<div id="readability-page-1"><h2><strong>Key Takeaways</strong></h2><h3><em>Why is Arbitrum down in the short term?</em></h3><p><em>Price was down due to decreased on-chain activity over the last month.</em></p><h3><em>What’s the impact of Robinhood’s expansion to the ARB chain?</em></h3><p><em>ARB prices and activity could surge, especially in the RWA category of the chain.</em></p><hr/><p>With Robinhood’s recent institutional involvement, Arbitrum [ARB] is progressively growing.</p><p>The Layer 2 (L2) blockchain on the <span>Ethereum [ETH]</span> mainnet is seeing growth over the long term, but the short-term outlook is lagging both on-chain and numerically.</p><h2><strong>Mixed sentiments over the long-term and short-term</strong></h2><p>Arbitrum showed consistent growth in on-chain activity over the period starting in 2022. The DEX volume grew by about 7X and was slightly above $647 billion, at press time.</p><p>The T<span>otal Value Locked (</span>TVL) had also grown to $8.18 billion, but has since declined to $6.23 billion over the past month of market weakness.</p><p>In the past 24 hours, TVL had grown by less than a percent, indicating inconsistencies in the smaller scales.</p><div id="attachment_547312"><p><img src="https://imageproxy.pbkrs.com/https://ambcrypto.com/wp-content/uploads/2025/11/Screenshot-2025-11-19-110459.png?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" width="759" height="283" original-src="https://imageproxy.pbkrs.com/https://ambcrypto.com/wp-content/uploads/2025/11/Screenshot-2025-11-19-110459.png"/></p><p id="caption-attachment-547312">Source: DefiLlama</p></div><p><span>Meanwhile, stablecoin supply rose to $4.05 billion, marking a 2.27% increase over the past seven days.</span></p><p><span>Zooming in on weekly trends, activity on the Arbitrum blockchain has been declining, which helps explain its sluggish price performance over the past month.</span></p><p><span>Active addresses fell from 1.02 million to 596,000, while transaction volume dropped from 14.6 million to 8.55 million, both down by roughly 1.5x in the past week.</span></p><div id="attachment_547314"><p><img src="https://imageproxy.pbkrs.com/https://ambcrypto.com/wp-content/uploads/2025/11/Screenshot-2025-11-19-110119.png?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" width="761" height="285" original-src="https://imageproxy.pbkrs.com/https://ambcrypto.com/wp-content/uploads/2025/11/Screenshot-2025-11-19-110119.png"/></p><p id="caption-attachment-547314">Source: DefiLlama</p></div><p>The activity has been declining on average by about 1.5X since the beginning of October, and so has the price.</p><p>Worth noting is the potential for this to flip. This follows a Robinhood expansion to Arbitrum for tokenization.</p><h2><strong>Robinhood’s expansion: ARB price and TVL reaction</strong></h2><p>The charts were bearish in structure, but still forming a potential reversal pattern. Reversals typically transpire following consolidation, and the current descending trend channel aligns perfectly with this pattern.</p><p><span>Bulls have consistently responded whenever the price reached the channel’s demand zone. Currently, bears have been unable to push the price back to that zone, signaling strengthening bullish momentum.</span></p><p><span>Both the RSI and CMF were below neutral, as of writing, suggesting capital outflows. However, a bullish RSI divergence reveals an underlying imbalance, hinting at potential upward movement.</span></p><div id="attachment_547321"><p><img src="https://imageproxy.pbkrs.com/https://ambcrypto.com/wp-content/uploads/2025/11/ARBUSDT_2025-11-19_11-16-28.png?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" width="1623" height="770" original-src="https://imageproxy.pbkrs.com/https://ambcrypto.com/wp-content/uploads/2025/11/ARBUSDT_2025-11-19_11-16-28.png"/></p><p id="caption-attachment-547321">Source: TradingView</p></div><p>The expansion of the RWA sector on Arbitrum has the potential to significantly impact the market. Robinhood announced plans to expand its 800+ European tokenized stock offerings on the L2 chain.</p><p>They aimed for full DeFi interoperability by 2026, and the date could be when the impact is felt in price action and on-chain activity. This is because Robinhood brings in about 23 million users who would be leveraging Arbitrum to access these tokenized stocks.</p><p>The TVL of tokenized RWAs on Arbitrum, which stood at $490 million, could also grow after this Robinhood onboarding. The market cap of RWAs on ARB, which is at $1.026 billion, is expected to follow suit.</p><div id="attachment_547328"><p><img src="https://imageproxy.pbkrs.com/https://ambcrypto.com/wp-content/uploads/2025/11/Screenshot-2025-11-19-112919.png?x-oss-process=image/auto-orient,1/interlace,1/resize,w_1440,h_1440/quality,q_95/format,jpg" width="742" height="153" original-src="https://imageproxy.pbkrs.com/https://ambcrypto.com/wp-content/uploads/2025/11/Screenshot-2025-11-19-112919.png"/></p><p id="caption-attachment-547328">Source: Dune</p></div><p>Notably, the impact of this institutional involvement may not be instant but will be impactful in the long run. Currently, the general market weakness poses a threat to increased activity and the price of assets.</p></div>

HOOD

<p>Arbitrum's RWA market reached $1.02B, but ARB prices are stagnant due to decreased on-chain activity. Robinhood's expansion to the ARB chain could boost prices and activity, especially in the RWA sector. Despite long-term growth, short-term outlook is weak with declining active addresses and transaction volume. Robinhood's involvement may lead to future price and activity increases, but current market weakness poses challenges.</p>

Arbitrum’s RWA market hits $1.02B, yet ARB prices stall – Here’s why