This Week’s Alpha Allocation: @arbitrum

• Sector: Layer 2

• Token: $ARB

→ Project Insight

Arbitrum is Ethereum’s second largest Layer 2 by TVL but it’s not just riding the Ethereum coattails.

It’s building a fully generalized execution layer for real-world finance, DeFi innovation, and institutional-grade capital.

From RWAs to high-yield derivatives, Arbitrum’s growth isn’t hype-based, it’s usage-based. And that’s what makes it durable.

→ Catalyst

1. Robinhood has launched its own blockchain on Arbitrum and introduced tokenized stock trading for European users. The platform now offers 24/5 trading of over 200 U.S. stocks and ETFs via Ethereum Layer 2.

2. RWA Flywheel: Over $300M in tokenized RWAs now live, led by Spiko’s Eurobills. Analysts forecast $1B by EOY, 30x YoY growth.

3. Protocol Breadth: Usage isn’t concentrated derivatives, lending, yield, and wallets all contributed significant fees. Arbitrum-native protocols like Ostium are even outperforming incumbents.

4. Smart Money Rotation: $35M+ inflows in 24h. Whale wallets positioning before the Robinhood reveal.

→ Why You Should Buy Now?

$ARB is still down 85% from its $2.39 ATH.

Arbitrum is the only L2 with >$300M in tokenized RWAs and growing protocol revenue signaling real product-market fit.

The Robinhood announcement could be the narrative ignition for a broader L2 rotation, and $ARB is the best-in-class bet.

→ My Price Prediction

$ARB bounced from $0.31 to $0.38 in under 48h (+17%), driven by Robinhood speculation.

And now that the partnership is confirmed, $ARB could reclaim $0.60+, a +60% upside and set up for a longer move toward $1.00 as L2s rotate back into focus.

→ Rotation Narrative

Ethereum gas is still elevated. Solana memes are getting saturated. Base is younger but lacks institutional depth.

Arbitrum is the quiet L2 giant with real traction:

• TradFi RWAs

• App-native protocols with real revenue

• And now, possibly Robinhood integration.

This isn’t just another L2 bounce. It’s the beginning of Arbitrum’s repositioning as DeFi’s institutional execution layer.