Hedera Price Crashes Towards $0.05 as Broader Market Weakens

Aug 3

Hedera Price Crashes Towards $0.05 as Broader Market Weakens
Hedera price has been in a consistent downtrend since mid May and has corrected over 52%.
At the time of writing, Hedera was exchanging hands close to $0.056 recording a negative intraday development of 5.03%.

As Bitcoin proceeds towards the major 60K after crashing over 2.25% a day, it has triggered a panic among the investors. The panic in the broader markets have hit the hardest on the altcoins as several altcoins have loomed over 5% today.

Hedera, which was on a declining trend for the past three months, has weakened more and has crashed nearly 5.03% a day. The weakness in the broader market has added more to the worse as HBAR price has loomed 12% in the last couple of sessions after the breakdown of an important support $0.064.

Hedera is the most used, sustainable, enterprise-grade public network for the decentralized economy, enabling individuals and businesses to create powerful decentralized applications.

Hedera (HBAR) is the native cryptocurrency of Hedera Hashgraph, a platform positioned as an alternative to traditional blockchain technology, aiming to excel in speed, efficiency, and security.
Open Interest Data Suggests Long Unwinding
As per the data obtained from an on-chain analytics website app.santiment.net there has been a likewise drop in the Open interest contracts along with the price in the recent sessions. The open Interest contracts have dropped from $23 million to $20 Million losing nearly 13% a week.

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The drop in the OI data highlights the possibility of a long unwinding among the traders and investors. Moreover, the trading volume has dropped by 17.04% to $51.46 Million a day. It has a live market capitalization of $2.02 Billion and ranks 37th in the cryptoverse.

Out of 50 Billion HBAR tokens, nearly 35.8 Billion tokens are presently in circulation cumulating nearly 71.7% of the total supply. Additionally, the volume to market cap ratio at 2.54% suggests low volatility.
Hedera's Fall May Halt At This Level
The daily chart highlights a sharp crash in Hedera price after the breakdown of the recent support at $0.064 level. At the time of writing, HBAR was exchanging hands close to $0.056 losing nearly 5.03% a day.



However, few analysts hope that a sharp crash in Hedera may take a pause near the next psychological support of $0.051. on the lower side, Hedera price may crash 7% more till it reaches the next support of $0.051.

From a technical standpoint, the price has dropped below the key exponential moving averages of 20, 50 and 200 days suggesting weakness in the trend. Moreover, the RSI line as well as the 14 day SMA line has dropped below the mean line suggesting a bearish continuation in the short term.


Bitcoin's approach towards the 60K after a 2.25% daily drop has caused panic in the altcoins. Hedera (HBAR) has crashed 5.03% in a day and 12% over recent sessions, breaking key support at $0.064. Open interest contracts have dropped by 13% to $20 million, indicating long unwinding. Trading volume fell 17.04% to $51.46 million.

At the time of writing, the price was hovering below key EMAs, with RSI and 14-day SMA below the mean, suggesting a bearish trend. Analysts see potential support at $0.051, but further 7% decline is possible.