Hedera( HBAR ) price prediction: Short-term pullback risks exist, but it is still expected to challenge the $0.333 target.

Hedera (HBAR) has risen by about 30% in a short period after its recent breakout, but its Relative Strength Index (RSI) shows a bearish divergence, indicating a possible pullback risk in the short term. Despite the potential for a short-term retracement, HBAR still has the potential to rise further towards the target of $0.333, provided that the market can stabilize and maintain the current support level.

Hedera recent breakthrough analysis

The price of Hedera (HBAR) broke through the neckline of the double bottom pattern at $0.229 on July 18, subsequently rising sharply to $0.299, testing the previous high from early May. This rise represents an increase of approximately 30% from the breakout point.

However, with the price pullback, the current trading price of HBAR is around $0.267, and it is consolidating above the newly established local support level of $0.253. While the current price action suggests that the market still has upward potential, the bearish divergence in the RSI warns that market sentiment may gradually weaken.

Technical analysis: bearish RSI divergence

The RSI has pulled back within the overbought range (73) and formed a bearish divergence. Specifically, despite the price making a new high, the RSI shows a slight lower high. This divergence signal indicates that the current upward momentum may be about to weaken, posing a risk of a short-term pullback.

key support and resistance

The current main support level is around $0.253, which is the local support in this adjustment. If HBAR breaks through this support level, $0.229 (previous double bottom neck line level) will become the next key support, potentially preventing a deeper pullback.

For the pump target, HBAR still has the potential to move towards the support level of $0.333. This target value is calculated based on the double bottom pattern, which adds the depth of the bottom ($0.229 - $0.125 = $0.104) to the neckline $0.229.

Recent Catalytic Factors

The recent rise of HBAR is attributed to the launch of the Valour Hedera Physical Staking ETP on the Swiss Exchange (SIX), providing investors with the opportunity to participate in HBAR and its staking rewards through a regulated channel.

In addition, the U.S. Securities and Exchange Commission (SEC) is reviewing the Hedera ETF proposed by Canary Capital, which plans to list on the Nasdaq. Although the deadline for a decision has been extended to September, if approved, it could trigger significant buying pressure, thereby driving the HBAR price to continue to pump.

Future Outlook and Network Upgrade

Hedera is expected to upgrade its mainnet to version 0.63 on July 23, enhancing performance and optimizing the backend systems. Although this upgrade is not expected to directly impact the tokenomics or utility of HBAR, it may enhance market confidence in the reliability of the Hedera network.

Conclusion:

Although Hedera (HBAR) has performed strongly recently, the bearish RSI divergence on the technical side suggests that it may face pullback risks in the short term. Investors need to pay attention to the performance of the current support level, as well as future factors that may impact HBAR's price, such as ETF approvals and network upgrades. If Hedera can solidify its current support and maintain its pump momentum, it may continue to head towards the $0.333 target in the short term.