Recent analysis reveals that Hedera (HBAR) has faced sustained downward pressure, dropping 8.8% in the past month and nearly 10% in just the last week. The token’s price performance highlights its prolonged bearish trajectory since mid-August. Once a standout cryptocurrency due to an earlier rally of over 350%, HBAR is now struggling to regain its momentum.
Whale Buying While Retail Traders Sell
Despite the price slump, large holders, commonly referred to as whales, are seizing the opportunity to accumulate more HBAR. Blockchain data shows wallets holding 1 million or 10 million tokens have significantly increased their holdings in recent weeks. The 1 million HBAR cohort added nearly 2 million tokens, equivalent to $445,000, while the 10 million HBAR cohort acquired over 48 million tokens worth $10.92 million. Combined, over 50 million tokens valued at $11.36 million have entered whale wallets.
This accumulation suggests that influential investors believe in HBAR’s future, even while retail participants contribute to short-term selling pressure. Historically, whale buying has often signaled confidence in a recovery, but it doesn’t guarantee an immediate price surge.
Technical Analysis: What Signals Should You Watch?
On the technical front, caution is warranted. A hidden bearish divergence on the 4-hour Relative Strength Index (RSI) suggests underlying weakness. Although the RSI indicates potential buying opportunities, its divergence from HBAR’s lower price highs underlines continued selling pressure.
The immediate support level to monitor is $0.219. A daily close below this point could exacerbate the bearish trend and bring deeper price dips. Conversely, reclaiming the $0.240 resistance level would help to stem the bearish outlook. For a bullish reversal, breaking above $0.260 is essential.
Should You Consider Buying Hedera Now?
For those considering investing in HBAR during this dip, it’s essential to weigh technical and on-chain data. While whales are accumulating, the token remains under pressure, so risks exist. If you’re confident about Hedera’s long-term utility, this could be an opportunity to buy during a low, but patience might be required before notable gains are realized.
Recommended Product: For crypto enthusiasts interested in enhancing their portfolio, consider using the Ledger Nano X hardware wallet. It ensures the secure storage of your HBAR and other cryptocurrency investments.
Key Takeaways
- HBAR is experiencing a prolonged downtrend, with price sliding 8.8% in a month.
- Whales have accumulated over 50 million tokens, indicating long-term optimism despite current price weakness.
- Technical indicators such as the RSI highlight continued caution for short-term trading.
- Crucial support and resistance levels at $0.219, $0.240, and $0.260 will guide future price movements.
Invest wisely and always conduct your own research before making financial decisions. Stay updated on such insights and trends by following trustworthy investment analysis platforms.
