Hedera (HBAR) is attracting renewed market attention on Sunday, February 22, as the HBAR tests a critical technical boundary on the daily chart.
According to the crypto analyst Profit Demon, price action is pressing against the upper resistance of a descending channel, a formation that has shaped recent trading behavior.
Such structures often signal trend continuation, yet proximity to resistance raises speculation about a momentum shift.
Market participants appear to be positioning cautiously as volatility compresses near channel resistance. Traders frequently interpret this type of setup as a decision point between continuation and reversal.
A confirmed breakout above the descending structure would indicate weakening selling pressure and strengthening demand, potentially altering short-term market structure while inviting fresh speculative interest inflows to intensify.
Also Read: Hedera Hashgraph (HBAR) Slides as Sell-Off Tests Support and Eyes $0.12 Breakout
HBAR Price Signals Possible Breakout Toward $0.255
If bullish momentum is established, analysts are reporting several levels that are considered to be key reaction levels.
Some of the price targets that are commonly mentioned include 0.130, 0.160, 0.185, 0.210, and 0.255 dollars. This is because these levels are considered to be previous consolidation levels, previous liquidity levels, and psychological levels.
Source: Profit Demon X Post
However, Profit Demon is reminding investors that the current resistance zones are expected to spark another wave of selling pressure.
Failure to break through the current consolidation pattern might continue the current downtrend, and investors are waiting to see what happens next for Hedera, as the price approaches a critical point in its price movement.
HBAR Technical Outlook Suggests Cautious Optimism
According to TradingView, as of Sunday, February 22, HBAR saw a steep rise in price in the early part of 2025, with the price rising through all the 20, 50, 100, and 200-week EMAs.
The price then started to fall gradually, dipping below all the EMAs, and is currently trading at $0.097, which is below all the EMAs, thus showing that the downtrend is still in effect.
Source: TradingView
Furthermore, from a technical analysis point of view, technical indicators are consistent with a bearish analysis. Indeed, it can be observed that the RSI is currently close to 34.8 and may reach levels below 30, which would indicate consolidation or a small correction. At the same time, the MACD is negative, and its signal line (-0.02690) is below its MACD line (-0.02446).
Also Read: Hedera (HBAR) Jumps 7.56% as Inverse H&S Breakout Targets $0.12
