HBAR ETF Hype Fuels Price Jump, But Weak Demand Threatens Rally

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In a most curious turn of events, the Hedera (HBAR) token, much like a wayward traveler, chose to defy the prevailing winds of the market’s downtrend yesterday. It soared, nearly 10%, as if propelled by the very whispers of fortune, following the announcement that Nasdaq had submitted a 19b-4 form to the US Securities and Exchange Commission (SEC) for the listing of Canary Capital’s proposed HBAR exchange-traded fund (ETF). Ah, the sweet scent of optimism! 🍀

Yet, dear reader, this rally proved to be as fleeting as a summer’s day. In the span of a mere 24 hours, HBAR’s price succumbed to gravity, plummeting by 7%. The technical indicators, those ever-watchful sentinels, suggest that further declines loom ominously on the horizon, as the demand for this altcoin remains as weak as a cup of over-brewed tea. ☕

Hedera Drops After ETF Hype Fades

On that fateful Monday, the US securities exchange Nasdaq, in a fit of ambition, sought the SEC’s blessing to list Canary’s ETF, which is intended to cradle the Hedera Network’s native token, HBAR. A noble endeavor, indeed!

In the wake of this announcement, the altcoin, like a rebellious child, diverged from the broader market, recording gains that sent its price soaring from $0.209 to a 24-hour high of $0.226. However, with no demand to sustain this ephemeral rally, HBAR’s price has since retreated, now languishing at $0.190, down 7% over the past 24 hours. Such is the fickle nature of fortune! 😅

BeInCrypto, in its infinite wisdom, observes that a significant bearish bias continues to shadow the altcoin. This is evidenced by its negative Balance of Power (BoP) indicator on the 12-hour chart, which currently languishes at -0.50. A most disheartening figure, indeed!

The BoP indicator, that astute measure of the strength of buyers against sellers, reveals a rather grim tale. A negative BoP value indicates that sellers are firmly in control, suggesting a bearish momentum that threatens to crush any lingering hopes of a price rally.

Moreover, HBAR’s Chaikin Money Flow (CMF) corroborates this bearish outlook, as it trends downward below the zero line, much like a ship lost at sea. 🚢

This momentum indicator, a harbinger of money flows into and out of an asset, reveals that selling pressure outweighs any feeble attempts at accumulation among market participants. It is a bearish setup that traders interpret as a clarion call to exit long positions and embrace the short ones, anticipating further price declines. A rather grim forecast, wouldn’t you agree?

HBAR Faces Strong Resistance as Downtrend Persists

HBAR continues to languish below a descending trendline, a shadowy figure that has kept its price low since it once reached the lofty heights of $0.40. With demand waning and selloffs gaining strength, HBAR’s price may remain ensnared below this trendline for the foreseeable future.

When an asset trades below such a descending trendline, it is a clear indication that bearish momentum reigns supreme, with sellers driving prices lower with relentless determination. This suggests that HBAR will remain in a downtrend until it can muster the strength to break above the trendline, buoyed by a surge of buying pressure.

If this decline continues unabated, HBAR’s price could tumble to a disheartening $0.169. Alas! 😱

Conversely, should a miraculous spike in demand occur, it could reverse this trend and propel HBAR upward to a more respectable $0.247. A tale of two fates, indeed!

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2025-02-25 15:07