Hedera Hashgraph’s native cryptocurrency, HBAR, is showing renewed bullish momentum after weeks of subdued price action. Since early August, the token has traded within a narrow horizontal channel, capped by resistance at $0.2669 and supported at $0.2357. This period of consolidation has now given way to a potential breakout, with HBAR moving above the key resistance level and signalling possible further gains.

The move comes as on-chain data shows a sharp rise in capital inflows and user activity on the Hedera network, factors that could help sustain upward pressure on the token in the short term.

Stablecoin Market Cap Jumps 54% in One Week

According to DefiLlama, Hedera’s stablecoin market capitalisation has climbed by more than 54% over the past seven days, reaching $86.41 million. This increase reflects strong inflows of liquidity into the network, suggesting a higher degree of investor confidence and engagement.

A growing stablecoin supply within a blockchain ecosystem often indicates that market participants are deploying capital for trading, yield farming, or other on-chain activities. For HBAR, this trend points to increased transactional demand, which can bolster the token’s price trajectory as more liquidity circulates through Hedera’s DeFi protocols.

DeFi Activity Accelerates as TVL Rises 20%

In addition to the stablecoin surge, Hedera has recorded a notable jump in total value locked (TVL) across its decentralised finance platforms. As of the latest data from DefiLlama, the network’s TVL has risen 20% since 3 August, reaching $140.06 million.

TVL is widely regarded as a proxy for blockchain utility and adoption. The sharp increase suggests that more users are staking, lending, and providing liquidity within Hedera-based applications. This heightened activity not only reinforces the network’s economic base but also adds to the fundamental case for continued demand for HBAR.

$0.2669 Resistance May Flip to New Support

Technical analysis of the HBAR/USD daily chart shows the token has been confined to a horizontal channel since 1 August. The recent move above the $0.2669 resistance level could signal a trend reversal, with this price point potentially becoming a new support floor.

If buying momentum persists, analysts suggest HBAR could target the $0.3050 level in the near term. Such a move would represent a continuation of the breakout pattern and align with the broader increase in on-chain activity and liquidity inflows.

However, the bullish case is not without risk. A fall back below $0.2669 could prompt a short-term retracement towards $0.2357. Should that level fail to hold, the price could slip further to around $0.1963, where deeper support lies.

Market Outlook

HBAR’s latest breakout comes after a prolonged period of range-bound trading, and the timing coincides with tangible growth in Hedera’s DeFi ecosystem. The combination of a surging stablecoin market cap and expanding TVL points to growing confidence and utility within the network.

If these trends continue, Hedera could sustain its current momentum, with $0.2669 acting as a launchpad for further gains. Conversely, a breakdown below this key level would call into question the strength of the rally.

For now, traders and investors will be watching closely to see if HBAR can consolidate above its newly breached resistance and turn it into a strong base for the next leg higher.