The midfielder was on display during Spurs' 3-2 win over West Ham United on Monday in another all-London clash.
Now Holtby, who joined from Schalke 04 in January, admits that he cannot wait to play in the rivalry against the Gunners.
"I'm buzzing for the North London derby, it's a massive game for us. We have to be prepared to try and get the win," said Holtby.
"We have the quality in the squad to go third. With the quality in the side, we can definitely play Champions League football.
"Every game in the Premier League is just an experience and I can't believe that I'm here. Life is going perfect right now."
Spurs host Arsenal at White Hart Lane on Sunday.