Hedera’s Price Drop: What’s Next for HBAR?

If you’ve been keeping an eye on Hedera (HBAR), you might have noticed its price has taken a hit, dropping over 16% in the past seven days. This downtrend has been going on for a while, but here’s the thing: technical indicators are showing signs of weakening bearish momentum.

Specifically, the ADX (Average Directional Index) has fallen to 11.46, which suggests the trend strength is losing steam. A Critical Decision Point for HBAR

Right now, HBAR is at a crossroads. It’s facing a crucial decision point, with support at $0.233 and resistance at $0.274. These levels will likely determine whether the price can stabilize or continue its decline.

Think of it like a fork in the road: which path will HBAR take? Weakening Downtrend: What Does it Mean?

The ADX is a handy tool that measures the strength of a trend, whether it’s bullish or bearish. A reading above 25 indicates a strong trend, while values below 20 suggest a weak or absent trend.

In HBAR’s case, the ADX has dropped significantly, from 23 to 11.46, in just three days. This sharp decline in trend strength suggests that the bearish momentum is losing intensity. What to Expect in the Short Term

With the ADX at 11.46, it’s likely that HBAR’s price will experience reduced volatility or enter a consolidation phase in the short term.

This doesn’t necessarily mean the downtrend is over, but rather that the selling pressure might not have enough momentum to sustain further sharp declines. However, unless the ADX rises to confirm stronger trend dynamics, HBAR’s price may remain range-bound or see limited movement. Ichimoku Cloud: A Bearish Setup

Taking a look at HBAR’s Ichimoku Cloud chart, we can see a bearish setup unfolding.

The price is below the red cloud, signaling downward momentum. The cloud, formed by Senkou Span A and Senkou Span B, strengthens bearish sentiment as Senkou Span A remains below Senkou Span B. This configuration suggests that selling pressure is dominant, and HBAR has struggled to find support for a potential reversal.

Price Prediction: A Further Correction?

HBAR’s price closest strong support lies around $0.233, which means its price could fall by another 12.7% if the current downtrend persists. However, as suggested by the declining ADX, the downtrend is losing momentum, which could provide relief and limit further declines.

If the support at $0.233 holds, HBAR may consolidate or attempt to recover in the short term. What’s Next for HBAR?

If the trend reverses, HBAR’s price could first test the resistance at $0.274. Breaking through this level would signal increased bullish momentum, potentially driving the price toward the next resistance at $0.311.

These levels will determine whether Hedera’s price can break free from its bearish trajectory or continue to face selling pressure in the coming days. Remember: Always Do Your Own Research

As always, it’s essential to keep in mind that market conditions can change without notice. This price analysis is for informational purposes only and should not be considered financial or investment advice.

Always conduct your own research and consult with a professional before making any financial decisions.

Reported by Beincrypto.com

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