Arbitrum (ARB) has surged 13% in the past 24 hours, despite a significant decline in on-chain liquidity and Total Value Locked (TVL). The rally is driven by spot market demand and short-term accumulation, rather than fresh capital inflows. Since April 18, Arbitrum's TVL has decreased by approximately $449 million, with an additional 0.24% drop in the last day, bringing it to around $1.57 billion. Over $1 billion in stablecoins have exited the network since May 1, indicating reduced capital participation. Despite these liquidity challenges, technical indicators show continued accumulation of ARB, with the Accumulation/Distribution indicator reflecting strong buying pressure. The Moving Average Convergence Divergence (MACD) indicator also suggests bullish momentum. However, a significant fair value gap above the current price poses a technical threat, potentially limiting further gains unless ARB can break through this resistance zone.