HBAR Price Tests $0.16 Support — One Move Could Trap the Bears
Hedera (HBAR) worth is down 4.27% in the previous 24 hours and virtually 8% this week, buying and selling close to $0.16 after dropping momentum from final week’s transient rebound. The sideways motion reveals hesitation, however two essential developments counsel that the pullback might not final.
If the $0.16 help holds and the worth manages to reclaim $0.19, the HBAR worth might nonetheless recuperate. Here is how.
Selling Pressure Fades as Bearish Bets Stack Up — Short Squeeze Likely?
The amount of HBAR shifting to exchanges has dropped sharply, which often indicators traders are holding as an alternative of promoting. Between October 13 and 20, weekly trade inflows fell from $6.13 million to $1.47 million — a 76% decline.
An identical sample appeared in late June, when inflows collapsed from $7.72 million to $632,000 (a 90% drop). Within a month, HBAR’s worth virtually doubled from $0.13 to $0.29.
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At the similar time, merchants in the futures market are closely positioned for a drop. Short bets complete $44.88 million, in comparison with solely $14.11 million in lengthy positions. This implies that 76% of the merchants count on extra draw back, however that imbalance can rapidly backfire.
Many brief positions might be pressured to shut if the HBAR worth closes above $0.19, the place the largest liquidation cluster sits. A transfer of about 15% from present costs might set off shopping for strain (by way of brief squeeze) as these shorts unwind.
That combine — much less promoting on exchanges and too many merchants betting in opposition to HBAR — might gas a shock rally if the worth holds above $0.16 lengthy sufficient to check increased ranges.
HBAR Price Needs to Hold $0.16 Before Bulls Can Take Over
HBAR’s worth construction nonetheless leaves room for restoration, however every thing now is determined by the way it behaves round $0.16 and $0.19. The token continues to commerce inside a broadening wedge — a formation the place each trendlines transfer aside, typically signaling rising volatility and a possible breakout if consumers regain management.
If HBAR holds above $0.16 and breaks previous $0.19, it might climb towards $0.23. A detailed above $0.23 would imply the worth has moved past the higher trendline of the broadening wedge. That would probably set off the short-squeeze occasion as leveraged positions unwind. That breakout might pave the means towards $0.25 and $0.30, areas the place earlier rallies have stalled.
The Relative Strength Index (RSI) — which tracks the velocity and power of worth motion — additionally helps this view. Between June 22 and October 10, HBAR’s price made lower lows whereas the RSI fashioned increased lows.
This bullish divergence usually hints that promoting strain is fading despite the fact that the worth hasn’t but elevated. Combined with a broadening wedge, it strengthens the case for a reversal once HBAR price confirmation arrives.
However, the wedge’s decrease trendline is weak because it has solely two clear touchpoints. If $0.16 fails and $0.15 breaks, that boundary might give means, dragging HBAR down towards $0.12 and invalidating the rebound setup.
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