HBAR's Wild Ride: 30% Surge Meets Bearish RSI Divergence - What's Next?

HBAR's Breakout and Consolidation

HBAR has been on a rollercoaster, skyrocketing 30% after breaking out of a double bottom pattern. It smashed through the neckline at $0.229 and soared to a peak of $0.299 on July 18, flirting with the highs from early May. But hold onto your hats, folks, because the ride's not over yet. The price has dipped a bit and is now hovering around $0.267, finding its footing above a new support level at $0.253.

The Potential for More Upside

Get this: the double bottom pattern's measured move target is still out there at $0.333. That's calculated by adding the pattern's depth ($0.229 - $0.125 = $0.104) to the neckline at $0.229. So, there's still room for HBAR to keep climbing once it shakes off this consolidation phase.

Bearish RSI Divergence: A Warning Sign

But wait, there's a twist! The RSI is screaming overbought at 73 and has started to dip, forming a bearish divergence. While the price hit a higher high, the RSI posted a slightly lower high. This signals that the bullish momentum might be fizzling out, hinting at a potential short-term pullback or a longer consolidation before the next big move.

Support Levels to Watch

If things go south, keep an eye on the major support at $0.229, the former double bottom neckline. If HBAR slips below the current local support at $0.253, $0.229 could be the next line of defense against further pullbacks.

What's Fueling the Rally?

So, what's behind this wild ride? The launch of the Valour Hedera Physical Staking ETP on the SIX Swiss Exchange has been a major catalyst, giving investors a regulated way to tap into HBAR and its staking rewards.

Looking Ahead: ETF Approval and Mainnet Upgrade

The future's looking bright for HBAR. The U.S. Securities and Exchange Commission is reviewing a proposed Hedera ETF by Canary Capital, set to list on Nasdaq. They've pushed the decision deadline to September, but if it gets the green light - and analysts think it will - buckle up for some serious buying pressure that could send HBAR's price to the moon.

And don't forget, Hedera's mainnet is getting a facelift to version 0.63 on July 23, with performance boosts and backend tweaks. It won't shake up HBAR's tokenomics or utility, but it'll definitely give the network's reliability a shot in the arm.