HBAR Struggles to Gain Momentum, Investors Fear Further Decline

After an unsuccessful attempt to break the $0.40 resistance level, HBAR has faced a decline, settling at $0.30 and entering a familiar trading range.

Investor confidence is shaky as the Chaikin Money Flow (CMF) indicator reveals weak inflows into HBAR, casting doubt on the altcoin's future. The indicator hovers near the zero line, indicating limited new capital coming in. Without increased buying activity, HBAR could remain stagnant in its current position.

Most HBAR holders are holding back, waiting for the altcoin to surpass the $0.40 mark before committing more funds. This uncertainty mirrors the overall market sentiment, with traders seeking clear bullish signals before taking action. Without a surge in inflows, HBAR is poised to struggle in gaining the necessary momentum for a recovery.

The correlation between HBAR and Bitcoin has weakened to 0.64, suggesting a diminishing link between the two assets. This divergence could be problematic for HBAR, especially as Bitcoin aims to surpass the $105,000 resistance. Failure to align with Bitcoin's trajectory might hinder HBAR's ability to capitalize on market-wide gains.

HBAR has reverted to a consolidation phase reminiscent of the period between December 2024 and early 2025, with prices fluctuating between $0.33 and $0.25. The loss of the $0.33 support level has increased bearish pressure, potentially leading to further downward movement.

If consolidation continues, HBAR faces the risk of dropping towards $0.25. A breach of this crucial support level could trigger panic selling, potentially driving prices down to $0.20. The lack of significant inflows further dampens hopes for an immediate turnaround.

However, reclaiming the $0.33 support level could reignite bullish sentiment for HBAR. A successful breach of the $0.40 resistance would likely dispel the bearish outlook, prompting investor re-entry and profit-taking opportunities.