Helium [HNT] has shown remarkable resilience amidst the prevailing bearish sentiment in the wider cryptocurrency market, with a 3% increase pushing its value to $6.88 as of the latest update. Over the course of just one week, HNT has surged by almost 12%.
In the past 24 hours, HNT not only outperformed Bitcoin [BTC] but also emerged as one of the leading performers among decentralized physical infrastructure (DePIN) tokens.
This recent upward trend aligns with a surge in network activity, with data from Artemis indicating that weekly fees on the Helium network have hit a three-month high.
The noticeable rise in fees alongside the spike in prices has reignited optimism among investors, potentially setting the stage for a further 12% increase in value.
Promising Indicators for HNT
The recent price surges have given rise to positive indicators for HNT, as evidenced by a V-shaped recovery visible on the daily chart. This pattern suggests a robust comeback for Helium following a sharp decline in price.
Moreover, the Moving Average Convergence Divergence (MACD) has displayed a bullish trend by crossing above the signal line. Although the MACD line remains in negative territory, signifying a bearish trend overall, the shift above the signal line indicates mounting bullish momentum.
With the MACD histogram bars turning green due to increasing buying pressure, alongside the Relative Strength Index (RSI) breaching the 50 mark for the first time since early October, there is a clear indication of a bullish uptrend driven by buyer activity.
If this buying spree persists, HNT could potentially climb by 12% from its present value to reach the 1.618 Fibonacci level of $7.81.
Reaching this milestone would mark the completion of Helium’s V-shaped recovery, setting the stage for further growth as long as market sentiment remains positive.
Surge in Derivatives Market Activity
Data from Coinglass highlights a growing interest in HNT among derivative traders, with a 60% surge in futures trading volumes and a 3% increase in Open Interest to its highest level in nearly three weeks.
The escalating Open Interest signifies an upsurge in speculative interest surrounding Helium, potentially leading to increased volatility in the market.
Meanwhile, a Long/Short Ratio of 1.04 indicates a balanced stance between long and short positions, suggesting that despite recent gains, short sellers are not actively entering new positions, signaling confidence in the ongoing uptrend.
Amidst the escalating speculative activities in the derivatives market, the positive market sentiment surrounding Helium could further bolster its upward trajectory.
Data from Market Prophit reveals that while crowd sentiment towards Helium remains upbeat, institutional investors are more bearish in their outlook, creating an interesting dynamic in the market.