HBAR Set for $4 Million Short Squeeze, But Bitcoin May Block It
HBAR shows bullish divergence within a descending wedge, potentially triggering a $4 million short squeeze, but Bitcoin's performance could hinder this rally.Summary
Hedera (HBAR) is currently trading at $0.0923, forming a descending broadening wedge pattern that suggests a potential bullish breakout. Technical indicators, specifically the Money Flow Index (MFI), show a bullish divergence against recent price lows, indicating weakening selling pressure.
A confirmed breakout above the $0.1012 resistance level could trigger approximately $4.34 million in forced short liquidations, which would accelerate upward momentum. Key resistance levels to watch are $0.0938, $0.1005 (to flip as support), and $0.1071 for a sustainable rally toward $0.1300.
However, HBAR's price action is highly correlated with Bitcoin (BTC). If Bitcoin fails to gain upward momentum or declines, it could suppress HBAR's internal bullish setup, invalidating the short squeeze potential. A drop below the $0.0855 support level would increase downside risk.
(Source：BeInCrypto)