The incident occurred on Tuesday, about 10 minutes past midnight, on Takeshita Street in Shibuya Ward.
The shopping street was closed to vehicular traffic at the time. It was bustling with people heading to a nearby shrine to pray for good luck in 2019.
The car traveled about 130 meters on the street in the wrong direction, before coming to a halt.
The suspected driver of the vehicle fled the scene. But police detained him roughly 20 minutes later.
He is reported to be in his 20s.