Hedera Hashgraph is making notable strides in establishing itself as a leader in the tokenization of real-world assets (RWA) as the year begins. Current metrics reveal that the network is surpassing its competitors in development activity focused on RWAs, according to data from Santiment.
Despite this promising backdrop, the price of HBAR is currently in a consolidation phase around $0.12 after experiencing a yearly peak of $0.133. This retracement has brought the price back to previously established support levels.
Market indicators are presenting a mixed picture at this juncture. Analysts are observing a “double bottom” pattern forming around the $0.10 mark, which could signal a bullish breakout towards the $0.14 resistance level. However, some traders caution that if HBAR fails to hold its current levels, there may be a significant drop to a key demand zone near $0.05 during the first quarter, particularly influenced by global geopolitical events.
The narrative surrounding utility remains a critical driver for Hedera. Notably, the network”s compatibility with SWIFT”s ISO 20022 financial messaging standard positions it as a formidable competitor to major players like Ripple and Stellar. While Ripple currently leads in terms of market capitalization and trading volume, Hedera”s technology boasts the capability to process up to 10,000 transactions per second (TPS), making it an attractive option for capturing some of the vast $155 trillion in annual transactions handled by SWIFT.
For Hedera”s HBAR to confirm a sustained bullish trend, it must break above the Smoothed Moving Average (SMA) trendline. Nevertheless, short-term money flow indicators, such as the Chaikin Money Flow, indicate that large investors are currently adopting a cautious approach, prioritizing profit-taking over aggressive accumulation. The outcome of instant settlement tests currently being executed by SWIFT using Hedera”s infrastructure will be pivotal in determining whether HBAR can achieve a significant breakout later this year.
