HBAR Faces Bearish Pressure as Fundamentals Weaken
HBAR price has entered a bear market, plummeting nearly 50% from its august peak. Weak fundamentals and technical indicators suggest further declines.
HBAR is on the verge of forming a death cross, a bearish signal. This pattern occurs when the 50-day moving average crosses below the 200-day moving average, signaling more downward pressure.
Hedera’s fundamentals are weakening. Its total value locked (TVL) has fallen by 30% in the last month, now standing at $168 million.
Despite its high market cap, Hedera’s role in key industries is limited. It has failed too attract major DeFi players like Uniswap and Aave. This has led to its TVL being overshadowed by newer chains such as Katana and Unichain.
Hedera’s presence in gaming and NFTs is also minimal. Its stablecoin supply, launched in 2024, is just $89 million, a small fraction of the $300 billion stablecoin market.
While Hedera’s governance council includes giants like Google and IBM, it’s unclear if these companies actively use its blockchain.
Technically, HBAR’s price has fallen sharply.It has broken below a key support level of $0.2065, invalidating a double-bottom pattern. The coin is approaching a death cross, where the 50-day moving average crosses below the 200-day moving average, signaling further declines.
HBAR has also moved below the Ichimoku Cloud indicator. This suggests the price may continue to fall, with the next key support level at $0.1015.
