Hedera's native token HBAR experienced a sharp 2.46% decline between August 18 and August 19, dropping from $0.244 to $0.238 amid heavy selling pressure. The selloff intensified during a critical 60-minute window from 13:25 to 14:24 on August 19, where HBAR fell from $0.241 to $0.238 despite an early spike to $0.243. A volume surge of 5.38 million tokens at 13:32 confirmed the breakdown below key support levels.
Trading was highly volatile throughout the 24-hour period, with HBAR ranging between $0.249 and $0.237 on volume exceeding 87 million tokens. The broader market context added pressure as the U.S. Producer Price Index rose to 3.3%, exceeding Federal Reserve forecasts and contributing to $460 million in liquidations across digital assets.
Network fundamentals show concerning deterioration, with Hedera's Total Value Locked (TVL) declining 5% since August 14 to $129 million, indicating reduced user engagement with its DeFi ecosystem. More alarmingly, decentralized exchange (DEX) volumes on the network plummeted nearly 60% in the past week, reflecting weakening transaction flow and speculative interest.
Technical analysis reveals bearish momentum gaining dominance, with HBAR's MACD line resting below the signal line, suggesting growing sell-side pressure. The token now risks breaking below critical support at $0.227, which could trigger a deeper drop toward $0.196. Analysts note that despite HBAR's enterprise-grade infrastructure and corporate partnerships providing long-term adoption potential, near-term sentiment remains fragile with the potential for extended consolidation or further losses.