Hedera's native cryptocurrency, HBAR, has come under intense bearish pressure in recent days, with more than $10 million in spot net outflows
Hedera’s native cryptocurrency, HBAR, has come under intense bearish pressure in recent days, with more than $10 million in spot net outflows recorded over the past three days. This outflow, coupled with the emergence of a “death cross” on HBAR’s daily chart, points to a potential further decline in price and signals a staggering lack of demand for the altcoin.
On-chain data from Glassnode showed that HBAR has experienced approximately $11.21 million in spot net outflows, highlighting the growing bearish sentiment surrounding the altcoin. Spot outflows occur when traders sell their assets or move funds out of the market, indicating a lack of confidence and weakening demand. As investors exit their positions, it places downward pressure on the price of the asset.
These outflows, amounting to a total of $11.21 million over three days, suggest that traders are growing increasingly uncertain about the token’s future price performance. They prefer to unwind their positions and seek safer alternatives, leading to a shift in sentiment and a potential fatigue in the market.
Moreover, HBAR’s daily chart saw the emergence of a “death cross,” a technical pattern that usually signals a stronger bearish trend and may indicate further price declines. A death cross occurs when an asset’s short-term 50-day moving average crosses below its long-term 200-day moving average. This bearish crossover is seen as a major signal of a trend reversal from bullish to bearish, suggesting that further downside is likely.
The occurrence of this pattern on Wednesday signals that the altcoin is likely to continue facing selling pressure and could fall further.
The Relative Strength Index (RSI) is also indicating weak demand for HBAR. Currently, at 42.22 and continuing to drop, the RSI suggests that the token is moving into oversold territory. Typically, an RSI value below 30 signals that an asset is oversold and may be due for a rebound. However, at 42.22, HBAR’s RSI reflects reduced buying interest and confirms that demand is weak.
As the RSI continues to drop, it becomes evident that HBAR is struggling to find significant support from buyers, which increases the likelihood of further price declines. This bearish momentum could drive the token’s price even lower, with some analysts predicting that it may fall to $0.11, a level last seen in November 2024.
Overall, HBAR is facing a bearish shift as it experiences massive outflows and technical signals point to further price declines. Investors will be watching closely to see whether the bulls can regain control or if the bearish momentum will continue to drive the token lower.
