Hedera (HBAR) plunged 10% on December 1, triggering a broader market decline as it now sits at a key support level of $0.1308.
The breakout occurred during the daily candle open at 00:00 UTC, also coinciding with the opening of bitcoin futures trading on the CME.
HBAR has now confirmed a downward trend on multiple time frames after a massive volume increase to 241.5 million tokens, 338% above the 24-hour average.
This confirms institutional selling and sets current support at $0.1307. HBAR is underperforming the broader crypto market by 1.35%, indicating a rotation towards digital assets with stronger fundamentals.
Technical Consolidation vs. Breakout Risk: What Traders Should Keep in Mind
Recent 60-minute data shows HBAR trading between $0.1306 and $0.1325, consolidating around $0.1307 on lighter volume. This stabilization suggests potential accumulation near previous support, although broader technicals remain questioned by the failed breakout and poor market performance.
HBAR remains above the $0.1307 floor established during the crash, with intermittent volume spikes above 3 million tokens indicating selective buying interest.
However, the inability to sustain gains above $0.1315 despite elevated activity calls into question near-term momentum, especially if institutional flows favor alternatives with stronger setups.
Consolidation of signals from key technical levels for HBAR
Support/Resistance: Primary support is at $0.1307 after the collapse; The resistance group between $0.1350 and $0.1315 needs recovery for bullish continuation.
Volume analysis: The increase of 241.5 million confirms institutional sales; The current reduction in activity suggests consolidation with selective accumulation near support.
Chart Patterns: Downtrend line breakdown complete; The formation of a trading range between $0.1306 and $0.1325 indicates possible base building.
Objectives and risk/reward: The rally was limited to resistance at $0.1350 with no catalysts; Downside risk is contained in support near $0.1306 with institutional interest present.
Disclaimer: Portions of this article were generated with the help of artificial intelligence tools and were reviewed by our editorial team to ensure accuracy and compliance with our standards. For more information, see CoinDesk’s full AI Policy.
