Hedera (HBAR) Faces $38 Million Short Squeeze Risk at $0.154 Resistance

Hedera (HBAR) is currently at a pivotal point, with its price hovering just below a significant resistance level of $0.154. After weeks of attempting to reverse a persistent downtrend, HBAR is now trading around $0.148, with market participants closely monitoring the $0.154 resistance mark.

A successful breakout above this level could have substantial implications, particularly for short sellers. According to the liquidation map, if HBAR surges past $0.154 and reaches $0.163, short traders could face up to $38 million in forced liquidations. This scenario would likely accelerate upward momentum, as liquidations typically generate additional buy orders, driving prices higher in a short squeeze.

Short sellers, who have been anticipating continued price declines, would be compelled to close their positions at a loss, further intensifying the bullish momentum. Despite the recent price pressure, market sentiment remains largely bullish. Positive funding rates indicate that long traders continue to dominate the market, suggesting confidence in a potential recovery.

Investors are still optimistic about a rebound, viewing the current levels as a buying opportunity. This optimism is bolstered by HBAR’s consistent funding data, which shows that traders are willing to pay a premium to maintain long positions. This ongoing positive sentiment suggests that a price breakout may not be far off, provided that resistance levels can be overcome.

However, there is still risk on the downside. If HBAR fails to break out and falls below $0.139, it would signal weakness and invalidate the current bullish outlook. In this scenario, a further decline to $0.133 is likely, pulling the market outlook back into bearish territory.

HBAR’s price action is approaching a decisive moment. Traders remain optimistic, and a breakout could unleash a wave of short liquidations worth $38 million, fueling a rally toward $0.163. But failure to overcome resistance could lead to renewed losses. As the altcoin teeters between recovery and further decline, the coming days may determine whether bulls or bears take control of Hedera’s next big move.