Date: Sat, June 21, 2025 | 11:24 AM GMT
The cryptocurrency market continues to show signs of bearish momentum as geopolitical tensions between Israel and Iran deepen. Ethereum (ETH), one of the market’s frontrunners, has pulled back sharply—sliding from a monthly high of $2,877 to around $2,440. Unsurprisingly, this wave of volatility has impacted altcoins as well, including Arbitrum (ARB).
Over the past week, $ARB has dropped by 15%, bringing its monthly losses to over 31%. But beyond the red candles, a closer look at the chart reveals a potentially bullish structure — a fractal that closely resembles its late 2024 breakout formation.
Source: Coinmarketcap
Fractal Suggests Bullish Reversal Ahead
Zooming into the daily chart, ARB is following a strikingly familiar pattern. In late 2024, Arbitrum formed a classic falling wedge after a prolonged downtrend. The breakout from that wedge led to a short-lived consolidation phase within a small descending channel — and shortly after, ARB rallied by over 284%.
Arbitrum (ARB) Fractal Chart/Coinsprobe (Source: Tradingview)
Now, in mid-2025, ARB appears to be repeating this exact setup.
The chart shows:
Another falling wedge that has already seen a breakout
A smaller descending channel forming post-breakout (just like in 2024)
Price consolidating just under the 100-day moving average
These similarities are hard to ignore and suggest that ARB might be preparing for another sharp upside move.
What’s Next for ARB?
To confirm this bullish fractal, ARB needs to break decisively above the descending channel and reclaim the 100-day moving average (currently near $0.348). This would act as the technical trigger needed to attract buying interest and reignite momentum — just as it did in the previous cycle.
If the setup plays out, the next logical upside target sits in the $0.40 range, representing a potential 40% move from current levels. Beyond that, a breakout from the descending resistance trendline could further validate the bullish continuation.
While the chart is showing early signs of a bullish reversal, broader market conditions — especially macro uncertainty due to geopolitical tensions — remain a risk. Traders should wait for a confirmed breakout above the descending channel and the 100-day MA before entering.
Disclaimer: This article is for informational purposes only and not financial advice. Always conduct your own research before investing in cryptocurrencies.