Helium needs to end the daily meetings above $4.24 to maintain a bullish daily market structure. The recent bounce to $4.18 has established a range above $3.3. Helium [HNT] has decreased 68.5% from the resistance level of $9.54 in December, retesting the psychological support at $3 last week. The price has dropped by 68.5% in just two months. Since December, the lack of strong buying and the ongoing downward trend indicate that the $3.3 area is the next bearish target.
Despite a 28% bounce, helium has not broken the downward trend. The market structure of HNT on the daily chart remains bearish. The recent lower high is marked at $4.24 in orange and continues to be the level to beat. Over the past two weeks, bearish momentum has started to weaken. A bullish divergence occurred in the first week of February, when the price was lower but the RSI created a higher low. Since then, helium has managed to bounce 28.5% from the consolidated support around $3.
According to the A/D indicator, this bounce has not been accompanied by high buying volume. The volume indicator has remained in a downward trend since mid-December, although it did bounce in the past ten days. The one-week liquidation heatmap indicates a large liquidity cluster around $3.6. This area was tested on February 10, and the price quickly surged to $4.19. This rapid rebound was likely partially due to a series of short liquidations. Since then, volatility has decreased, and HNT has consolidated below the $4 level. The magnetic area at $3.3 could attract the token price in the coming days.
Traders should prepare for a range formation between $3.3 and $4.2 – $4.5. In the short term, the $3.6 area may halt the bearish advance.
Disclaimer: The information provided does not constitute financial, investment, trading, or other types of advice and is solely the opinion of the author.
