Hedera Hashgraph (HBAR) Price Prediction: HBAR Poised for a Breakout After 10% Rally

The Hedera Hashgraph price has remained under pressure in the past few months as other cryptocurrencies have plunged. The HBAR token was trading at $0.20

The price of Hedera (HBAR) has remained in a slump in the past few months as other cryptocurrencies crashed. The HBAR token was trading at $0.20 on Thursday, down over 50% from the highest point reached earlier this year.

Here are the top three reasons why the Hedera price may surge soon.

Hedera Hashgraph Stablecoin Supply is Sparing

One major catalyst for the HBAR price is the growing amount of stablecoins in the network. Data shows that the market cap of all stablecoins jumped to over $182 million, a record high.

(Source: Glassnode)

Hedera has had one of the fastest-growing chains in terms of USD Coin (USDC) valuation since the amount stood at $38 million in January and $6.8 million in the same period last year. A surging stablecoin market cap is a sign that the Hedera Hashgraph ecosystem is doing well.

HBAR Exchange Outflows are Rising

Another potential catalyst for the HBAR price is increasing demand for the coin among investors. Data shows that many HBAR investors are moving their tokens from exchanges to self-custody wallets.

According to CoinGlass, over $18 million HBAR tokens have exited exchanges in the past two weeks. Over $100 million of them have left centralized exchanges this year alone.

(Source: CoinGlass)

Rising token outflows are usually a bullish factor because they show that investors are not selling their coins. Instead, they are moving them in self-custody accounts, hoping that the price will rebound.

HBAR Price Has Strong Technicals

Finally, the HBAR price is expected to perform well due to its robust technical indicators. The daily chart shows that the coin formed a falling wedge pattern in the first quarter of the year. This is a common bullish pattern comprised of two falling and converging trendlines.

(Chart - Tradingview)

After completing this pattern, the coin’s price shot up by more than 100%, which signaled the beginning of a strong bullish trend. Now, however, the coin is forming a broadening wedge pattern, often referred to as a megaphone. This pattern too often leads to more upside over time. HBAR remains above the 50-day moving average, which has provided substantial support.

(Chart - Tradingview)

Therefore, the coin is likely to experience a bullish breakout, with investors targeting the 23.6% retracement level at $0.3200, representing a 60% increase from the current price.