Born in Ibarra, Gipuzkoa, Aranalde began his career at lowly Hernani, going on to spend eight of his nine professional seasons in his country in the Segunda División.

[3] He spent just under five seasons at the Bescot Stadium, winning promotion via the play-off final in his first year and being a regular member until he was surprisingly released by manager Paul Merson, in March 2005; he moved on to Sheffield Wednesday immediately following his release, but was sent off in only his second game for the side and never appeared for them again.

He scored five goals during the campaign, and was part of a squad which included two other former Walsall players, striker Karl Hawley and future Preston North End manager Paul Simpson; on 1 October he netted Bristol Rovers' 5000th ever goal in a 1–3 loss, in his own net.

[7] Two years later, after playing some amateur football in his country,[8] he returned to England in April 2010 when he was named chief scout at Brighton & Hove Albion in League One.

[10] Aranalde was named assistant manager at Premier League team Watford in January 2018, following the appointment of his compatriot Javi Gracia.