Arbitrum Price Eyes 50% Rally: Can DeFi Growth Keep It Alive?
Recent Performance
Arbitrum (ARB) surged over 50% this week, reclaiming the $0.50 level and peaking near $0.58 on August 13, 2025, helped by Ethereum’s rally and increased activity in Layer-2 solutions.
After the surge, ARB retraced about 8% as short-term holders took profits. The average projected price for ARB in 2025 is around $0.49–$0.54 based on various sources, with daily price projections for August showing prices fluctuating between $0.49 and $0.54.
DeFi Growth & Ecosystem Trends
Arbitrum’s Total Value Locked (TVL) is near an all-time high ($3.4 billion), driven by strong demand for DeFi applications that utilize cheaper, faster transactions compared to Ethereum mainnet.
Top DeFi protocols on Arbitrum, such as Uniswap V3 and Radiant, attract liquidity and user adoption, spurring ongoing growth.
Arbitrum’s scalability benefits, lower fees, and efficient user experience continue to make it a leading platform for both DeFi and gaming projects.
Key Risks & Catalysts
A major token unlock on August 16 introduced nearly 92.65 million ARB ($42.85 million) to the market, potentially increasing sell pressure, but demand remained robust, keeping downside limited.
Future price action will depend on:
Continued DeFi adoption
Ethereum’s performance and upgrades
Absorption of new supply and market demand
Technical indicators suggest support at $0.464–$0.476 and resistance near the $0.50–$0.58 zone, with volatility and liquidity as major factors in short-term moves.
Longer-Term Predictions & Outlook
Conclusion
The recent 50% rally in Arbitrum’s price has been fueled by DeFi growth, strong Layer-2 momentum, and bullish sentiment from Ethereum’s gains. Sustaining this momentum depends on continued DeFi adoption, the successful absorption of unlocked tokens, and broader crypto market conditions. Most predictions for the rest of 2025 suggest a base in the $0.49–$0.58 range, with some bullish forecasts aiming much higher for the long term.