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Hedera (HBAR) is catching everyone’s attention as it shows strong signs of growth, climbing closer to the $0.12 mark. This sudden surge has sparked excitement among investors and crypto enthusiasts, making many wonder: What’s driving this momentum? In this article, we’ll break down the key factors behind HBAR price rise and explore what this could mean for its future!
How has the Hedera (HBAR) Price Moved Recently?
Hedera Hashgraph (HBAR) is currently priced at $0.115975, with a 24-hour trading volume of $2.20 billion. It holds a market cap of $4.15 billion and a market dominance of 0.13%. Over the past 24 hours, the price of HBAR has surged by an impressive 35%.
HBAR price reached its peak on September 15, 2021, hitting an all-time high of $0.567001. On the other hand, its lowest price was recorded on January 2, 2020, at just $0.00988. Since its peak, the lowest point has been $0.035755 (cycle low), while the highest recovery price since that low was $0.179297 (cycle high). The current market sentiment for HBAR remains bullish, with the Fear & Greed Index indicating a state of "Extreme Greed" at 83.
Hedera Hashgraph has a circulating supply of 35.75 billion HBAR out of a maximum supply of 50 billion. Over the last year, the supply increased significantly by 141.02%, with 20.92 billion new HBAR tokens created.
Why is Hedera (HBAR) Price up?
The recent surge in Hedera price can be attributed to heightened market optimism surrounding the announcement of an HBAR ETF by Canary Capital Group. The filing of an S-1 registration statement with the U.S. Securities and Exchange Commission (SEC) on November 12 indicates plans to launch an exchange-traded fund that directly tracks the value of HBAR, the native cryptocurrency of the Hedera network.
This development has likely fueled investor confidence, as the ETF provides a regulated and structured avenue for institutional and retail investors to gain exposure to Hedera price, potentially increasing its demand.
The proposed HBAR ETF marks a significant step toward legitimizing and mainstreaming HBAR as a digital asset. By offering direct exposure to HBAR without relying on derivatives or futures, Canary Capital’s ETF highlights a commitment to transparency and aligns with the growing preference for simpler and more secure investment vehicles.
This could attract both institutional and retail investors, as many have been seeking reliable ways to invest in cryptocurrencies amidst evolving regulatory landscapes.
Moreover, the timing of this filing may signal strategic anticipation of regulatory changes under the new U.S. administration. Nate Geraci’s comments underscore a potential wave of aggressive crypto-related ETF applications, reflecting the industry’s optimism about favorable policy shifts. This anticipation has likely created a bullish sentiment around HBAR, driving its price upward as market participants position themselves ahead of potential approval.
If the HBAR ETF secures approval, it could catalyze a broader adoption of HBAR, elevating its market visibility and liquidity. The ease of access offered by an ETF could encourage institutional investors, who are typically cautious about direct crypto investments, to diversify into HBAR.
Additionally, retail investors may find the ETF a convenient way to participate in the Hedera ecosystem without navigating the complexities of cryptocurrency exchanges.
The unique governance model of the Hedera network, supported by a council of prominent organizations, also bolsters HBAR’s appeal. This structure ensures security, compliance, and decentralized decision-making, which could enhance trust among potential investors. As the network continues to grow its use cases—such as powering decentralized applications and facilitating efficient transactions—the demand for HBAR may rise further, strengthening its price trajectory.
The announcement of the HBAR ETF has created a positive ripple effect in the market, boosting the token's value. While the immediate price surge reflects excitement and speculative interest, the long-term impact will depend on the ETF’s approval and subsequent investor adoption. If successful, this could mark a transformative moment for HBAR, paving the way for sustained growth and solidifying its position as a key player in the cryptocurrency space.