HBAR Price May Fail Breakout As Bitcoin Correlation Falls To 2-Month Low
Hedera’s HBAR is losing steam as its correlation with Bitcoin hits a two-month low. A drop below $0.219 could extend its bearish phase.
Hedera’s native token, HBAR, is struggling to maintain momentum after a recent rebound failed to generate meaningful gains.
Despite briefly attempting to break out of its downward pattern, weakening market conditions and its fading correlation with Bitcoin have raised concerns that the recovery may not hold.
Hedera Is Pulling Away From Bitcoin
HBAR’s correlation with Bitcoin has slipped to 0.48, its lowest point in two months. This weakening connection signals that the altcoin is beginning to move independently from Bitcoin’s price action.
While independence can occasionally spark unique rallies, it often leaves smaller assets more vulnerable during volatile periods.
This divergence could hurt HBAR’s near-term outlook, especially as Bitcoin trades near $122,000 and inches closer to its all-time high.
Historically, altcoins have benefited from Bitcoin-led rallies, but a decoupling at this critical stage could mean HBAR misses out on the broader market upside.
Want more token insights like this? Sign up for Editor Harsh Notariya’s Daily Crypto Newsletter here.
HBAR Correlation To Bitcoin. Source:
TradingView
On the technical front, the Relative Strength Index (RSI) is struggling to stay above the neutral 50.0 mark.
A sustained rise past this level would indicate building bullish strength, but HBAR has so far failed to establish it as support. This shows lingering uncertainty among traders.
If the RSI drops further, it would push HBAR into bearish territory and limit any potential recovery attempts. The lack of strong buying momentum suggests that investors are hesitant to re-enter the market.
HBAR RSI. Source:
TradingView
HBAR Price May Pull Back
HBAR is trading at $0.220 at the time of writing, hovering just above the $0.219 support. The token recently attempted to break out of a descending wedge pattern.
However, it has struggled to sustain its upward momentum, leaving the breakout uncertain.
If bearish pressure intensifies, the failed breakout could lead HBAR to drop toward $0.206, testing the lower trend line as support. Such a decline would confirm a continuation of the current downtrend and extend the consolidation phase for the altcoin.
HBAR Price Analysis. Source:
TradingView
However, if bullish sentiment returns, HBAR could bounce off the $0.219 level and rally toward $0.230.
A move past this resistance would confirm a successful breakout, potentially pushing the price further to $0.242 and invalidating the bearish outlook.
Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.
You may also like
Wall Street giants collectively raise rate hike forecasts, US Treasury futures continue to fall, gold drops over 1% to break 4000
After the US October CPI exceeded expectations, Goldman Sachs and Nomura added a forecast for an interest rate hike in March next year, while Deutsche Bank included a forecast for a rate hike in January next year. Currently, the market has fully priced in a 25 basis point rate hike in December, with a 13% probability for a 50 basis point hike. On Wednesday, the US Treasury spot market was closed, but Treasury futures continued to fall, with corresponding yields rising by about 2 to 4 basis points, and spot gold came under pressure, dropping by 1.1%.
No Need to Worry About the Cooling Down of AI Data Center Construction? The US Import Boom Is Unlikely to Subside in the Short Term, Real Impact May Come in 2029
It takes an average of 4.8 years from finalizing investment to starting construction of a data center project, and an additional 2.6 years from construction start to becoming operational. Servers usually cannot be installed until after the building structure and racks are completed. For trade partners such as Taiwan (China), South Korea, and Mexico who rely on US data center supply chain demand, the inertia in construction timelines provides at least a one- to two-year buffer for future exports.
Federal Reserve Major Debate: When Should the Tenure of “Number Three” Williams End?
The main point of contention is whether Williams should step down in June 2028, upon completing a full 10-year term, or in June 2027, when he reaches the mandatory retirement age of 65. Analysts point out that the Federal Reserve Board holds ultimate discretion; if he leaves early, Fed Chair Waller would be able to assert greater control over the appointment to this critical position. However, forcing Williams to shorten his term could easily be interpreted as political manipulation. Williams himself is expected to serve until June 2028.
Sunshine Silver weighs doubling mill capacity
Crypto prices
More
