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Arbitrum Primed for Explosive Breakout: Falling Wedge Pattern Signals $1.50 Surge Imminent

Arbitrum Primed for Explosive Breakout: Falling Wedge Pattern Signals $1.50 Surge Imminent

Author:
Tronweekly
Published:
2025-07-27 15:30:00
16
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Arbitrum's chart flashes a textbook bullish signal—now it's showtime.

The Layer-2 heavyweight coils inside a tightening falling wedge, a pattern that historically precedes violent upside moves. Traders are stacking bids as the setup nears its apex.

Why $1.50 matters

A clean breakout would confirm the pattern's measured move target at the $1.50 level—a 25% rally from current prices. Liquidity pools above $1.40 are already getting pinged in anticipation.

The contrarian play

While retail traders chase memecoins (again), smart money's quietly accumulating ARB. The token's fundamentals—cheaper transactions than Ethereum mainnet, major protocol integrations—remain criminally undervalued.

Just don't tell the 'wen lambo' crowd—they're too busy getting rekt on leverage tokens to notice an actual trade setup.

Arbitrum

  • Arbitrum gains 1.7% in 24 hours despite a weekly decline.
  • The technical chart shows a possible breakout from a falling wedge pattern.
  • Bullish targets are set at $1.10 and $1.50 if the breakout is confirmed.

Arbitrum (ARB) is noting a faint bullish trend for its price as it managed to add nearly 1.7% within the past 24 hours. The modest gains are managed against the overarching neutral trend for the entire cryptoverse.

However, every week, ARB is still down by about 5.17% to show some hesitation behind the attempted rally. Currently, as the date of writing suggests, the token is priced at $0.4567.

The last 24 hours’ trading volume for the coin is low by as much as 31.1% to $224.67 million. Meanwhile, its cap remains at approximately $2.35 billion, keeping it one of the mid-range altcoins in terms of total value.

ARB 7D graph coinmarketcap 1 1

Source: CoinMarketCap

Arbitrum’s Falling Wedge Signals Possible Bullish Reversal

One recent technical analysis shown by Solberg Invest is that Arbitrum is set to initiate a bullish reversal break. The weekly chart displays one massive descending wedge pattern, one of the most popular structures, usually forecasting the breakout to the upper direction.

This is the pattern that has emerged as ARB has increasingly established lower highs with the advent of time, contained within a red downtrend line.

In the process, the price action has shown continuous respect for the green support line to indicate that selling pressure is running out of steam.

image 817

Source: X

If Arbitrum can break through this wedge and continue to stand its ground, the chart suggests the midterm target is $1.10, with the alternate one at $1.50.

This setup holds tremendous potential on the upside. However, the breakout is not yet confirmed, and the successful backtest through old resistance as new support will fortify the bullish case.

Open Interest Decline Shows Investor Caution

The bullish chart pattern is present despite the hesitation of the market. In the previous session, intraday trade activity dropped sharply by 32.43% to $327.98 million from the preceding session, and open interest, active contract numbers, declined by 0.42% to $291.54 million. It is reflective of the slowdown in the rate of participation and smaller fund inflows into Arbitrum.

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Arbitrum Price & Volume and OI Trends | Source Coinglass

The OI-Weighted meter is at 0.0095%, registering a gentle bullish bias but not with much conviction. Unless there is distinct appreciation on the part of both volume and open interest, the token may remain stagnant in its current range and postpone any decisive breakout.

download 24

Arbitrum Funding Rate Trends | Source Coinglass

Although the chart pattern presents the possibility of a reversal, confirmation will more than likely depend on renewed investor interest and continued price strength down the road.

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