Arbitrum ’s Total Value Locked Hits Yearly High as Rising Ethereum Activity Drives Layer-2 Demand

The total value locked (TVL) of decentralized finance (DeFi) on Arbitrum has reached its highest level this year at $3.39 billion.

This growth comes from increased activity on the Ethereum network – driven by high trading activity – spreading to Second-Layer Solutions (L2) like Arbitrum.

Arbitrum Records Liquidation Highs as Ethereum Network Grows

According to defillama, Arbitrum's TVL has reached its highest level this year at $3.39 billion, steadily increasing over the past four weeks.

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The increase in TVL indicates liquidity and usage levels on a larger network. This shows that more capital is being locked into smart contracts for trading, lending, or other decentralized financial activities.

For Arbitrum, the increase in user demand reflects the recent activity of the Ethereum network. According to Artemis, the number of daily active Ethereum addresses has increased by 33% in recent weeks, with trading volume up 10%.

When Ethereum experiences such an increase in user demand, many activities will spread to L2s. These networks provide faster transaction times and lower fees, attracting users who want to avoid congestion on Ethereum's main chain.

As a result, L2s like Arbitrum often see increased liquidity and participation whenever Ethereum experiences growth.

ARB Surges as Market Interest Heats Up

At the time of writing, ARB is trading at $0.54, up 12% in the past 24 hours. During that period, its trading volume increased by 155% and now totals $1.48 billion.

When an asset's price and trading volume increase simultaneously, it indicates strong market interest and optimistic sentiment.

The rise in ARB's price suggests demand exceeding supply, while its high trading volume confirms that this movement is supported by significant participation rather than thin liquidity. This trend often attracts more traders and investors and could drive further profits for ARB in the short term.

Moreover, the rising price crossover of ARB's Moving Average Convergence Divergence (MACD) setup supports this optimistic outlook. At the time of writing, the token's MACD line (green) is above its signal line (orange), confirming buying pressure.

Furthermore, the MACD indicator's chart bars have been gradually growing since 08/06/2025, with green bars expanding in size. When this occurs, it indicates that the upward trend is gaining strength.

Can Buyers Push ARB to $0.74?

Continuous ARB accumulation could push its price to $0.62. If successfully breaking through this resistance level, ARB's price could move towards $0.74, the high it last reached in January.

However, if selling begins, the altcoin risks dropping to $0.45.