diff --git a/ElementX/Sources/Application/AppCoordinator.swift b/ElementX/Sources/Application/AppCoordinator.swift
index df6af9010..3016dca58 100644
--- a/ElementX/Sources/Application/AppCoordinator.swift
+++ b/ElementX/Sources/Application/AppCoordinator.swift
@@ -1077,7 +1077,8 @@ class AppCoordinator: AppCoordinatorProtocol, AuthenticationFlowCoordinatorDeleg
                 
                 switch state {
                 case .loading:
-                    if self?.userSession?.clientProxy.homeserverReachabilityPublisher.value == .reachable {
+                    if self?.userSession?.clientProxy.homeserverReachabilityPublisher.value == .reachable,
+                       self?.appMediator.networkMonitor.reachabilityPublisher.value == .reachable {
                         ServiceLocator.shared.userIndicatorController.submitIndicator(.init(id: toastIdentifier, type: .toast(progress: .indeterminate), title: L10n.commonSyncing, persistent: true))
                     }
                 case .notLoading:
diff --git a/ElementX/Sources/FlowCoordinators/UserSessionFlowCoordinator.swift b/ElementX/Sources/FlowCoordinators/UserSessionFlowCoordinator.swift
index a34d27044..b1195b26f 100644
--- a/ElementX/Sources/FlowCoordinators/UserSessionFlowCoordinator.swift
+++ b/ElementX/Sources/FlowCoordinators/UserSessionFlowCoordinator.swift
@@ -246,17 +246,17 @@ class UserSessionFlowCoordinator: FlowCoordinatorProtocol {
                 MXLog.info("Homeserver reachability: \(homeserverReachability)")
                 
                 guard let self else { return }
-                switch (homeserverReachability, networkReachability) {
-                case (.reachable, _):
+                switch (networkReachability, homeserverReachability) {
+                case (.reachable, .reachable):
                     flowParameters.userIndicatorController.retractIndicatorWithId(reachabilityNotificationID)
-                case (.unreachable, .unreachable):
-                    flowParameters.userIndicatorController.submitIndicator(.init(id: reachabilityNotificationID,
-                                                                                 title: L10n.commonOffline,
-                                                                                 persistent: true))
-                case (.unreachable, .reachable):
+                case (.reachable, .unreachable):
                     flowParameters.userIndicatorController.submitIndicator(.init(id: reachabilityNotificationID,
                                                                                  title: L10n.commonServerUnreachable,
                                                                                  persistent: true))
+                case (.unreachable, _):
+                    flowParameters.userIndicatorController.submitIndicator(.init(id: reachabilityNotificationID,
+                                                                                 title: L10n.commonOffline,
+                                                                                 persistent: true))
                 }
             }
             .store(in: &cancellables)
diff --git a/UnitTests/Sources/UserSessionFlowCoordinatorTests.swift b/UnitTests/Sources/UserSessionFlowCoordinatorTests.swift
index 2b9d79f76..ea9c458a2 100644
--- a/UnitTests/Sources/UserSessionFlowCoordinatorTests.swift
+++ b/UnitTests/Sources/UserSessionFlowCoordinatorTests.swift
@@ -196,17 +196,18 @@ class UserSessionFlowCoordinatorTests: XCTestCase {
         homeserverReachabilitySubject.send(.reachable)
         try await Task.sleep(for: .milliseconds(100))
         
-        // Then the indicator should be hidden even if the network isn't reachable.
-        XCTAssertEqual(userIndicatorController.submitIndicatorDelayCallsCount, 2)
-        XCTAssertEqual(retractReachabilityIndicatorCallsCount, 2)
+        // Then there should still be an offline indicator (as we don't yet support air-gapped servers on iOS).
+        XCTAssertEqual(userIndicatorController.submitIndicatorDelayCallsCount, 3)
+        XCTAssertEqual(userIndicatorController.submitIndicatorDelayReceivedArguments?.indicator.title, L10n.commonOffline)
+        XCTAssertEqual(retractReachabilityIndicatorCallsCount, 1)
         
         // When the network becomes reachable again.
         networkReachabilitySubject.send(.reachable)
         try await Task.sleep(for: .milliseconds(100))
         
-        // Then nothing else should happen.
-        XCTAssertEqual(userIndicatorController.submitIndicatorDelayCallsCount, 2)
-        XCTAssertEqual(retractReachabilityIndicatorCallsCount, 3)
+        // Then the indicator should be hidden now as everything is back to normal
+        XCTAssertEqual(userIndicatorController.submitIndicatorDelayCallsCount, 3)
+        XCTAssertEqual(retractReachabilityIndicatorCallsCount, 2)
     }
     
     // MARK: - Helpers