Arbitrum, such as a clear breakout above the 21-day moving average (MA). At the same time, volume is kicking in, and momentum is picking up as other tokens in the Ethereum ecosystem also wake up. Michaël van de Poppe noted that the breakout above the 21-day MA is the first time since the summer of 2025. He added that ARB is currently at the phase where it is trying to build a base.

At the time of writing, the Arbitrum price is trading at around $0.1241, down over 2% in the last 24 hours, according to data from CoinMarketCap.