Hedera climbs today: Key reasons behind the rally

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Hedera surges 12.25% today on rebound

Highlights

Hedera is rapidly expanding its ecosystem with a scheduled testnet upgrade to version 0.70.0 on February 5, 2026, and new industry partnerships including a Davos sponsorship.
Despite institutional engagement from over 30 governance partners, the network faces liquidity pressures from a sharp drop in total value locked and minimal ETF inflows.
HBAR trades at $0.0908, below all key moving averages, signaling sustained bearish momentum and likely downside, with weekly price action expected between $0.0933 and $0.0971.

Ecosystem growth contrasts with liquidity strain and weak ETF inflows

Hedera is undergoing significant ecosystem activity with a scheduled testnet upgrade to version 0.70.0 on February 5, 2026, and is expanding its industry partnerships, including sponsorship of USA House at Davos and collaboration with racing teams for branded digital collectibles. The network faces challenges from a sharp drop in total value locked and limited institutional ETF inflows, straining liquidity. Institutional engagement remains notable with more than 30 global governance partners.

Anton Kharitonov, expert at Traders Union, sees clear technical weakness in HBAR with price trading below all key moving averages. Downtrend dominance is confirmed by persistent bearish momentum, despite a sharp intraday rebound. Fundamental metrics remain negative as low total value locked and minimal ETF inflows highlight limited investor confidence. Even the network’s industry partnerships have failed to offset broad selling pressure. "Short-term technical rebounds are likely, but the core outlook remains decisively bearish until major resistance levels are reclaimed."

Viktoras Karapetjanc, expert at Traders Union, sees underlying opportunities for HBAR despite recent price weakness. He notes that Hedera’s expanding partnerships and upcoming testnet upgrade signal robust network development and future adoption. The oversold readings suggest the market may be primed for a technical rebound and the project’s governance model supports further growth potential. He asserts, "With institutional engagement holding strong, the bullish structure remains intact and the market offers attractive setups for forward-looking investors."

Bearish trend persists despite oversold signals and intraday rebound

Momentum indicators on the daily chart remain weak, with both MACD and ADX signaling a prevailing bearish trend, yet short-term oscillators (RSI at 25.46, Stoch RSI, and CCI) reveal oversold conditions. BBP also shows intraday pressure from sellers despite today’s strong 12.25% rebound from the previous close. There was a minor gap down at the open, but the price is now trading near the daily high of $0.0906, reflecting high volatility and strong intraday momentum toward session highs. Divergence is clear: daily trend and oscillators indicate potential for a technical rebound, while momentum signals suggest sellers remain in control overall.

Previously it was reported that Hedera is trading below key moving averages and encountering strong resistance at the Ichimoku Kijun, signaling persistent bearish pressure across short- and long-term trends despite a recent rebound. Technical indicators such as RSI, MACD, and momentum oscillators point to oversold conditions amid high volatility, with price action likely to remain rangebound unless resistance at $0.1026 is decisively cleared or support at $0.082 fails.

Source of Data: HBAR Price Analysis by TU

The analysis is based on a proprietary model combining technical, on-chain, and expert data. Not investment advice. See methodology

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