Hedera (HBAR) fails to spark investor interest: Can It Crash

14 ก.ค.

Hedera (HBAR) fails to spark investor interest: Can It Crash More
Hedera Failed to make a comeback and kept on declining since the 2nd of Week.
The weighted sentiment curve highlights a frequent crossover of the zero line suggesting a confusion among the investors.

The crypto market experienced a significant downturn in the very beginning of July, with Bitcoin dropping to a low of 54K thus causing a panic selloff in the altcoins. Moreover, When Bitcoin tanks, so does the rest of the market. In tandem with the broader markets fall Hedera (HBAR) also suffered heavily, with investor confidence waning.

Despite the recent recovery in Bitcoin and broader markets, HBAR has yet to regain investor trust. However, its price appears to be stabilizing near support levels, suggesting a potential bullish comeback.

Hedera is a highly utilized, sustainable, enterprise-grade public network for the decentralized economy, enabling the creation of powerful decentralized applications. It has a live market capitalization of $2.54 billion and ranks 32nd in the cryptocurrency market.
Weighted Sentiment Curve Highlights Investors Confusion
Hedera was a highly-touted Layer 1 platform during the 2021 crypto bull cycle, reaching its all-time high (ATH). However, in 2024, the open-source proof-of-stake protocol has struggled to make a significant impact on the market.

As of July, HBAR price has been in a downtrend, hovering around $0.06. Recent sessions show price stability near the support levels, suggesting a potential rebound.

According to data from app.santiment.net, positive sentiment has been rising recently. However, the weighted sentiment curve frequently crosses the zero line, indicating investor uncertainty.

Furthermore, the transaction volume reveals a growth of nearly 37% a day and has reached $46.77 Million a day. The rise in transaction volume highlights an increased demand. The volume to market capitalization at 1.85% suggests low volatility.
Hedera Price Analysis From A Technical Point of View
Hedera price has been in a downtrend since the 2nd week of May. connecting the highs, a trendline resistance may be easily drawn over the HBAR/USD daily chart. The price suffered rejection respecting the trendline resistance in May.

Currently, HBAR price seems to be stabilizing near the demand zone. The key exponential moving averages has been acting as a dynamic resistance indicating a preluding bearish pressure.

Now, HBAR may continue to show a sideways trend until it hovers in the range formed between 20 day EMA and demand zone of $0.64 level. A breakout above 20 day EMA may bring back confidence among the investors and price may recover. whereas, a breakdown below the demand may suggest a continuation of a bearish trend.

At the time of writing, the RSI line was headed towards the mean line and was placed at 43.9 points. whereas, The 14 day SMA line was at 34.3 points. Moreover, a bullish crossover of both the lines was observed indicating a possible rebound in the price.
What’s Next For HBAR?
The crypto market experienced a downturn in early July, with Bitcoin dropping towards 54K, causing a panic selloff in altcoins, including Hedera (HBAR). Despite a broader market recovery, HBAR has yet to regain investor trust. However, HBAR shows signs of stabilizing near the support level indicating a potential for a bullish rebound.

Moreover, the positive sentiment is rising, though investor uncertainty remains. The transaction volume increased by 37%, reaching $46.77 million daily. Currently, HBAR suffers resistance near the key exponential moving averages and may trend sideways between the 20-day EMA and $0.64 demand zone. A breakout above the 20-day EMA could restore investor confidence.