Just one additional note. You asked why in your iCloud Drive folder some documents that you have not accessed for awhile have a cloud with a down arrow symbol next to them, while recently accessed documents do not.
The reason for this is because you have turned on Optimization for iCloud Drive. With Optimization turned on, when your Mac needs more space, then iCloud Drive will dynamically manage your iCloud Drive documents, and older documents will be removed from your local Mac Drive and stored in iCloud only. So, that symbol is telling you that in order to work with that document it will be downloaded from iCloud to do so.
All documents in iCloud Drive are typically stored both in iCloud as well as on your Mac (as is everything else you have in iCloud). The only time this is not the case is when you have Optimization turned on, which can result in some of your older documents being removed from your Mac and stored in iCloud only.
So, when you see a document with a cloud and a down arrow next to it, that means that it is in iCloud only and not currently housed in both iCloud and your Mac as it would normally be.
If you want to see the iCloud status for each folder and file that is housed in both places (i.e., "downloaded), then you would want to use the List View in Finder, and be sure to turn on the "iCloud Status Option" in the View Options. Otherwise, you will see all other iCloud icons even without that view option turned on with the exception of the plain old cloud one for the downloaded items:
View iCloud status: When iCloud Desktop and Documents is turned on, your folders and files may appear with one of the following status indicators in the iCloud Status column:
- In iCloud: The In iCloud status icon
tells you that the folder or file is only in iCloud. You must be connected to the Internet to work with the item, unless you download it to your Mac. Control-click the file, then choose Download Now.
- Ineligible: The Ineligible status icon
tells you that the folder or file could not be stored in iCloud. This is usually because you don’t have enough iCloud storage. To learn more about freeing up storage, see Optimize storage on your Mac.
- Downloaded: The Downloaded status icon
tells you that the folder or file is up to date between your Mac and iCloud and you can view or edit it immediately, with or without an Internet connection.
- Waiting to Upload: The Waiting to Upload status icon
indicates that the folder or file is not yet stored in iCloud.
- Out of Space: The Out of Space status icon
indicates that the folder or file can’t be stored in iCloud because there isn’t enough iCloud storage.A similar icon can also appear next to iCloud Drive in the sidebar, where it indicates that iCloud storage is full.
- Pie chart: The pie chart status icon
gradually increases from clear to dark as the files are transferred.The same pie chart can also appear next to iCloud Drive in the sidebar, where it indicates the overall progress for files transferring to and from iCloud Drive.
Note: Even if the iCloud Status column is not in the Finder window, you can still see the status for most iCloud file transfers next to the folder or file name. The only icon you won’t see is for downloaded items.
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