Earlier today a story broke about the Japanese Xbox site reporting that Castle Crashers was slated for release at 1800 Microsoft Points. Pricing for this game has not been determined yet. Both The Behemoth and Microsoft are still working together to figure out a reasonable price point. (not 1800 points)
One thing that we would like to point out is that much like a retail store Microsoft is the distributor for all Arcade titles, and therefore sets the final price. The developer can consult on this, but ultimately, pricing is at the discretion of the distributor (Microsoft).
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For anyone looking for release date, it is August 27th! (see post below for more info)
Gametrailers has posted an interview with Tom and I, as well as some gameplay footage, at: http://www.gametrailers.com/player/37755.html