HBAR price dropped 11 percent this week. This is because Hedera failed to break out of a correction phase that lasted more than three weeks.
However, despite the downturn, investor confidence remains intact. Early signs suggest that it may quietly strengthen beneath the surface.
Hedera investors show optimism
The Chaikin Money Flow indicator is rising sharply. This indicates that the inflow of funds into HBAR has resumed. The indicator stayed in negative territory for almost a month before surpassing the zero line.
This change suggests that investors are beginning to allocate new capital to Hedera. Even though prices are consolidating, such behavior often reflects confidence in long-term prospects.
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The squeeze momentum indicator emphasizes that a squeeze formation is underway. Selling pressure is gradually weakening. The histogram shows that momentum is likely to cross positively, indicating an early sign of sellers losing control.
If the squeeze is released and momentum turns positive, HBAR may experience a breakout driven by volatility. This is often associated with reversals, particularly when inflows improve.
HBAR has fallen 11 percent over the past week and is trapped in a narrow range between $0.150 and $0.130. Three weeks of correction has hindered ongoing attempts at upward movement.
If the improved CMF and upward momentum are maintained, HBAR could bounce off the $0.130 support level and attempt to break above $0.150. Breaking through this resistance would open the path towards $0.162, marking the first significant sign of recovery.
However, if upward momentum does not appear, the correction may continue. If investor sentiment shifts to selling, HBAR could fall below $0.130. This could drop to $0.125, and the bullish argument may be invalidated.
