Helium Network Token (HNT) Registers Growth, However, Market Indicators Suggest Potential Turbulence Approaching

Helium Network Token (HNT) Registers Growth, However, Market Indicators Suggest Potential Turbulence Approaching

Let's Talk Helium's HNT:

The past 24 hours have seen Helium's native token, HNT, buck the broader market trend with a 2% gain, trading at $3.94 as of now. But it's not all rosy in HNT land.

Looking at the HNT/USD chart, technical indicators are flashing warning signs. Take the Chaikin Money Flow (CMF), for instance. It's trending downward as the price climbs, a divergence that hints at a potential short-term reversal. The CMF, which measures money flowing in and out of an asset, dropping while the price rises, typically indicates weakened buy pressure.

The Moving Average Convergence Divergence (MACD) is also suggesting a bearish stance. Currently, HNT's MACD line is below the signal line, a situation indicating that token distribution exceeds accumulation among traders. This is often a sign that the asset's price drop will be exacerbated.

But there's a key support level to watch out for—$3.88. HNT has been trading above this trend line, indicating a steady price rally. However, with weakening buy pressure, HNT faces the risk of breaking below this trend line, which could push it down to $2.21.

But here's the catch—if buying pressure picks up, HNT could break above the $4 mark, sustain its upward momentum, and potentially climb higher.

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Remember, this price analysis isn’t financial advice. BeInCrypto strives to provide accurate, unbiased reporting, but market conditions are subject to change. Always do your research and consult a professional before making any financial decisions. Our Terms, Privacy Policy, and Disclaimers have been updated recently.

The Gist:

• With bearish indicators in play, HNT's recent price rally might prove fleeting.
• The CMF and MACD suggest weakened buy pressure and increased selling pressure.
• A critical support level of $3.88 is crucial; falling below it could lead to further downside.
• If support holds and positive market catalysts emerge, we might see some modest gains, but investors should remain cautious due to the weak momentum.
• While HNT has seen a 2% gain in the past 24 hours, the Altcoin's recent price rally might prove fleeting due to the bearish indicators in play, such as weakened buy pressure indicated by the declining Chaikin Money Flow (CMF) and the Moving Average Convergence Divergence (MACD) suggesting a bearish stance.
• The critical support level of $3.88 is crucial for HNT; falling below it could lead to further downside, potentially pushing the token down to $2.21, but if support holds and positive market catalysts emerge, we might see some modest gains.
• To stay ahead in the crypto trading game, consider platforms like Uphold that offer early access to new tokens pre-ICO, effortless one-step trading between supported assets, and a multi-asset hub where you can trade not only crypto but also stocks and precious metals under one roof.

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