The HBAR price remains in a bear market after plunging by 63% from its July high and 72% from its 2024 high. It is hovering near its lowest level since November last year amid rising headwinds.
Hedera ETF Demand Has Dried Up
One of the top headwinds is that demand for the recently launched spot HBAR ETF has dried up completely. Canary’s HBR ETF has not had any inflows since December 10, a sign that investors are no longer interested in it.
The fund’s daily trading volume has moved to zero, while its cumulative inflows stand at $82 million. Its net assets remain at $52.7 million, well below those of other crypto ETFs like Bitcoin and Ethereum.
Meanwhile, Hedera has continued to attract large partners to its governance council, but third-party data show that few developers are using its blockchain, with many companies opting for Ethereum. Its most recent addition to its council was Repsol, the giant Spanish energy giant.
Data compiled by DeFi Llama show that Hedera’s total value locked (TVL) is less than $200 million, much lower than that of other recently launched networks like Plasma, Sonic, and Aster.
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Hedera does not have a large market share in the stablecoin industry, with a total supply under $100 million. It is also unclear whether many companies are using its hyped Stablecoin Studio product, which helps companies launch these tokens easily.
Hedera’s futures open interest has tumbled over the past few weeks, falling from a high of $449 million in October to $100 million. This is a sign that demand has dropped and that many traders expect the price to continue falling in the near term.
HBAR’s demand in the spot market has also plunged to below $100 million, well below Midnight (NIGHT), which had over $6 billion in volume on Monday.
HBAR Price Technical Analysis
The daily timeframe chart shows that the HBAR crypto price has crashed in the past few months. It has crashed from a high of $0.3051 on July 27th to the current $0.1100.
The coin has dropped below the critical support level at $0.1248, its lowest level in April and June this year. It has plunged below the 50-day and 100-day Exponential Moving Averages (EMA) and the Supertrend indicator.
Therefore, the most likely HBAR price forecast is bearish, with the next target level being at $0.0800. This view will be if it drops below that key support level at $0.100.
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