Helium Price Surges 228% from August Lows, Reaching $1.6 Billion Valuation

Helium, a leading player in the Decentralized Public Infrastructure space, has seen its price soar for three consecutive days, reaching a crucial resistance level of $9.520 on Sunday, December 15. This surge marks a significant 228% increase from its August lows, pushing the token’s valuation to $1.6 billion.

Open Interest in Helium Futures Market on the Rise

Data from the futures market shows that open interest in Helium has been on a strong uptrend, reaching over $11 million on Sunday. This increase in open interest, primarily driven by activity on Bitget and OKX, is a key metric that often rises when an asset is experiencing strong demand.

Burned HNT Tokens Contribute to Rally

Another factor contributing to the token’s rally is the increasing number of burned HNT tokens. According to a recent report, over $250,000 worth of HNT tokens were burned in November, primarily for accessing data credits to use the network.

Additionally, the demand for DePIN (Decentralized Physical Infrastructure Network) is accelerating, with leading High-P DePIN networks seeing steady growth and tracking towards all-time highs in December.

Community Vote and Proposal Impact

Helium’s rally accelerated after community members voted for the HIP 139 proposal, which called for the phasing out of rewards for Citizen Broadband Radio Service on the Helium Network. This decision affected approximately 4,000 CBRS holders.

Helium Price Analysis

A review of the daily chart reveals that the HNT price has made significant gains, jumping from $5.22 earlier this month to $9.52 today. This price level is crucial, as it previously failed to move above it on December 2 and 7. The HNT price has also remained above the 50-day and 25-day moving averages.

A clear break above the resistance level at $9.52 will invalidate the triple-top pattern and point to more gains.

If this occurs, the next level to watch will be at $11, the year-to-date high, which is about 18% above the current level. A break above that level could see the HNT price rally to $20.

Tips for Investors:

* Keep an eye on the open interest in the futures market to gauge demand for Helium.
* Monitor the number of burned HNT tokens, as it can impact the token’s supply and demand dynamics.
* Stay informed about community proposals and votes, as they can significantly impact the token’s price.

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