Will It Hold Above $0.20?
Over the past week, Hedera has recorded a steady outflow of its spot market, indicating a lack of confidence among market participants.
The surge in sales pressure highlights the weakening of demand for altcoins, which raises concerns about its ability to hold support levels above the $0.20 level.
Hedera outflow signal weak demand
The sign of the past week is from HBAR spot marketinvestors have made $17 million in the past seven days. According to Coinglass data, AltCoin had only one inflow during this period, recording $1.78 million on January 19.
Spot outflow occurs when an investor of an asset withdraws its capital from the spot market, usually by selling its holdings and moving the funds elsewhere. This suggests that demand has weakened and increased sales pressure, which may drive the asset price to lower.
Consistent outflow of HBAR Propose bearish market sentiment because traders prefer to exit their positions rather than accumulating more assets.
It is worth noting that the weight-bearing sentiment of the token confirms this bearish market sentiment. According to Santiment, the chain chain metrics that analyze social media and online platforms to evaluate the overall tone (positive or negative) surrounding cryptocurrencies return only negative values. This reflects the lack of optimism about HBAR holders about their future performance.
At the time of writing, the weighted sentiment of the token is -0.61. When the value of the indicator is negative, it shows that the overall market sentiment towards the asset is bearish, and more negative discussions and appearances outweigh positive discussions. This hints at the possibility of a price drop, as traders still have no motivation to open up more trades.
HBAR Bear in Control: Can it hold the above $0.20?
Beincrypto’s evaluation HBAR performance It has been trending to a downtrend line since reaching a four-year high of $0.40 on January 17, confirming its price decline. The token’s value has since dropped 48% since the press time.
When asset trading is below the downtrend line, it indicates a sustained downtrend and sales pressure always exceeds buying activity. This shows that HBAR strives to exceed resistance, thereby enhancing the possibility of further price declines. If the struggle continues, its price may drop below $0.20 of the transaction price to $0.17.
On the other hand, a resurgence of demand will invalidate this bearish forecast. HBAR price may exceed the downtrend line and climb to If this happens, it’s $0.26.
Disclaimer
and Trust Project Guide, this price analysis article is for informational purposes only and should not be considered financial or investment advice. Beincrypto is committed to accurate and impartial reporting, but market conditions are subject to change without notice. Always conduct your own research and consult a professional before making any financial decisions. Please note that our terms and Conditions,,,,, Privacy Policyand Disclaimer Updated.
