Hedera Hashgraph (HBAR) has recently garnered significant attention in the cryptocurrency market, as it experiences a notable price surge. Following a powerful rally, HBAR surpassed crucial Fibonacci retracement levels, reaching as high as $0.35557. This upward momentum came after breaking key resistance points, including the 78.6% retracement at $0.20159 and the 100% retracement at $0.26939. With a bullish technical outlook, traders are now eyeing the next potential resistance at $0.45.
HBAR’s Bullish Breakout Targets $0.45 Resistance
The breakout from a prolonged downward trendline earlier this year signaled a shift in market sentiment, marking the start of a bullish rally. Historical support zones between $0.14837 and $0.11098 provided a solid foundation for this upward movement. However, immediate resistance around $0.35557 and $0.45 remains unbroken, limiting HBAR’s current price action.
Technically, indicators are showing strong bullish signals. The MACD has exhibited a crossover, with the MACD line (0.02918) above the signal line (0.01182), further confirming upward momentum. However, with the Relative Strength Index (RSI) currently at 76.53, HBAR is nearing overbought territory, suggesting a potential pullback or consolidation phase. If HBAR can maintain its position above the key 100% Fibonacci level at $0.26939, it could reignite bullish sentiment and drive the price toward the 161.8% Fibonacci extension of $0.46519. Conversely, a break below this level could lead to a deeper correction toward $0.20159 or lower.
Market Dynamics: Cooling Phase and Market Cap Analysis
As of now, HBAR is priced at $0.2834, showing a 3.49% drop over the last 24 hours. This reflects a cooling phase after the recent rally, with the market capitalization dipping to $10.83 billion, down 3.84%. Trading volume also declined by 14.19%, signaling reduced market activity as the price stabilizes. Despite this, HBAR’s fully diluted valuation (FDV) remains substantial at $14.16 billion, indicating strong long-term potential.
The recent price action has been volatile, with HBAR briefly touching $0.2942 before retracing. This fluctuation aligns with key resistance levels and reflects market consolidation around these levels after the Fibonacci breakout.
Open Interest Spike: $500M Surge Boosts HBAR’s Bullish Momentum
On-chain data further supports HBAR’s bullish narrative. A notable surge in open interest above $500 million during the rally highlights strong trader participation and confidence. This spike in derivatives activity coincided with the price breakout past $0.33559, reinforcing the bullish sentiment and driving the upward momentum. With the market cap of $10.83 billion, this suggests that increasing market participation is playing a key role in HBAR’s recent performance.
HBAR’s recent surge highlights the asset’s potential, driven by a trendline breakout, key Fibonacci levels, and a significant open interest spike. While the market is currently in a cooling phase, the long-term outlook remains bullish, particularly if the price can maintain support above key Fibonacci levels. Traders should keep an eye on the $0.45 resistance as the next critical target, while the recent dip in market cap and trading volume could offer an opportunity for a correction before the next potential breakout.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
Also Read: Hedera Hashgraph (HBAR) Targets $100: Can It Capture a Slice of the $5 Trillion Market?
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