Hedera (HBAR) has struggled to regain momentum as bearish signals intensify across its technical indicators. After several days of sideways movement, the cryptocurrency shows limited growth potential. 

The latest development—a Death Cross—suggests that HBAR’s bullish phase may be coming to an end, at least in the short term.

Hedera Technicals Point To Decline

Hedera is currently witnessing a Death Cross, a technical pattern that forms when the 200-day Exponential Moving Average (EMA) crosses above the 50-day EMA. This event marks the conclusion of a three-month bullish streak initiated by a Golden Cross earlier in the year. Such a crossover typically signals a deeper bearish trend ahead.

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The previous Death Cross for HBAR lasted less than two months before prices began to recover. Whether history repeats itself remains uncertain, but traders are proceeding cautiously. 

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On a macro level, Hedera’s Open Interest (OI) has yet to recover from its earlier slump. Following a $200 million liquidation during the market crash earlier this month, OI has stabilized at around $129 million. The lack of growth suggests traders are hesitating to re-enter leveraged positions, reflecting a cautious stance toward HBAR’s near-term prospects.

This stagnation in Open Interest points to declining speculative activity, often associated with reduced volatility. Without renewed participation from traders, price rallies could remain subdued.