HBAR price has done well in the past few days as cryptocurrency prices rebound. Hedera Hashgraph has seen its price soar to a high of $0.045, the highest point since December 21. It has jumped by more than 25% from the lowest level in December, giving it a market cap of more than $1.1 billion. Other popular tokens like GALA, Fetch.ai, and Aptos have also rebounded. So, will these gains last?
Hedera Hashgraph crypto rebounds
Hedera Hashgraph is a leading blockchain network that is well-known for its partnership with some of the leading companies. Its partners include companies like Google, IBM, Ubisoft, Servicenow, Standard Bank, and Nomura among others. These well-known companies act as governance players of the network. They also use it to build some of their blockchain applications.
Hedera Hashgraph has more advanced features than other blockchains. For example, while Ethereum and Bitcoin handle less than 15 transactions per second (tps), Hedera can process over 10,000. Its transaction costs are significantly smaller than those of popular blockchains like Ethereum and BTC. It charges less than $0.0001 per transaction, lower than Bitcoin’s $22. Hedera’s transaction confirmation takes less than 5 seconds.
However, Hedera Hashgraph main challenge is that its ecosystem is a relatively small one. Some of the apps in its ecosystem are Heliswap, SaucerSwap, Zuse Market, and Hashport. SaucerSwap is a decentralized exchange that has a total value locked (TVL) of just $20 million. In contrast, platforms like BNB Chain and Ethereum house giant DeFi protocols.
According to DeFi Llama, Hedera has a TVL of over $26.92 million, with Stader having a dominant role. As a result, the amount of fees that Hedera collects is a bit tiny such that it is not captured by DeFi Llama’s fee dashboard. Still, there is a likelihood that Hedera will gain momentum in the coming years.
HBAR price prediction
The four-hour chart shows that the HBAR price has been in a strong bullish trend in the past few days. As it rose, the coin moved above the important resistance level at $0.040, the highest point on January 2. The token has moved above the 50-day moving average. It also rose above the important resistance point at $0.044, which was the highest level on December 27. Hedera has also become extremely overbought as the Stochastic Oscillator moved above 80. The Relative Strength Index (RSI) also rose to an overbought level.
Therefore, I suspect that Hedera will retreat as investors take profits. If this happens, the next key level to watch will be at $0.040. A move above the resistance point at $0.045 will invalidate the bullish view.
