Cryptocurrency markets remain volatile as Hedera (HBAR) continues to struggle against market resistance. With its price trajectory closely tied to Bitcoin (BTC), HBAR has faced challenges sustaining upward momentum. Let’s examine how Bitcoin’s performance directly impacts HBAR and what the future may hold for this altcoin.
HBAR’s Strong Correlation With Bitcoin
Over the past weeks, Hedera has demonstrated a tight correlation with Bitcoin, currently sitting at 0.87. This highlights why any downturn in Bitcoin also significantly affects HBAR’s price. As of now, Bitcoin trades near $86,000, struggling to reclaim a bullish trend, which has limited HBAR’s recovery efforts.
For Hedera to regain ground, it must break free of its heavy reliance on Bitcoin’s movement. However, the current scenario suggests otherwise, posing challenges for HBAR investors who seek independent growth opportunities.
Indicators Reflect Weak Market Momentum
Technical indicators further suggest bearish tendencies for HBAR. The Chaikin Money Flow (CMF), a key metric for analyzing capital inflows and outflows, recently hit a seven-month low, falling below 0.18. Historically, this level has marked turning points as outflows slow and inflows stabilize. However, the broader crypto market remains bearish, undermining any typical reversal patterns.
HBAR is currently holding steady just above the critical support level of $0.130. Losing this support may result in a drop toward $0.120, further extending its downward trajectory. Conversely, if Bitcoin manages a recovery, there’s potential for HBAR to climb, with $0.150 as its first target resistance level.
What’s Next for HBAR?
For now, all eyes are on the $0.130 support level. Should Bitcoin recover, HBAR has the potential to flip resistance at $0.150 into support, paving the way toward higher targets like $0.162. However, the increasing uncertainty in the cryptocurrency market underlines the importance of caution and diversified investment strategies.
If you’re looking to make informed decisions about your crypto portfolio, consider using a reliable portfolio tracker like the CoinTracking Tool. With real-time insights and detailed analytics, it’s an excellent choice to stay ahead in the crypto game.
Final Thoughts
Hedera’s future remains intertwined with Bitcoin’s performance. As BTC fights to reclaim bullish momentum, HBAR investors must watch the market closely and stay informed about key support levels. The cryptocurrency market is known for rapid changes, so remaining proactive and utilizing tools for analysis is essential to navigate this dynamic space effectively.
Disclaimer: This article is for informational purposes only and does not constitute financial or investment advice. Always consult with a financial advisor before making investment decisions.
