HBAR Gains 13% on Big-Money Inflows, Faces Crucial $0.155 Test

HBAR, the native token of the Hedera network, has shown signs of a price rebound, gaining more than 13% in the last 24 hours. This bounce has reversed much of its weekly losses and slightly improved market sentiment. However, the token still faces a significant challenge in the form of a key price level that could determine the direction of its next move according to market analysis.

The recent rally has been supported by strengthening big-money flows, as indicated by the Chaikin Money Flow (CMF) metric, which recently broke above its downward trend line. This suggests increased buying pressure from large wallets. Meanwhile, the Relative Strength Index (RSI) has shown a hidden bearish divergence, indicating potential for a short-term pullback according to technical analysis.

For HBAR to solidify its rebound into a full-fledged rally, it must overcome a crucial price level at $0.155. A daily close above this level would not only confirm stronger buyer demand but also align the price and momentum indicators, removing the mismatch that has been causing caution among traders as per market indicators.

Why the Standoff Happens

HBAR is currently trading inside a triangle pattern, where buyers and sellers are testing each other in a tight range. Breakouts from such patterns are often decisive for the next major price movement. The CMF and RSI indicators provide important insights into whether the current setup will result in a bullish or bearish outcome as technical analysis shows.

The CMF metric has been a key indicator of large wallet activity, and its recent upward movement signals growing interest in HBAR. However, the RSI divergence suggests that momentum is not yet strong enough to push the price past the triangle's upper boundary. This divergence often precedes a mild pullback during broader downtrends according to market signals.

The current standoff is also influenced by the token's position relative to its support and resistance levels. HBAR is trading around $0.149, with the critical resistance at $0.155 and support at $0.142. A break above the resistance level would open the door to a move toward $0.180, while a failure to hold the support level could bring the price down to $0.130 as market data indicates.

Risks to the Outlook

Despite the recent positive momentum, HBAR still faces several risks that could hinder its potential rally. A key risk is the hidden bearish divergence in the RSI, which has been reinforced by volume data. On-Balance Volume (OBV) remains under a descending trendline, indicating that buyers have not been strong enough to sustain the recent rebound as market data shows.

The token is also vulnerable to broader market trends, particularly if the crypto market experiences a correction. HBAR's position within a tight range means that even minor shifts in market sentiment can have a significant impact on its price. This volatility makes it challenging for traders to commit to long-term positions without clear confirmation of a breakout according to market analysis.

Another risk is the possibility of a breakdown below $0.140, which would confirm a bearish scenario and potentially trigger a move toward $0.122. This level is a key support zone, and a breach would likely erase most of the recent gains and reinforce the bearish outlook as technical indicators suggest.

What This Means for Investors

For investors, the current situation presents a high-stakes opportunity with both potential rewards and risks. The key level at $0.155 is crucial for determining whether the rebound matures into a full rally. A breakout above this level would not only validate the CMF's strength but also signal that HBAR has the momentum needed to shift the trend upward according to market analysis.

On the other hand, a failure to break above $0.155 and a drop below $0.142 would weaken the rebound and raise concerns about the token's long-term prospects. This could lead to a broader sell-off, especially if the broader crypto market experiences weakness. Investors should closely monitor the OBV and RSI levels to gauge the strength of the buying pressure and momentum as market data shows.

Traders and investors looking to position themselves in HBAR should adopt a cautious approach. A layered entry strategy, with stops placed below key support levels, could help manage risk while capitalizing on potential upside. The current environment requires close attention to both technical and volume indicators, as well as broader market conditions, to make informed decisions as market analysis indicates.