HBAR experienced a downturn on Thursday, following a significant selloff that caused the token to drop 4% to $0.1247 after breaking through several technical levels.
The Hedera network’s native token shows a $0.0082 range, indicating 6.4% volatility, as resistance at $0.1320 continues to thwart bulls in their efforts to build on gains.
Trading volume analysis reveals increased institutional interest throughout the session. This rise in activity suggests a true price discovery process, distinguishing it from the low-liquidity fluctuations often seen in smaller altcoins.
The afternoon decline has established a distinct lower high pattern from the initial spike on December 11, leading to a weakening market structure that hastens the drop through previously established support areas.
Technical levels at $0.1235 become critical as HBAR approaches essential support after being rejected at the $0.1320 resistance level.
The stabilization around $0.124-$0.125 following a severe selloff creates the possibility of mean reversion back to $0.126 resistance.
Traders exhibit caution due to the firm breach of higher timeframe support levels and significant volume during the downturn, indicating conviction selling. This diminishes the near-term upside potential despite a temporary price recovery that offers some respite to bulls.
Key technical levels indicate consolidation range for HBAR
Support/Resistance:
- Immediate support identified at $0.1235 following the afternoon drop.
- Significant resistance established at $0.1320 after numerous rejection attempts.
- New trading range observed between $0.123-$0.125 on 60-minute charts.
Volume Analysis:
- Notable spike to 165.9 million tokens (175% above the 24-hour average) during a critical reversal.
- 60-minute flash crash volume peaked at 15.7 million (700% above hourly average).
- Consistently above-average activity confirming institutional involvement.
Chart Patterns:
- Lower highs pattern noted from December 11 peak, indicating bearish structure.
- Flash crash and subsequent recovery suggest accumulation near support.
- Weakening momentum through various support levels signals a trend shift.
Targets & Risk/Reward:
- Immediate upside target positioned at $0.126 mean reversion level.
- Downside risk towards $0.123 support floor if the current consolidation fails.
- Key resistance remains at $0.1285, where the initial breakdown took place.
Disclaimer: Portions of this article were generated with AI tools and reviewed by our editorial team to ensure accuracy and compliance with our standards. For additional details, please see CoinDesk’s full AI Policy.
