Hedera Sees Massive Surge in Price and Market Cap

Hedera, a popular cryptocurrency, has experienced a significant surge in price and market cap, reaching a three-year high of $0.369 on December 7. This represents a gain of over 120% in the last seven days, bringing its market cap to over $12.78 billion. The recent rally has also extended the altcoin’s monthly gains to almost 600%, making it a top performer among the 100 largest cryptocurrencies by market cap.

What’s Behind the Rally?

The recent price surge has been largely driven by Hedera’s collaboration with Elon Musk’s SpaceX, which involves integrating Hedera’s blockchain technology into SpaceX’s space missions. This partnership focuses on advanced data-tracking solutions and has generated significant buzz among investors and the blockchain community.

Hedera’s partnership with SpaceX is a “first” and “historical” event that showcases “real blockchain innovation.”

Another catalyst for the rally is Hedera’s role in the blockchain-based federal payment systems. The Federal Reserve’s FedNow payment network has integrated the Hedera-based micropayments platform Dropp, which enables transactions using HBAR, adding to its utility.

ETF Speculation and Whale Interest

Traders are also optimistic about the possibility of a Hedera-focused exchange-traded fund. Canary Capital has filed for this ETF with the U.S. Securities and Exchange Commission, and speculation has intensified with reports of SEC Chairman Gary Gensler stepping down.

Recent developments have also drawn the attention of whales, with data from HederaWatch revealing a sharp increase in accounts holding between 100,000 and 100 million HBAR. The growth in accounts holding over 100 million tokens has increased by over 20% since August.

Retail Interest and Technical Analysis

Retail interest in HBAR has surged over the past weeks, as indicated by Google Trends data. This uptick in interest aligns with the HBAR Fear and Greed Index, which currently stands at 84, signaling extreme greed.

From a technical perspective, HBAR’s price floats high above the 50-day and 200-day exponential moving averages, indicating that bulls are still in control. The Moving Average Convergence Divergence indicator confirms this trend, with both the MACD line positioned above the signal line and pointing upwards, suggesting a strong bullish trend.

Price Targets and Future Prospects

Based on the positive signals, the next likely target for the token could be the $0.40 psychological resistance, beyond which it would look to secure the $0.45 mark. According to analyst WSB Trader Rocko, HBAR could rally to $0.576—a potential 70% jump from its current price levels.

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