Hedera (HBAR) is facing difficulties as it struggles to overcome a key resistance level. The funding rates for HBAR are consistently negative, exacerbating its challenges. Open interest rates have also dropped, indicating reduced demand for HBAR futures. The fate of HBAR is closely tied to Bitcoin's performance, which has been negatively affected by the SEC's delay in reviewing Bitcoin ETF applications. However, Grayscale's legal victory against the SEC provides some optimism for the crypto market. Traders and investors should proceed with caution and monitor the situation closely.
In the ever-evolving crypto market, challenges and uncertainties are no strangers to digital assets. Hedera (HBAR), while striving for price recovery, has recently encountered a formidable hurdle at a crucial bearish order block. As the bearish sentiment prevails, HBAR's fate becomes entwined with Bitcoin's performance, further complicated by the SEC's ETF delay. However, amidst the turbulence, a recent legal victory injects a glimmer of hope into the crypto market.
HBAR Battles the Bearish Order Block:
Hovering around the $0.0500 level, HBAR faces a significant obstacle fueled by the prevailing bearish sentiment. The recent price rejection at a critical weekly bearish order block implies a challenging path for sellers seeking to capitalize on the situation. The bearish skew in the futures market, indicated by consistently negative funding rates, illuminates the uphill battle for HBAR's price recovery.
Declining Demand and open interest:
CoinGecko reports that the current HBAR price stands at $0.050716, reflecting a 5.0% decline over the last 24 hours and a staggering 13% drop over the past seven days. Adding to the bearish narrative, open interest rates have plummeted from $27 million to $21 million within the last five days, signaling diminishing demand for HBAR within the futures market. This decline potentially emboldens sellers to seek further gains.
Bitcoin's Influence and SEC's ETF Delay:
The interconnection between HBAR's fate and Bitcoin's performance becomes evident as the SEC's announcement of delaying the review of seven spot Bitcoin ETF applications until October casts a shadow of uncertainty over the crypto market. The anticipation for a spot Bitcoin ETF approval has been growing, correlating with negative investor sentiment. Bitcoin's value, alongside that of other cryptocurrencies, experienced a hit following this news.
Grayscale's Triumph: A Ray of Hope:
However, amidst the turbulent market atmosphere, there is a glimmer of hope. Grayscale Investments recently emerged victorious in its bitcoin ETF lawsuit against the SEC, as the court recognized the SEC's error in rejecting their application. This legal triumph injects optimism back into the crypto market, potentially leading to positive market developments in the coming days.
The Road Ahead and Cautious Steps:
As uncertainties stemming from the SEC's ETF delay continue to weigh on the broader crypto market, the fate of HBAR remains entangled with Bitcoin's performance. Traders and investors are advised to tread cautiously and closely monitor market developments. While challenges persist, the recent legal victory resonates as a reassuring signal amidst the prevailing bearish sentiment.
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Disclaimer: Our articles are NOT financial advice, and we are not financial advisors. Your investments are your own responsibility. Please do your own research and seek advice from a licensed financial advisor beforehand if needed.
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