HBAR’s 26% Surge: A Triumph or a Mirage? 🚀💸

Hedera (HBAR) has recorded an impressive 26% weekly gain, sparking optimism among traders and investors. The sudden surge has lifted market sentiment and added momentum to portfolios holding the altcoin. 🧠💸

However, on-chain data and technical indicators suggest that the rally might not be as organic as it appears, raising questions about its sustainability in the days ahead. ⚖️

Hedera Investors Need To Step Up

The weighted sentiment for HBAR has seen a sharp spike in recent days, reflecting rising investor optimism. This increase in positive sentiment coincides with the launch of Canary Capital’s spot HBAR exchange-traded fund (ETF), which began trading earlier this week. 🧾

The ETF’s debut has significantly amplified social discussions around the token, fueling bullish expectations in the short term. However, history suggests that sudden spikes in investor enthusiasm can be double-edged. 🕳️

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From a macro perspective, the Chaikin Money Flow (CMF) indicator paints a more cautious picture. Despite the price rally, CMF data shows no corresponding surge in inflows, suggesting that the bullish momentum is not backed by substantial capital movement. 🧠

Low inflows paired with heightened network activity often indicate an overheated asset. This imbalance tends to precede short-term reversals as traders take profits and market liquidity tightens. Unless new capital enters the market soon, HBAR’s upward trend could struggle to maintain its current pace. 🕳️

HBAR Price Reclaims $0.200

At the time of writing, HBAR trades at $0.2048 after a 26% rise this week, testing resistance near $0.212. The strong uptrend positions the token just below a key breakout zone that could determine its next direction. 🧭

If investors begin taking profits without a fresh wave of inflows, HBAR could lose support at $0.200 and decline toward $0.178. Such a move would reflect cooling momentum and renewed caution among traders. 🌡️

Alternatively, if the rally gains support from increased inflows driven by the spot ETF, HBAR could extend its rise past $0.217 and aim for $0.23. Sustaining this level would signal a continuation of the bullish trend and renewed investor confidence. 🚀

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2025-10-31 00:06