Until the 4th of November, Hedera Hashgraph (HBAR) experienced a prolonged downward trend. However, the positive momentum witnessed in Bitcoin (BTC) and the broader cryptocurrency market propelled HBAR prices upwards.
At the time of writing, the daily trading volume for the token had surged by 86%, reaching $498.5 million. With HBAR reclaiming its bullish structure, the question arises: How far can the ongoing rally extend before a potential pullback?
Critical Resistance Levels to Monitor
HBAR exhibited a robust uptrend, breaking through the $0.063 barrier, which had served as a resistance level since August. The recent gains indicated a strong upward trend for the altcoin, as confirmed by the DMI indicator.
Adding to this positive outlook, the A/D indicator displayed an uptrend, highlighting a rise in buying pressure over the past ten days. The consistent demand fueled the recent rally.
On the 12th of November, HBAR encountered significant volatility, testing and getting rejected at the $0.0766 resistance level. Subsequently, the price surged beyond $0.063.
In June and July, the $0.08 level posed as a challenging resistance zone, while a substantial barrier sat further ahead at $0.11. The latter marked a bearishly inclined order block on the daily chart.
Potential Buying Opportunities for HBAR Traders
The past few months of downtrend, coupled with the vigor of the recent surge, minimized the existence of considerable long liquidation pools beyond $0.063. The nearest pool was identified in the $0.07-$0.0711 range, which could likely be revisited soon.
Despite a bullish market, the recent build-up of liquidity around $0.07-$0.0711 hints at a scenario where HBAR may dip to $0.064 after clearing this liquidity before continuing its upward trajectory.
Disclaimer: The opinions expressed here are not financial, investment, or trading advice and are solely the perspective of the writer.