Hedera (HBAR) Bears Tighten Control as Price Falls 52% From Year-To-Date High

The price of HBAR from Hedera has declined since reaching its yearly high (YTD) of $0.40 on January 17, 2025. This altcoin has now dropped to $0.19, marking a 52% decline as selling pressure continues to dominate the market.

Technical indicators suggest the downtrend may not be over yet, as selling pressure remains high.

HBAR price continues to struggle as indicators show no improvement

The continuous decline in HBAR's Relative Strength Index (RSI) confirms the increased selling pressure among spot traders. At the time of writing, this index is at 40.62.

The RSI indicator measures the overbought and oversold conditions of an asset. It oscillates between 0 and 100, with values above 70 indicating the asset is overbought and may need to correct.

Conversely, RSI values below 30 signal the asset is oversold and may be ready to recover.

The RSI at 40.62 suggests HBAR is in a bearish zone but not yet oversold. This indicates that selling pressure is stronger than buying momentum, but there is still room for further decline before the token becomes undervalued.

Additionally, HBAR's Elder-Ray Index also supports the bearish view. Currently, this index is at -0.02, marking the seventh consecutive day in negative territory.

The Elder-Ray Index measures the balance of power between bulls and bears by analyzing the strength of buyers (Bull Power) and sellers (Bear Power).

When this index is negative, it indicates that sellers are in control, pushing the price lower and signaling a downtrend. The persistent negative Elder-Ray Index of HBAR suggests prolonged selling pressure, making a short-term price recovery less likely.

HBAR bears maintain dominance as the descending channel points to further losses

Since reaching its yearly high of $0.40, HBAR has been trading within a descending parallel channel, confirming the downtrend.

This bearish pattern is formed when an asset's price moves between two parallel downward-sloping trendlines, indicating a continuous decline. It suggests that HBAR sellers are in control, which may further reduce its price.

If demand continues to weaken, HBAR could drop to the support level formed at $0.16, the low it last reached in November.

However, a positive shift in market sentiment could prevent this. If HBAR sees an increase in new demand, it could push the price up to $0.24.