Yes and yes. Enable ARM binary translation for QEMU (Google) and then just use it as a chroot. No virtual machines/disks/RAM to make at all. Use the ARM v5 rootfs.
Remember, Arch Linux ARM is completely donation-supported, and is totally awesome.
crimsonredmk could you expand on this for those of us you don't know what you are talking about? i'd like to run the arm version for goflex home in a virtual machine so i can play around with it without messing up the actul server, perferably in virtualbox on a linux machine.
I was able to chroot to a real ARM filesystem, using qemu binary translation. After that, almost everything works transparently: network, package upgrades, kernel compilation, and so on