Hedera (HBAR) has seen a robust recovery rally over the past 24 hours, climbing nearly 5% to reach $0.26. The price briefly hit a high of $0.2646 as bullish sentiment strengthened. However, despite this price surge, Hedera’s trading volume has dropped by 4.93% to $890 million, signaling mixed market participation.
HBAR’s Market Performance and Recent Trends
Since dropping below $0.39 on December 3, HBAR has been struggling to regain bullish momentum. The price took a significant hit on February 3, falling below $0.20, exacerbated by the Bybit hack. However, in the last 24 hours, Hedera’s market capitalization has increased by 5.4% to reach $10.64 billion, reflecting renewed investor confidence.
Open Interest Surges as Funding Rate Turns Negative
The recent price surge comes amid increased trading activity. Coinglass data shows that about $2.39 million in Hedera trades were liquidated, with $1.64 million lost by short sellers and $745.5K by long traders. Open interest in HBAR has also surged to $207 million, a 13.4% increase from the previous day, indicating heightened speculation.
However, the market could face a downward correction as HBAR’s funding rate has turned negative at 0.0052%. A negative funding rate often suggests increasing selling pressure, potentially capping further gains.
HBAR is currently trading at $0.2551, up 5.49% in the last 24 hours. The price is testing key resistance at $0.288, which could be a major hurdle due to short-term holders (STHs) liquidating positions. If buying pressure persists, HBAR could break above this level and target $0.33.
On the downside, failure to hold above the EMA20 trend line on the 1-hour chart could see prices retreat to $0.21. Meanwhile, the Relative Strength Index (RSI) hovers at 52, indicating neutral momentum with potential for further gains.
Hedera Price Forecast: Short and Long-Term Predictions
- Short-term outlook: If HBAR surpasses $0.288, a move toward $0.33 is likely. However, if selling pressure intensifies, a retest of $0.21 is possible.
- Long-term projection: Coincodex predicts a 62.33% increase, expecting HBAR to reach $0.417 by April 2025. Despite extreme fear levels in the market, the current sentiment remains neutral, making it a potentially favorable time to buy.
Also Read: Pi Network Surges 5%, Outpaces Hedera Amid Market Selloff – Is a Binance Listing Next?
As HBAR navigates through key resistance levels, traders will closely watch for sustained buying interest to confirm the strength of this recovery rally.
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 CoinBrief.io. Before making any investment decisions, you should always conduct your own research. Coin Brief is not responsible for any financial losses.
