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The Hedera Hashgraph token crashed below a key support level, signaling that bears prevailed.
Hedera Hashgraph ($HBAR) dropped to a low of $0.1750, its lowest level since December 1 last year. It has plunged by over 57% from its highest level this year.
The ongoing $HBAR price crash has coincided with a decline of total assets in its decentralized finance ecosystem. Data shows that the total value locked in its DeFi ecosystem has crashed to 531 million $HBAR tokens, down from last year’s high of 1.33 billion.
Most dApps on its ecosystem have lost assets in the past few months. Stader, a top liquid staking network, has shed 11% of its assets in the last 30 days to $81 million. Bonzo Finance has shed 6.8% of its assets, while HeliSwap and HbarSuite have also lost assets.
Hedera’s app revenue has also continued falling in the past few months. In March, it was just $9,700, down from $124,000 in December.
The only potential catalyst for Hedera price is the potential $HBAR ETF approval by the Securities and Exchange Commission. Such an approval would lead to more demand from US institutional investors.
$HBAR price technical analysis
Technical indicators point to more Hedera Hashgraph price crashes. It has moved below the key support at $0.1817, a key support level that has failed to move below several times since February this year. Moving below that level is a sign that bears have prevailed.
Hedera has also formed a death cross pattern, as the 200-day and 50-day moving averages have flipped each other. It has also moved below the 61.3% Fibonacci Retracement level, where most pullbacks happen.
Therefore, the path of least resistance for $HBAR is downward. The next target is $0.1200, the 78.6% retracement point, which is about 31% below the current level.
coindesk.com
coinedition.com
