Hedera (HBAR) is showing signs of a bullish turnaround after a period of sustained bearish pressure. In the past 24 hours, the cryptocurrency surged over 6%, bringing renewed attention as its trading volume rose by 19% to nearly $176 million. With its market cap edging closer to the $8 billion mark, HBAR is once again testing key resistance levels. While indicators remain mixed, technical patterns suggest the potential for a significant price breakout — or a sharp correction.

Bearish Trend Weakening as BBTrend Starts to Recover

HBAR’s recent price action has been shaped by the BBTrend, or Bollinger Band Trend indicator, which helps traders assess trend strength relative to Bollinger Bands. Since the beginning of May, the BBTrend has been in negative territory, hitting a low of -6.76, its most bearish reading in over a month. As of today, it has recovered slightly to -1.56.

A BBTrend value below -1 typically reflects strong bearish momentum, while readings above +1 indicate bullish strength. The current value still suggests bearish conditions, but the upward movement from its recent extreme may indicate that selling pressure is easing. If the BBTrend continues to rise and crosses above the -1 threshold, this could mark a transition into consolidation or even the early stages of a price recovery.

Momentum Builds as RSI Approaches Overbought Territory

Another key indicator, the Relative Strength Index (RSI), is reinforcing the bullish outlook. HBAR’s RSI has climbed from 31.41 to 66.2 in just two days, a sharp move that reflects growing upward momentum. The RSI is a widely used momentum metric that ranges from 0 to 100. Values below 30 often indicate oversold conditions, while values above 70 suggest an asset may be overbought.

HBAR’s current RSI reading of 66.2 shows it’s nearing the overbought zone but hasn’t crossed into it yet. This leaves some room for further gains before a potential pullback becomes likely. The RSI movement shows that buyers are aggressively re-entering the market after recent lows, potentially setting the stage for a short-term breakout.

However, traders should remain cautious. If the RSI climbs above 70 in the coming sessions, it could signal overbought conditions, increasing the risk of a reversal or consolidation period.

Golden Cross Formation Could Drive Further Upside

Adding to the bullish sentiment, HBAR’s exponential moving averages (EMAs) are tightening. A potential golden cross—a bullish signal where short-term EMAs cross above long-term EMAs—may be forming. This pattern is often seen as a precursor to sustained upward momentum.

For this bullish trend to solidify, HBAR needs to break through its immediate resistance levels at $0.191 and $0.199. A successful breakout above these price points could open the door to further gains, with potential upside targets at $0.215 and $0.258. If achieved, this would represent a 38% rally from current price levels.

Downside Risk Remains If Resistance Holds

While the technical indicators suggest rising momentum, HBAR still faces significant resistance. If it fails to break above the $0.191–$0.199 zone, the bullish scenario could unravel. The first support level to watch would be $0.175, which could serve as a cushion during a pullback.

If selling pressure intensifies, the next key support zones lie at $0.160 and $0.153. In a more bearish outcome, HBAR could fall as low as $0.124—a 33% decline from current levels—if downward momentum returns in force.

Outlook: Cautious Optimism for Hedera Bulls

Overall, HBAR’s price action reflects cautious optimism. The BBTrend is still bearish but recovering, the RSI is approaching bullish extremes, and a golden cross may be imminent. These signals indicate that a trend reversal could be underway, but confirmation is needed through a strong breakout above resistance.

For now, investors and traders will be watching closely to see whether HBAR can sustain this momentum and transition from a recovering asset into a full-blown bullish run. If it does, Hedera could be poised for significant gains in the coming weeks.