Arbitrum (ARB): A Double Bottom Breakout with Strong On-Chain Fundamentals Could Signal a Path to $1.00 in 2025

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In the ever-evolving landscape of Ethereum Layer-2 solutions, Arbitrum (ARB) has emerged as a standout contender, blending robust technical patterns with exponential on-chain growth. As of November 2025, the convergence of a confirmed double-bottom breakout, surging transaction volume, and strategic ecosystem integrations positions ARB as a compelling case for a $1.00 price target.

Technical Analysis: A Double Bottom Confirmed

The ARB token's price action has painted a textbook double-bottom pattern, a bullish reversal formation that signals a potential breakout. According to a report by BraveNewCoin, ARB recently broke above the $0.50 resistance level, accompanied by a 108% surge in trading volume to $922 million-driven by PayPal's integration of its PYUSD stablecoin onto Arbitrum. This breakout, confirmed in November 2025, aligns with Fibonacci retracement levels, suggesting a target of $0.74 and $0.85, with long-term projections extending to $1.00 according to the same analysis.

Momentum indicators further reinforce this optimism. The Relative Strength Index (RSI) and Moving Average Convergence Divergence (MACD) are both trending upward, indicating sustained buying pressure. Analysts note that if ARB holds above the $0.50–$0.55 support zone and continues forming higher lows, the path to $1.00 becomes increasingly probable.

On-Chain Fundamentals: Ecosystem Growth in Motion

Beyond technicals, Arbitrum's on-chain metrics tell a story of rapid adoption. As of early September 2025, the platform's Total Value Locked (TVL) reached $19.21 billion, the highest among Ethereum Layer-2s. This represents a 330% increase from $1.3 billion at the end of 2024, underscoring its dominance in the space.

Daily active addresses have also surged, with 470,000 recorded on August 27, 2025, a 37.7% month-over-month increase driven by DeFi and stablecoin demand. Transaction volume further validates this growth: Arbitrum has processed 2.16 billion transactions, cementing its role as a high-throughput network.

Stablecoin activity, a critical barometer of utility, has exploded to over $9 billion, while Aave deposits on Arbitrum crossed $2 billion. These figures highlight Arbitrum's transition from a developer-focused platform to a user-centric ecosystem.

Ecosystem Drivers: PayPal, DeFi, and Technological Edge

Strategic partnerships are amplifying Arbitrum's growth trajectory. PayPal's PYUSD integration alone connects Arbitrum to 435 million users, injecting liquidity and mainstream credibility. Meanwhile, DeFi protocols like Aave and Uniswap continue to migrate to Arbitrum, drawn by its Optimistic Rollup model, Stylus smart contract support, and sub-cent transaction fees.

The platform's technological advantages-low latency, high throughput, and developer flexibility-position it to capture a larger share of Ethereum's Layer-2 market. As stated by CoinLlama, Arbitrum's TVL growth and whale activity suggest a maturing ecosystem where institutional and retail demand are converging.

The Path to $1.00: A Convergence of Forces

For ARB to reach $1.00, three conditions must align:
1. Sustained On-Chain Growth: Continued TVL expansion and active address increases will validate Arbitrum's utility.
2. Technical Momentum: Holding key support levels and breaking above $0.55 will signal institutional confidence.
3. Ecosystem Expansion: Partnerships with platforms like Robinhood and PayPal will drive mass adoption.

With a current price of $0.22 and a market cap of $1.209 billion, ARB remains in a growth phase. If the network maintains its trajectory, the $1.00 target is not just a technical possibility but a reflection of its foundational strength.

Conclusion

Arbitrum's double-bottom breakout is more than a chart pattern-it's a signal of a network poised for mainstream adoption. The interplay of technical momentum, on-chain metrics, and strategic partnerships creates a compelling case for long-term investors. As the crypto winter fades and Ethereum's Layer-2 race intensifies, ARB's journey to $1.00 may well define 2025 as a pivotal year for decentralized infrastructure.