Hedera (HBAR) Has Been Experiencing a Steady Decline
Hedera (HBAR) has been experiencing a steady decline in price over the past few weeks, showing little sign of a reversal despite positive long-term sentiment and growing confidence among traders. As of now, HBAR is holding above the key support level of $0.177, which has acted as a strong floor for the altcoin over the past three months. However, the price continues to face downward pressure, leaving traders with a sense of uncertainty. While the current trend is bearish, there are still signs of optimism in the market, with many traders betting on a strong comeback for HBAR in the near future.
Traders Bet on Recovery Despite Downtrend
Despite the overall bearish market conditions, many traders are maintaining positive long-term expectations for HBAR. One of the key indicators of this optimism is the positive funding rate for HBAR, suggesting that long positions are dominating short contracts in the market. When the funding rate is positive, it typically means that traders are more confident in the price increasing than in it continuing to fall.
The positive funding rate indicates that there is a significant number of traders betting on HBAR’s recovery. This sentiment shows that investors are holding their positions with the expectation that Hedera will eventually see a rebound, even though the market is currently experiencing a decline. As long positions outweigh short positions, the confidence in a recovery remains strong. However, the recent market price action and broader market conditions have made it challenging for these long positions to generate any immediate profit.
Strong Downtrend Reflected in ADX Indicator
Looking at the broader trend for HBAR, the Average Directional Index (ADX) indicator signals that the altcoin is still in a strong downtrend. The ADX, which measures the strength of a trend, is currently well above the 25.0 threshold, indicating that the bearish momentum is likely to persist in the short term. A high ADX reading suggests that there is little sign of immediate reversal and that HBAR could face further downward pressure before finding a solid support level.
As a result, traders need to be cautious when considering new positions, as the risk of further declines remains high while the downtrend continues. Until the ADX indicator shows signs of weakening or a shift in market sentiment occurs, the downward pressure on HBAR is expected to persist. However, once the market conditions improve, traders believe that HBAR could see a strong rebound.
Price Holds Above $0.177 Support
Currently, HBAR is trading at around $0.184, down by approximately 6% over the past 48 hours. The altcoin had struggled to hold above the $0.197 support level, which may signal further declines in the short term. If the price continues to slide, the next significant support for HBAR lies at $0.177, a level that has consistently held up as a strong floor for the asset over the last three months. This level is crucial for HBAR’s ability to recover, and a failure to hold this support could result in further declines.
Should HBAR find stability at the $0.177 support, it could indicate a temporary consolidation before the next potential move higher. A consolidation in this range could pave the way for a reversal, and a price recovery could be seen if the broader market conditions improve. Conversely, if HBAR fails to maintain the $0.177 support, it may test lower levels, which could place additional downward pressure on the coin.
The Road to Recovery
In the event that market conditions improve, HBAR could see a strong recovery, especially if it is able to break the $0.197 resistance level and flip it into support. This would indicate that the bearish trend has been invalidated and that a shift toward positive price momentum is underway. A successful breach of the $0.222 resistance could further fuel this optimism, helping to bring HBAR back into an upward trend.
Overall, while HBAR is still facing significant downward pressure, traders remain hopeful that the altcoin will eventually rebound. The support at $0.177 will play a key role in determining whether HBAR can recover, and with market conditions stabilizing, a comeback could be on the horizon for Hedera in the near future.
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