Hedera (HBAR) is currently trading near critical support levels after shifting from a prolonged bearish trend since mid-2024. The asset has been moving in a tight range between $0.16 and $0.22 over the past month, recently experiencing a 3% decline within 24 hours and only modest weekly gains. Technical indicators reveal that HBAR’s Relative Strength Index (RSI) dropped from overbought to neutral territory, signaling fading positive momentum with diminished trader confidence.
The Bollinger Bands trend shows a recovery from a strong bearish position to a near-neutral stance, suggesting a tentative shift in market sentiment that could favor HBAR if momentum strengthens. However, the price is struggling to sustain the psychological $0.20 support level, which is critical for initiating further bullish moves towards $0.24 or higher resistance points at $0.27, $0.34, and $0.41, potentially marking a new all-time high.
Market analysts highlight the formation of a descending triangle chart pattern, characterized by flat support at $0.10 and decreasing resistance from $0.30, indicating consolidation with potential for breakout. Positive developments such as recent partnership deals and potential Exchange Traded Fund (ETF) approval are also cited as bullish catalysts. Additionally, the integration of HBAR and USDC by Alchemy Pay to facilitate fiat on-ramp is expected to support adoption and price appreciation.
Traders currently show bullish sentiment evidenced by increasing funding rates and dominance of long contracts, though technical momentum indicators like the MACD warn of a possible bearish crossover, which could lead to a short-term decline. Failure to hold the $0.20 support could drive the price down to $0.18 or even $0.16, undermining recent gains and triggering a bearish reversal.
Overall, while HBAR maintains a positive outlook supported by fundamental catalysts and trader optimism, imminent technical resistance and mixed signals necessitate cautious monitoring of support levels in the near term.