Hedera’s 20% Rebound: Is HBAR’s Volatile Comeback the Real Altcoin Rotation Signal?

If you blinked, you missed it. While Bitcoin’s gravity well pulled nearly every altcoin into the abyss this week, Hedera’s HBAR decided to stage a Houdini act. Capitulation near $0.077 triggered a 20% snapback, leaving traders scrambling to decipher whether this is just a dead cat bounce or the first real sign of altcoin rotation in a market that’s been all about Bitcoin dominance for months.

The headlines have been relentless: Bitcoin down 16% in a week, hitting three-month lows at $70,008. The crypto fear index is screaming, and even the most diamond-handed traders are starting to sweat. Yet, amid the carnage, HBAR’s rebound is the kind of price action that makes you question if the market is finally ready to look beyond the usual suspects.

Let’s break down the timeline. HBAR’s slide was brutal, with capitulation volume spiking as it knifed through $0.080 support. But as the dust settled, buyers stepped in aggressively near $0.077, a level that’s acted as a launchpad in previous cycles. Within hours, HBAR ripped back toward $0.100, a psychological and technical barrier that now has every altcoin trader’s attention. According to ambcrypto.com, traders are watching $0.100 for confirmation of a true reversal. The move wasn’t isolated, either. On-chain flows showed a surge in active addresses and a sharp uptick in network transactions, suggesting this wasn’t just a short squeeze, but a coordinated grab for discounted tokens.

What makes this bounce so compelling isn’t just the size, but the context. Bitcoin’s dominance remains near cycle highs, and most altcoins are still nursing double-digit weekly losses. HBAR’s outperformance is a rare green shoot in a field of red. Historically, these kinds of sharp reversals in mid-cap tokens have preceded broader rotations, especially when Bitcoin stalls or consolidates after a major drawdown. The last time HBAR posted a similar move, it foreshadowed a multi-week rally across the altcoin complex. That’s not to say history will repeat, but traders are right to keep this on their radar.

Zooming out, the macro backdrop is still treacherous. Bitcoin’s crash wiped out billions in open interest, and liquidations across the board have left many traders shell-shocked. The narrative that Bitcoin has hit a 16-year cyclical peak, as floated by newsbtc.com, is fueling uncertainty. Meanwhile, regulatory overhang, ETF flows, and the looming impact of AI on crypto infrastructure are all adding new layers of complexity. In this environment, any sign of relative strength stands out like a flare in the night.

But let’s not get carried away. HBAR is still down significantly from its 2025 highs, and the broader altcoin market is littered with failed bounces. The difference this time is the volume profile and the timing. With Bitcoin in the penalty box and traders desperate for something, anything, that isn’t correlated 1:1 with BTC, HBAR’s move could be the spark for a broader rotation. Or it could be another head fake. That’s the game.

Strykr Watch

Technically, HBAR is at a crossroads. The $0.100 level is the immediate battleground. A clean break and hold above this zone opens the door to $0.115, where the 50-day moving average lurks. On the downside, $0.077 remains the must-hold line. RSI has rebounded from deeply oversold territory, now sitting just above 40, suggesting there’s room to run if momentum persists. Volume on the rebound was 2.5x the 30-day average, which gives this move credibility. Watch on-chain flows for sustained activity, if active addresses and transaction counts stay elevated, this isn’t just a short squeeze.

If HBAR can flip $0.100 into support, the next logical target is $0.115, with a possible extension to $0.130 if the altcoin complex catches a bid. Failure to hold $0.077 invalidates the setup and puts the recent lows back in play. For traders who like asymmetric bets, this is the kind of setup that justifies a tight stop and a wide target.

The risk, of course, is that Bitcoin isn’t done punishing the market. If BTC loses $70,000, the correlation drag could pull HBAR right back down. Regulatory headlines or another round of ETF outflows could also sap risk appetite. But if the market stabilizes, HBAR’s relative strength could attract rotational flows from sidelined capital.

For those with a higher risk tolerance, a long entry on a confirmed break above $0.100, with a stop just below $0.090 and a target at $0.115, offers a clean risk-reward. Alternatively, aggressive traders could try to fade any failed breakout at $0.100, but that’s a tougher play given the velocity of the recent move.

Strykr Take

HBAR’s 20% rebound is the kind of price action that forces traders to pay attention, even if they don’t love the fundamentals. In a market starved for leadership outside of Bitcoin, this could be the first sign that altcoin rotation is back on the table. The setup is clean, the volume is real, and the risk-reward is asymmetric. Just keep your stops tight and your expectations realistic, this market still bites.

datePublished: 2026-02-07 20:15 UTC