Hedera Hashgraph (HBAR) is currently at a critical stage as it struggles to reclaim key technical levels in the market. The loss of a former support area on the weekly chart has heightened fears of a deeper downside in the market. On the other hand, there are some signs that the price could take the first steps towards a rebound.
Hedera Hashgraph Struggles Around Key Support Zone
The focus of market analysts has shifted to the weekly chart following a warning from well-known crypto analyst CryptoPulse regarding the chart indications of the price of HBAR. According to the analysis, the current level below which the price of HBAR is now found is an important support zone fixed between $0.124 and $0.135, which earlier served as sturdy support for the price of the altcoin.
CryptoPulse pointed out that if this previous level of support is broken beneath the current weekly candle close, it is possible that this recent price bounce is nothing more than a retest before a larger sell-off.
In this scenario, a possible downside target has been pointed out to be around $0.0726, although a strong close back within the range of $0.124-$0.135 would see this prediction invalidated.
At the time of writing, HBAR is trading at $0.1188, posting a 24-hour trading volume of $271.04 million and a market capitalization of $5.08 billion. The token has declined by 4.62% over the last 24 hours, signaling growing caution around its near-term direction.
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Hedera Hashgraph Shows Signs of Rebound
Although a conservative outlook is being predicted, not all analysts are foreseeing a downward trend. Another market analyst, JD, predicted a much brighter outlook for the asset using momentum indicators. According to JD, if the RSI is seen above the MA and a bullish crossover is confirmed by the MACD, a strong breakout towards the upside is possible for the HBAR.
JD highlighted that if this were to prove true, the price of HBAR could approach new all-time highs before a correction. Although this is a projection and not necessarily true, it is interesting to see the different opinions that exist regarding the future value of HBAR.
For the moment, Hedera Hashgraph is at a critical level. The upcoming weekly closing will likely provide a clearer indication of whether it will move further down or attempt another rally. As usual, it is very important to monitor major levels.
Also Read | Hedera Hashgraph (HBAR) Gains Momentum as January Strength Sparks Q1 Breakout Hopes
