Klopp, who guided Dortmund to the 2013 Champions League final at Wembley, feels on this evidence, Arsenal must be taken seriously after a result which puts them level with Napoli on nine points with two games remaining. Dortmund have six.
He said: "Yes (Arsenal can win the Champions League). They are young, healthy and good technicians. They won a clever game tonight and could go to the final and win it - as long as they don't play against Bayern Munich."
Dortmund should have gone ahead just before the break when Henrikh Mkhitaryan shot wide from the edge of the penalty area after Arsenal were carved open down the right.
Despite the defeat, Klopp feels Dortmund's qualification hopes remain in their own hands, with a home match against Napoli and a trip to bottom club Marseille the final two Group F fixtures.
"We had 11 shots before they scored and sometimes it was like they were defending with four legs, but football is a game of results," he said. "It is difficult after the game, but you have to look forward. It is a very strong group and the positive news tonight is that two wins and we will qualify."
Arsene Wenger said: "We looked more stable defensively because we have experience in midfield not to lose the ball in stupid positions. Dortmund are especially dangerous when you lose the ball, and to counter that, you need maturity. If you have a very young team tonight you would be overrun and lose that game by a very high score. We look more stable defensively."
With Napoli beating Marseille, Arsenal - now unbeaten in some 15 away matches - still have work to do to secure safe passage through to the knockout stages, but will have gained more belief they can last the distance this season.
"I have a lot of respect for Dortmund because they are a very good side," Wenger said. "Unfortunately this group is a very strong group, and one of the big teams will have to pay a heavy price. I hope it will not be us."