HBAR Seeks to End Prolonged Downtrend
Hedera Hashgraph (HBAR) price is trying to break free from the pressure of a long-standing downtrend.
After being suppressed for quite a long time, this digital asset is showing early signs of a reversal in the market.
In the past few weeks, the HBAR price has tried to break through the descending resistance line that has formed since February 2024.
Based on information we quoted from Beincrypto media, this effort has raised optimism among traders who are waiting for confirmation of a stronger bullish signal.
HBAR Price Movement Since the Beginning of the Year
Since the beginning of 2024, HBAR has experienced a significant correction phase, with the last price peak reached in February.
After that, selling pressure dominated the market, causing this asset to lose most of its gains.
This gradual decline eventually created a downward trend line pattern that became a psychological and technical boundary for buyers. However, the HBAR price began to record positive movements after approaching the strong support area.
Attempts to Break Through Resistance and Potential Reversal
Currently, the price is approaching a downward trend line that functions as an important resistance zone.
If the breakout is confirmed, the potential for a longer rally will be wide open, with the first increase target around $0.10.
The chance of a reversal is further strengthened by several technical indicators that indicate bullish momentum.
Transaction volume has also increased, supporting the potential for a change in market sentiment.
Technical Indicator Analysis
The RSI (Relative Strength Index) indicator, which was previously stuck in the neutral zone, is slowly moving closer to the overbought area. This RSI movement could indicate increasing buying pressure.
In addition, the MACD (Moving Average Convergence Divergence) is starting to show the potential for a golden cross to form, which is usually considered a positive signal in medium-term price trends.
Scenario If Breakout Fails
Although signs of strengthening have emerged, investors need to consider the possibility of failing to break through resistance.
If rejection occurs at the downtrend line, the HBAR price is at risk of falling back to the support zone around $0.06.
This failure will increase selling pressure and extend the bearish consolidation phase that has occurred in the last few months.
Conclusion and Price Movement Prospects
HBAR is now in a critical phase that will determine the direction of price movement in the coming quarter.
If the breakout is successful, the market has the potential to witness a significant rally towards the next resistance area.
Conversely, rejection at a critical level can cause this digital asset to be trapped in a downtrend for longer.
Traders are advised to closely monitor technical developments and transaction volumes before making investment decisions.
