Hedera price Volatility ( HBAR ) threatens to cause a loss of 38 million USD for the bears

In the past month, HBAR has experienced strong fluctuations, struggling to regain upward momentum after a series of bearish trends and still unable to break free from a downward trend lasting over six weeks.

Nevertheless, this altcoin is still in a critical phase, as many traders remain hopeful for a spectacular breakout. However, if it cannot conquer key resistance levels, HBAR is likely to continue sliding deeper on the price chart.

HBAR investors still maintain a positive sentiment

Throughout the past month, traders' optimistic sentiment towards HBAR has been clearly evident, as the funding rate has continuously maintained a positive level. This indicates that long positions (Long) are prevailing, reflecting strong investor confidence in the recovery potential of this altcoin.

Positive signals from the funding rate not only indicate expectations for a price increase in the near future, but also affirm the belief that HBAR could soon reverse and escape the prolonged bearish trend of recent times. Steady optimism is attracting more and more investors willing to bet on HBAR's long-term prospects, despite the existing challenges in the market.

The funding rate of HBAR | Source: CoinglassFrom a macro perspective, the current market structure indicates that the short sellers (Short) may soon find themselves in a passive position if the price of HBAR recovers strongly. According to data from the liquidation map, approximately 38 million USD worth of short contracts are at risk of being liquidated if HBAR surpasses the bearish trend and reaches the $0.163 threshold.

Such a widespread liquidation could trigger a buying wave, pushing prices up sharply and creating new momentum for the bullish trend. In this scenario, those who are still betting on a bearish trend will be forced to close their positions, thereby increasing buying pressure – a factor that could become an important catalyst for HBAR to break out of the current price range.

HBAR liquidation map | Source: Coinglass## HBAR is waiting for a push

As of the time of writing, HBAR is trading around $0.148, just below the important resistance level at $0.154. This altcoin is making an effort to break above this resistance zone while also breaking the bearish trend line that has weighed down the price for some time.

If HBAR can break through the $0.154 mark and turn it into a solid support zone, this coin could target the next goal at $0.163. Reaching this price level may trigger a wave of liquidations of Short positions, thereby creating momentum to push the price higher.

This could be the necessary catalyst for HBAR to regain momentum and reverse the recent bearish trend.

HBAR/USDT Daily Chart | Source: TradingViewHowever, in a more negative scenario, if the entire market turns weak, the price of HBAR risks falling to the level of $0.139. Losing this support level would be a concerning signal, potentially dragging the price down further to the $0.133 area.

Such a correction will invalidate the current bullish outlook and bring market sentiment back to a bearish state.

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