HBAR has shown signs of strength in recent weeks, climbing steadily to reach multi-month highs.
However, the altcoin now sits just below a key resistance level. The market remains divided, as investor optimism clashes with growing concerns of saturation and profit-taking.
HBAR Traders Are Bullish
Traders appear bullish on HBAR, as evidenced by the consistent positivity of its funding rate. For more than a month, this rate has stayed in the green. Twice this week, the funding rate spiked, signaling dominance of long positions.
This shows traders are betting on continued gains and are actively opening leveraged long contracts.
Such behavior typically aligns with market confidence. These investors expect the HBAR price to rise and are trying to secure profits ahead of a potential breakout. However, high optimism can sometimes signal the peak of a rally, prompting caution from other segments of the market.
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HBAR Funding Rate. Source: Coinglass
The Chaikin Money Flow (CMF), a critical technical indicator, is painting a more cautious picture. Currently, the CMF is seeing a macro dip, although it still holds above the neutral zero line. This suggests that while inflows are present, outflows are beginning to grow, showing some investors are exiting their positions.
This shift indicates concerns over the rally’s sustainability. As HBAR approaches a likely saturation point, many holders are choosing to secure gains. These opposing behaviors from short-term traders and long-term investors are keeping HBAR in a tug-of-war, limiting its momentum either way.
HBAR CMF. Source: TradingView HBAR Price Could Fall Back
HBAR is currently priced at $0.26, hovering just under the key resistance of $0.27. The mixed signals from both the funding rate and CMF suggest that a decisive move is yet to form. For now, HBAR is likely to remain range-bound unless one side gains the upper hand.
If the consolidation continues and investors regain confidence, the altcoin could break through $0.27. This would open the door to test the $0.30 mark, giving traders a psychological boost and reinforcing bullish sentiment.
HBAR Price Analysis. Source: TradingView
However, if selling intensifies and investors turn risk-averse, HBAR could fall back to the support level at $0.24. Breaching this level would signal further downside, possibly dropping the price to $0.22 and invalidating the bullish case for the near term.
