HBAR Price Faces Challenges as $0.12 Support Weakens

HBAR is currently experiencing diminishing strength as it continually tests the critical support level of $0.12. A potential breakdown could lead to a significant correction unless buyers can defend this crucial price point effectively.

Key Takeaways

HBAR's price is showing signs of weakness as the $0.12 support level is tested repeatedly.
This support level has historically held firm, acting as a demand zone.
If HBAR fails to reclaim and hold above $0.12, there is a risk of a deeper correction.
Market conditions indicate that sellers remain in control, and a breakout could trigger significant volatility.

Hedera Hashgraph (HBAR) has come under increasing pressure as it approaches the vital $0.12 support level, which is starting to show signs of exhaustion. Over the past few weeks, the price has remained near this crucial zone, forming a narrow range that now appears to be weakening.

With dynamic resistance pressing from the top and the low support faltering from below, HBAR is nearing a pivotal point. This situation will likely determine whether the price experiences a significant correction or mounts a bullish resurgence driven by renewed buying interest.

HBAR price weakness at $0.12 hints correction.

Key Technical Points for HBAR Price

HBARUSDT Chart Analysis HBARUSDT (12H) Chart, Source: TradingView

Recent trading patterns indicate the critical nature of the $0.12 support level, which has historically balanced the asset despite erratic market movements. This price zone is vital structurally and aligns with the Value Area Low (VAL), which typically identifies where buying interest is concentrated.

However, every time this support is tested, it weakens. HBAR has approached the $0.12 mark several times, creating what traders often call a “fragile floor.” With liquidity building beneath this level, sellers are incentivized to push the price lower.

Each attempt to break this support heightens the risk of a significant downturn if it eventually collapses, particularly as HBAR displays a vulnerable price pattern amid stagnant ETF inflows, indicating reduced demand from outside investors.

Compounding this issue is the ever-present dynamic resistance, which is applying pressure from above and tightening the trading range. When the price finds itself squeezed between weakening support and strong resistance, volatility usually spikes following a breakout. In this case, a downward expansion seems likely unless buyers can push the price above the dropping resistance line decisively.

Traders are keeping an eye out for a potential liquidity grab beneath the $0.12 level, known as a "failed auction." In this scenario, the price dips below $0.12 to capture liquidity before rebounding back above it. Should this happen, HBAR would need to reclaim the $0.12 level swiftly and convincingly to demonstrate strength. A slow or ineffective recovery could instead confirm a drop below support, indicating the start of a deeper correction.

If HBAR drops below $0.12, it's likely to continue the downward trend toward the next significant low, which not only represents historical support but also an area of untapped liquidity. Such a movement would place HBAR back into a broader corrective structure, in line with bearish patterns observed in several altcoins.

From a technical perspective, the overall market structure supports the notion of continued downside potential. HBAR remains within a trend of lower highs, suggesting that upward momentum is limited and that sellers are in control. The failure to break through dynamic resistance illustrates that buyers currently lack the strength to launch a sustained upward movement.

What to Expect Going Forward

HBAR stands at a critical juncture. A successful reclaim of $0.12, accompanied by a breakout above dynamic resistance, could initiate a bullish movement. Conversely, failing to maintain this support level would likely lead to a more pronounced correction toward the next swing low.