Hedera Hashgraph’s (HBAR) price has recently undergone a notable decline. Over the past 24 hours, it has decreased by 5.9%, settling at approximately $0.0708. This drop is in line with Bitcoin’s recent fall below the critical $60,000 support level, which has instilled fear among cryptocurrency investors and negatively affected the broader market, putting additional pressure on altcoins like HBAR.
What’s Impacting HBAR’s Price?
A significant technical indicator affecting HBAR’s price is the ‘Death Cross’ formation. This occurs when the 50-day simple moving average (SMA) crosses below the 200-day SMA, typically seen as a bearish signal suggesting continued downward pressure. HBAR’s price has been on a downward trend since hitting its yearly high of $0.181 in April, forming a large head and shoulders pattern since November 2023, often interpreted as a negative indicator for future price movements.
Which Levels Are Critical for Hedera?
The current price level for HBAR is critical. Should it drop below $0.068, there could be a further decline of 36% to around $0.045, completing the head and shoulders pattern. On the other hand, if a bullish trend takes hold, HBAR could see a rise of 65%, reaching approximately $0.121. This potential increase might lead to a consolidation zone between $0.135 and $0.068. The Relative Strength Index (RSI) has recently entered the oversold territory, suggesting high selling momentum before a potential reversal.
Key Insights for HBAR Investors
Investors might find the following points valuable:
- HBAR’s price is trading around $0.0708, following a 5.9% drop.
- The ‘Death Cross’ formation suggests further downward pressure could be on the horizon.
- Despite recent price declines, HBAR’s underlying technology remains strong, with increasing adoption.
Conclusion
Despite recent price challenges, HBAR’s fundamentals remain robust. Hedera’s underlying Hashgraph technology continues to be strong, and its adoption rate is increasing. Notably, Sweden’s Riks Bank has tested Hedera Hashgraph, along with Algorand, for a retail-based Central Bank Digital Currency (CBDC), indicating growing institutional interest and potential future applications.