Hedera Hashgraph price has been under pressure in the past few months as concerns about cryptocurrencies continued. HBAR crashed to a low of $0.0428 this week, which was the lowest level this year. It has plunged by more than 79.80% this year, making it one of the top underperformers in the crypto industry.
Future of Hedera
Hedera Hashgraph is one of the biggest smart contract in the world. It is an Ethereum competitor that is known for fast speeds that are 10x faster than most blockchains. It is also a carbon-negative blockchain that has predictable fees.
Further, Hedera is governed by some of the biggest companies in the world like Avery Dennison, Nomura, LG, Ubisoft, Google, and Deutsche Telekom among others. The most recent member of this council is abrdn, the fund manager that was previously known as Standard Life Aberdeen.
The company is now assessing future prospects for the tokenization of its investment funds using Hedera. Hedera’s technology will help the company achieve that while cutting costs at the same time.
Still, Hedera faces significant challenges going ahead. First, it has substantial competition from the likes of Ethereum, Solana, and BNB Smart Chain. These are well-established brands that have been used widely in the Web3 industry.
Second, the platform’s ecosystem is relatively small. For example, in the DeFi industry, the network has a total value locked (TVL) of more than $88.9 million. Most of these funds are in Stader, one of the leading liquid staking providers in the industry. Other smaller projects in Hedera are SaucerSwap, HeliSwap, and Bubbleswap among others.
In addition, like all blockchains, Hedera is facing contagion risks following the collapse of FTX and other companies like Genesis and Voyager Digital.
Hedera Hashgraph price prediction
The daily chart shows that the HBAR price has been in a strong bearish trend this year as demand for the coin waned. This month, it managed to move below the important support level at $0.0557, which was the lowest level on October 3. It also moved below all moving averages. And most recently, it has formed what looks like a bearish flag pattern.
Therefore, the outlook for Hedera Hashgraph price is still bearish, with the next key support level being at $0.042, which was the lowest point this month. A break below that level will see the coin plunge to below $0.040. A move above the resistance level at $0.052 will invalidate the bearish view.