Altcoin
What the next few weeks have in store for HBAR’s price action
So, you are holding Hedera’s native cryptocurrency HBAR and are wondering if recovery is on the cards yet? Now, holders of this token may rejoice as HBAR recently demonstrated some upside. Alas, there are a few things you need to know.
Hedera is still developing, but at a rapid pace, and this might be good news for HBAR’s price action, especially in the long term. However, its short-term performance is heavily affected by market forces.
For instance, the UST-induced market crash saw it drop below its $0.140 consolidation level. It seems to be struggling to get back above that level but the charts may help provide a better outlook for HBAR’s performance.
HBAR’s cup and handle pattern
It looks like HBAR’s price action might be moving within a cup and handle pattern. It traditionally starts with a bit of a rally before the cup part of the curve commences. HBAR rallied by at least 30% from mid to end of March before kick-starting its descent.
The lateral or sideways price action over the last two weeks might signify the bottom and mid-curve. If this is the case, then the price should deliver a gradual ascent over the next few weeks.
If HBAR sticks to the same price pattern, then it will likely recover back above $0.140 towards the end of June. This means it might deliver at least 41% gains by the time it rallies back to that price point. If it maintains the pattern, then we might see a resistance retest near $0.25 towards the end of July or in August.
The price outlook can be supported by gradual re-accumulation, especially in the supply held by whales. Although HBAR’s price bottomed out on 12 May, supply held by whales kept dropping, albeit at a slower or tapering pace. The metric changed direction in favor of accumulation on 21 May. HBAR’s market cap has also been hovering near the lower range for the better part of May.
Although HBAR currently seems to be forming a cup and handle pattern, this does not necessarily have to be the outcome. The dynamic nature of the crypto-market means another crash might take place in a few weeks, pushing prices lower.