The token consolidates below $0.22, showing neutral sentiment and reduced buying strength despite steady institutional accumulation signals.
Hedera (HBAR) trades near $0.21 as analysts diverge on its outlook. Butterfly foresees a bullish flag breakout toward $0.40, while another analyst warns of a potential drop to $0.09 amid weakening momentum.
Bullish Flag Structure Indicates Potential Upside
Analyst Butterfly observed a textbook bullish flag pattern forming on HBAR’s 2-day chart. The setup emerged after the token broke out of a descending channel that spanned the first half of 2025. The breakout led to a sharp move upward, followed by a period of sideways consolidation within the flag formation. According to Butterfly, this phase often represents market accumulation before the next leg higher.
Source:x
The chart pattern suggests that traders and institutional participants may be quietly building positions while volatility remains low. Historically, bullish flags appear during pauses in broader uptrends, allowing momentum to reset before another rally begins. If HBAR closes decisively above the flag’s upper trendline, the analyst projects a potential continuation toward resistance levels between $0.35 and $0.40.
Weak Momentum Signals Bearish Risk
While medium-term patterns suggest optimism, another analyst warned that the short-term structure on the 1-day chart leans bearish. The analysis identifies a descending triangle pattern forming below the $0.22 resistance zone. This setup is often associated with weakening buyer conviction, especially when the price repeatedly fails to break higher. The analyst indicated that a move below the lower boundary could trigger a decline toward $0.09, signaling a 34% downside risk if sellers strengthen their control.
Source:x
Momentum indicators add to this cautious outlook. The Relative Strength Index (RSI) remains suppressed beneath a downward-sloping resistance line, indicating continued selling pressure. Similarly, the Moving Average Convergence Divergence (MACD) indicator stays flat within a narrowing range, showing minimal bullish divergence. Together, these conditions suggest limited momentum until a strong reversal or breakout occurs.
Price and Volume Data Reflect Neutral Sentiment
During the latest 24-hour session, Hedera recorded a 1.23% decline, settling near $0.21 after briefly touching an intraday high of around $0.222. The move suggests that the market’s initial bullish attempt met resistance, leading to profit-taking among short-term traders. The retracement leaves Hedera trading within a narrow band as participants await clearer technical direction.
Source: BraveNewCoin
Trading volume reached $245.47 million, indicating moderate activity compared to previous sessions. The early spike in volume coincided with a short-lived upward move, showing that buyers initially supported the rally. However, declining volume during the second half of the session suggests fading momentum and reluctance to extend gains beyond short-term resistance.
Technical Outlook for the Coming Sessions
HBAR’s market capitalization stands at $9.05 billion, maintaining its position among the top 25 cryptocurrencies by valuation. The circulating supply remains around 42.4 billion tokens. From a technical standpoint, the $0.22 zone has emerged as a key resistance barrier, while support levels near $0.20 and $0.18 continue to anchor the structure. A decisive close above $0.22 could attract new buying interest, whereas a break below $0.20 might confirm bearish continuation.
With mixed chart signals, the asset’s direction in the short term depends on whether buyers can reclaim control. The bullish flag pattern suggests a potential breakout if momentum returns, but the descending triangle warns of a possible pullback if selling pressure intensifies. Traders are likely to monitor both formations closely as HBAR consolidates near a critical level between support and resistance.
