Hedera (HBAR) Price Prediction: HBAR Market Activity and On-Chain Metrics Show Promise

Hedera has been on a bullish roll lately, and is garnering a lot of investor interest after rising by a monumental 25% over the past week.

Hedera (HBAR) has seen some impressive gains recently, rising by a monumental 25% over the past week. This bullish momentum has also seen the cryptocurrency garner a lot of investor interest, especially after failing to break above the psychological $0.4 price level on Friday.

As the cryptocurrency trades at a -5% price movement over the last 24 hours, this follows a 10% surge in HBAR’s price on Friday, which peaked at around $0.4. However, the cryptocurrency retraced its steps to the $0.35 price level during this period.

According to data from CoinMarketCap, HBAR’s trading volume also peaked at around 88.7% to reach $2.66 billion. This showed a great deal of interest from investors, especially as the cryptocurrency might attempt another break above the $0.4 level again soon.

On the broader timeframe, Hedera failed to break above this $0.4 price level on December 3, and crashed lower to stabilize between $0.23 and $0.25. This consolidation has helped the cryptocurrency to regain ground, and the charts might show us what comes next for HBAR.

Recent Price Movement

After failing to break above the $0.4 price level on Friday, HBAR saw over $7.65 million in HBAR trades liquidated on the platform, according to data from Coinglass.

Notably, the bulls suffered the worst of it after losing $3.72 million of the total. This liquidation came as HBAR saw a failure to break above $0.4.

Another interesting thing that came up this week for Hedera is its increase In Open Interest, even despite its inability to break above $0.4. This figure has so far peaked at an impressive $517 million.

This showed a strong demand for HBAR, especially as it failed to break above $0.4, and might be looking to consolidate further before attempting another breakout attempt.

Coinglass’ long/short ratio also stands at 1.8161 for Hedera, meaning that traders are looking to buy the dip at specific support levels.

Technical Analysis (daily chart)

On the daily chart, HBAR’s price rose from $0.25 to over $0.4 through the week in an almost parabolic rally. At the time of writing, HBAR currently trades at $0.35, after losing the $0.376 support on Friday.

Meanwhile, the RSI currently sits at the 61/100 level, which indicates that the bulls are still in control. Judging by the Fibonacci extension pictured above, if the cryptocurrency keeps from groing below the $0.31 price level, it could rebound towards $0.4 once again.

This said, a break above $0.4 could spark a further rally to the $0.45 zone. On the flip side, a break below the $0.31 zone could lead the cryptocurrency further down to the $0.25 price level.

Hedera’s open interest increase from $290.77 million to $550.88 million in just a few days shows a record high since its launch, and could be a sign of a bullish comeback.

Investors can expect HBAR’s price to consolidate between the $0.35 and $0.4 price level in the short term, as investors expect a push towards the 50-cent mark or higher.

According to Coincodex, Hedera’s price prediction shows a possible rise by 21.47% to $0.468 by February.