Here’s why Hedera is sliding

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Hedera Slips 12.17% Today

Highlights

Canary Capital ETF increased its HBAR holdings to over 413 million tokens, constituting nearly 0.83% of the total supply.
Tightening HBAR liquidity has resulted from more tokens being locked into long-term products and reduced availability on exchanges.
Hedera launched a public beta supporting 10,000 transactions per second and reported significant developer participation growth in its ecosystem.

Tightening liquidity and institutional accumulation amid ecosystem expansion

Institutional accumulation of HBAR has intensified, with the Canary Capital ETF increasing its holdings to over 413 million tokens, representing almost 0.83% of the total supply. The reduction in available tokens on exchanges is tightening liquidity, driven by more HBAR being locked into long-term products. Hedera has also launched a public beta with a declared throughput of 10,000 transactions per second and reported significant growth in developer participation within its ecosystem.

Anton Kharitonov, expert at Traders Union, observes that HBAR keeps trending below key moving averages with bearish momentum dominating across timeframes. He notes that oversold signals on RSI and CCI have not triggered any meaningful bounce, while the gap down and relentless selling further undermine short-term prospects. Institutional accumulation and reduced exchange supply have done little to restore confidence as technical breakdowns persist. The analyst stresses that unless HBAR reclaims the $0.1771 level, the risk of another leg down remains high. "With all indicators reinforcing ongoing weakness, sellers appear fully in control — any recovery right now is unlikely to sustain."

Viktoras Karapetjanc, expert at Traders Union, highlights the strategic accumulation by institutional players like Canary Capital as a signal of deepening trust in Hedera's fundamentals. He sees tightening token supply and the launch of the public beta as reinforcing the protocol’s long-term outlook. Despite recent volatility, Karapetjanc believes developer engagement and ongoing network improvements will set up future upside moves. "Token inflows from major stakeholders show confidence — the bullish structure remains intact for patient investors awaiting broader adoption."

Oversold momentum and bearish breakout reinforce intraday volatility

Momentum indicators are negative, with both the MACD and ADX signaling a strong bearish trend. The Stoch RSI and CCI show pronounced oversold conditions, and the daily RSI sits at 33.7, all indicating that weakness has reached an extended state, though not yet reversing. BBP confirms sellers firmly control intraday movement, while the Awesome Oscillator also supports the current downward momentum. HBAR opened at $0.1366, notably lower than the prior close at $0.1454, presenting a gap down; price is now hovering near today’s low after a sharp 12.17% intraday drop within a high volatility session. Downside pressure has persisted after the open, reinforcing the strong bearish intraday tone and aligning with momentum signals.

Previously it was noted that momentum indicators on the daily timeframe remain bearish and signal a continuation of downside pressure. The article highlighted that the likelihood of further decline is very high, with HBAR expected to consolidate within the $0.1220 — $0.1420 corridor.

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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