HBAR Price May Fail Breakout As Bitcoin Correlation Falls To 2-Month Low

Core Insights - Hedera's native token HBAR is facing challenges in maintaining momentum after a recent rebound, with concerns about the sustainability of its recovery due to weakening market conditions and a declining correlation with Bitcoin [1][2]. Group 1: Market Correlation - HBAR's correlation with Bitcoin has decreased to 0.48, marking its lowest level in two months, indicating that HBAR is starting to move independently from Bitcoin's price movements [2]. - This decoupling from Bitcoin could negatively impact HBAR's near-term outlook, especially as Bitcoin approaches its all-time high of $122,000, which historically has benefited altcoins during rallies [3]. Group 2: Technical Analysis - The Relative Strength Index (RSI) for HBAR is struggling to remain above the neutral level of 50.0, with a failure to establish this as support indicating uncertainty among traders [4]. - HBAR is currently trading at $0.220, just above the support level of $0.219, but has struggled to maintain upward momentum after a recent breakout attempt from a descending wedge pattern [5]. - If bearish pressure increases, HBAR could decline towards $0.206, confirming a continuation of the current downtrend and extending its consolidation phase [6]. - Conversely, if bullish sentiment returns, HBAR could rebound from the $0.219 level and potentially rise towards $0.230, with a successful breakout possibly pushing the price to $0.242 [7].