Win and the Gunners will move within two points off Jurgen Klopp's leaders, while victory would only fuel belief that this can be their year.
Defeat, on the other hand, would leave them eight points adrift and facing a mountain to climb in the title race.
Even a draw might not be enough against a Liverpool side who do not look like dropping too many points as they bid to give Klopp a perfect send-off, and with Manchester City starting to look good — with Erling Haaland and Kevin De Bruyne fit again.
Arsenal are out to make a statement and do go into the game with momentum after getting their season back on track with back-to-back wins, against Crystal Palace and Nottingham Forest.
Liverpool will be missing the injured Mohamed Salah, who has tormented Arsenal in the past, but they looked unstoppable in their 4-1 dismantling of Chelsea on Wednesday.
In Salah's absence, other players have stepped up and there is an element of chaos about the Liverpool attack right now, thanks largely to Darwin Nunez.
Nunez hit the woodwork four times against Chelsea (including a missed penalty) but his link-play and movement with Diogo Jota and Luis Diaz has proved lethal in recent weeks.
The challenge for Arsenal is finding a way to combat that threat, and Arteta is likely to look to the blueprint he used for the thrilling 1-1 draw at Anfield in December
The Gunners stifled Liverpool that day, especially in the first half, playing with the control that Arteta has been searching for all season.
Gabriel gave Arsenal an early lead before some Salah wizardry earned Liverpool a point.
Like in December, midfield will be a key area on Sunday and the absence of Wataru Endo could hurt Liverpool.
Endo, who is away at the Asian Cup with Japan, impressed when the two sides met on Merseyside and helped Liverpool dominate in the second half.
Declan Rice has been vital in big games at the Emirates this season, scoring the winner against Manchester United and bossing the midfield against Manchester City.
These games are why Arsenal paid £105million for Rice last summer, and his role is likely to be key if the Gunners are to win the battle of chaos versus control.
The spotlight will also be on the Arsenal attack. Arteta's forward line has struggled all season but there is optimism it is slowly clicking into gear after a timely winter break last month.
All of the front-three — Bukayo Saka, Gabriel Jesus and Gabriel Martinelli — have scored in the two games since then.
Arsenal looked dead on their feet when they were knocked out of the FA Cup by Liverpool at the start of January but Saka, Jesus and now Martinelli look refreshed.
Liverpool were without Virgil van Dijk in the reverse fixture but the centre-back will start on Sunday. A big question for Klopp is who joins him in defence.
Trent Alexander-Arnold is back after a knee injury, but Conor Bradley is pushing to keep his place at right-back after an outstanding run in the team.
The 20-year-old ran rings around Chelsea on Wednesday and his emergence from nowhere sums up the wave of momentum carrying Liverpool forward right now.
Liverpool fans hope the script is written for Klopp to sign off in style, but Arsenal are fuelled by their own heartbreak last season when they faded in the run-in.
Sunday will a real test of their title credentials.