The price of HBAR dropped 11 percent this week as Hedera failed to break out of the accumulation range that has lasted over 3 weeks.
Although the market is in decline, investor confidence remains intact, with early signs indicating that accumulation may quietly strengthen beneath the surface.
Hedera investors show confidence.
The Chaikin Money Flow Index is rapidly increasing, indicating increased inflows into HBAR after being in negative territory for nearly a month. This index has returned above the zero line again.
This change indicates that investors are now reallocating funds to Hedera, even as prices remain stable. Such behavior often reflects confidence in the long-term future, even during periods when prices are stuck in the short term.
Want more information about the tokens? Sign up for Editor Harsh Notariya's daily crypto newsletter here.
The Squeeze Momentum Index shows a squeeze forming as the downward pressure gradually weakens, with the histogram indicating that momentum is heading towards a bullish crossover, signaling that sellers may be losing control.
If the squeeze releases while momentum turns positive, HBAR could experience a breakout driven by volatility. This is a setup often associated with reversals, especially when there are improvements in inflows.
HBAR dropped 11 percent in the past week and remains in a narrow range between USD0.150 and USD0.130. Three weeks of accumulation have left the upward movement stalled.
If the developed CMF and upward momentum strengthen, HBAR could bounce from the support at 0.130 USD and attempt to break through the resistance at 0.150 USD. Once this resistance is passed, it would open the way to 0.162 USD, which shows the first significant recovery signal.
However, if upward momentum does not materialize, a continued downward movement may occur. A shift in investor sentiment towards selling could drive HBAR below 0.130 USD, resulting in the token dropping to 0.125 USD and rejecting the bullish thesis.
