Hedera (HBAR) has had a turbulent ride in the market recently, with its price dropping by 8.29% to $0.3163. However, despite this downturn, strong positive sentiment remains, especially fueled by Hedera’s partnership with SpaceX. This collaboration, which will integrate Hedera’s blockchain for efficient space data tracking, could have significant implications for the token’s future price action.

HBAR’s Flag Pattern Points to Bullish Potential

Despite the recent decline in price, HBAR’s chart suggests that there could be a promising upside ahead. The token’s price action has formed a classic flag pattern, a well-known continuation signal in technical analysis. After an initial rally of 131.01%, where HBAR surged from $0.15 to $0.35, the price entered a consolidation phase, marked by descending parallel trend lines. This flag pattern could suggest that the price may break out to the upside once again.

According to AMBCrypto’s analysis, a breakout from this pattern could lead HBAR’s price to a target of $0.60, mirroring the earlier rally’s magnitude. This would represent a 63.64% increase from its current price.

Bollinger Bands and Technical Indicators

Technical indicators further support the potential for a rebound. The Bollinger Bands, which are often used to measure price volatility, indicate that after reaching the upper band, the price has been consolidating around the middle band, showing support. A break below this middle band could signal further downside, but as it stands, the current pattern suggests that the market may be positioning for another upward move.

Additionally, the Accumulation/Distribution (Acc/Dist) line, which tracks buying and selling pressure, shows that the strong buying momentum seen during the previous rally has flattened. This could indicate that accumulation is slowing down, with selling pressure possibly increasing. However, if a bullish crossover occurs in the Stochastic Oscillator, which is currently in the oversold zone, it could signal a potential rebound.

Hedera’s Milestone: Surpassing Solana in Transaction Volume

Hedera has also made headlines for surpassing Solana in 24-hour transaction volume for the first time. According to recent reports, Hedera processed 7.26 billion transactions in a 24-hour period, edging out Solana’s 7.04 billion. This achievement underscores the growing adoption and network utilization of Hedera, which could positively impact HBAR’s long-term value.

As of the latest data, Hedera’s market cap stands at $12.42 billion, with a fully diluted market cap of $16.25 billion. While Solana’s market cap remains significantly higher at $107.48 billion, Hedera’s recent transaction surge signals increasing traction and interest in its network.

Positive Sentiment and Increased Funding Rates

The market sentiment surrounding HBAR remains bullish, especially as the token’s Open Interest (OI)-weighted funding rate has been climbing steadily. The funding rate peaked at 0.08% as HBAR surged from $0.15 to over $0.30 in early December. This increase in funding rates indicates strong bullish sentiment from traders, with long positions dominating the market. The rise in open interest further suggests that confidence in HBAR’s future performance is growing.

SpaceX Partnership: A Game-Changer for HBAR

Perhaps the most significant development for Hedera’s future price action is its partnership with SpaceX. The collaboration will integrate Hedera’s blockchain technology into SpaceX’s space missions, allowing for more efficient and secure data tracking. This partnership is a milestone for both Hedera and the aerospace industry and could help elevate HBAR’s credibility, positioning it as a key player in the expanding space tech sector.

This collaboration with SpaceX is likely to generate significant attention for Hedera, further boosting its market position and potentially driving up the value of HBAR. The successful implementation of blockchain technology in space missions could open the door for more blockchain applications in the space industry, with Hedera at the forefront.

Conclusion

In conclusion, while HBAR has recently faced some price fluctuations, technical indicators, positive market sentiment, and groundbreaking partnerships suggest that the future of Hedera remains bright. With the potential for a breakout from its flag pattern, increasing transaction volume, and strategic collaborations like the one with SpaceX, HBAR could be on the cusp of significant growth. Investors should keep an eye on Hedera as it continues to make strides in the blockchain and space tech sectors, potentially driving its price higher in the coming months.