HBAR Dips 8% — More Pain Ahead, or Can Bulls Still ‘Squeeze’ Out Gains?

HBAR trades close to $0.134, down virtually 8% immediately, underperforming a crypto market that’s down about 6%. The broader development remains to be weak, with the HBAR worth shedding almost 50% over the previous three months.

It sits once more on the identical help we highlighted lately. If this stage breaks, the downtrend continues. If it holds, the subsequent transfer might shock merchants leaning closely to at least one aspect.

Volume Weakness Deepens After a Fresh Breakdown

The first concern comes from spot quantity. On Balance Volume (OBV) exhibits whether or not cash are being purchased or offered primarily based on quantity circulate. Rising OBV exhibits demand, falling OBV exhibits stress.

HBAR just broke under its descending OBV development line, the road connecting a collection of decrease lows within the short-term. Breaking underneath this confirms recent weak point. The long-term image is worse.

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Between October 10 and November 21, the worth made a better low, however OBV made a decrease low. When worth rises whereas quantity falls, it alerts fading power beneath the floor.

Until OBV climbs again above the damaged development line, the market won’t have the amount help wanted for a clear restoration. As the OBV trendline connects decrease lows, breaking above it could nonetheless hold the momentum weak. It would solely decrease the crash dangers for now.

Shorts Outweigh Longs by 475% — A Sharp Derivatives Tilt

Derivatives add a second warning. The 30-day liquidation map exhibits roughly $15.32 million briefly positions and solely $2.66 million in lengthy positions. This means shorts are about 475% increased than longs, an enormous imbalance that displays one factor: the market doesn’t anticipate a bounce.

A liquidation map exhibits the place leveraged merchants might get compelled out of their positions if the HBAR price moves to certain levels.

This tilt does two issues.

It retains stress on HBAR if the worth breaks under help, as a result of brief merchants keep in management. And the remaining longs fall within the threat zone.

But if HBAR moves even slightly higher, that very same imbalance can act as gasoline for a pointy squeeze as a result of there are much more shorts to liquidate than longs. The derivatives lean bearish, however the setup provides HBAR a small window for an explosive upside shock.

HBAR Price Levels Show One Clear Crossroads

HBAR sits instantly on $0.134, the identical help stage we predicted earlier. If it fails now, the subsequent drop doubtless checks $0.129. Losing $0.129 opens the trail towards $0.087, matching the broader downtrend the place sellers stay in management.

On the upside, the primary resistance is $0.144. A day by day shut above it could present patrons absorbing stress and trying to flip the development. That type of transfer would weaken the bearish concept.

If that occurs, the subsequent barrier sits round $0.164, however reaching that time would require two issues: quantity enchancment on OBV and a drop within the short-heavy derivatives positioning. Without each, breakouts will fail early. Also, shifting above $0,164 would liquidate all of the shorts, per the liquidation map shared earlier.

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