Helium Price Up 12% in 24 Hours and 45% in One Week – Here’s Why HNT is On a Roll

Key Takeaways

• Helium rose 83% since its July low.
• HNT’s Market cap has exceeded $800 million.
• Technical indicators suggest possible overextension.

Since hitting crashing on July 5, Helium’s (HNT) price has surged by 83%. Initially, the momentum was gradual, but it accelerated significantly over the past week, culminating in a 45% increase. At press time, Helium is one of the top gainers, though some technical indicators suggest that the asset might be reaching an overextended position.

What is next for HNT’s price? 

What Drove The Rise?

On July 22, Helium (HNT) saw its market capitalization exceed $800 million. Over the past 24 hours, trading volume has skyrocketed by over 180%, reaching over $18 million. This surge has positioned Helium as the second-highest gainer of the day, with an increase of over 10%.

Despite this impressive rise, no fundamental factors underpinning the uptrend exist. This suggests Helium’s (HNT) price surge could be attributed to market dynamics, such as speculative trading or shifts in investor sentiment, rather than specific news or developments related to Helium’s network or technology.

HNT Price Analysis

Helium’s (HNT) price peaked at $11 in February, marking a yearly high before entering a bearish phase. This decline formed a descending triangle pattern, leading to a low of $2.87 on July 5 and a 75% drop.

Since marking its low in July, Helium (HNT) flipped its descent, breaking above the descending resistance and reaching a high of $5.31 on July 22, reflecting an 81% recovery. The daily RSI has entered the overbought zone at 77%, suggesting that the current uptrend could end soon.

Despite these signs of overextension, there are no bearish ones. The daily MACD remains bullish, and there have been no red candles as of July 22. However, the price has retreated by 6% from its daily peak. Should the daily candle close at around $5, it could show a wick, signifying encountered selling pressure.

HNT Price Prediction 

Zooming into the 4-hour chart and analyzing the wave structure, we can see that the five-wave impulse from July 5 is either complete or near completion. Potentially, there is one higher high of a lower degree, with $5.50 as the target price. 

After this uptrend ends, we could expect a larger retracement as Helium (HNT) most likely started its next bull phase and will proceed with its first bull phase correction. Usually, these corrections come as a 0.618 Fibonacci retracement, so our target for this decline is currently $3.80.