Date: Sat, March 22, 2025 | 07:46 AM GMT
The crypto market is showing mixed signs of a rebound as Ethereum (ETH) has bounced back with a 3.58% weekly gain and is now trading at $1,986—a promising shift after a choppy start to March. As overall sentiment gradually improves, the Internet of Things (IoT) token Helium (HNT) is also drawing attention. After facing a sharp downtrend following its strong late-2024 rally, HNT is now hinting at a possible turnaround.
Over the past 90 days, HNT has plunged more than 50%, reflecting the broader market weakness. However, this week, the token has gained over 11%, indicating a shift in momentum. With price action improving and technical indicators aligning, a potential recovery rally could be on the horizon.
Testing Key MA Resistance
Looking at the daily chart, HNT has undergone a significant correction—over 75% since being rejected at the $10.00 resistance level on December 16, 2024. This bearish pressure dragged the price down to a critical support zone near $2.32, where buyers stepped in to hold the line.
Now, HNT has rebounded to $3.30 and is testing a key barrier—the 50-day Moving Average (MA), currently near $3.33. This level holds significant weight, as it has historically acted as a major pivot point.
Interestingly, a similar pattern played out in mid-2024, where HNT bounced from a support zone and broke above the 50-day MA, which then led to an explosive 191% rally, pushing prices towards the $10.00 range again. The chart highlights this move clearly, with a massive rally that followed the breakout from the MA zone.
What’s Next for HNT?
Currently, HNT is forming a comparable technical setup. The price is once again rising from a major support region, and testing the 50-day MA. If HNT manages to break and close convincingly above this level, it could signal a bullish reversal, potentially attracting fresh buying interest and fueling a rally.
Immediate resistance levels to watch post-breakout would be around $3.96, followed by the 100-day MA near $4.64. A move above both these levels could pave the way toward a more extended recovery phase.
The MACD indicator is also turning positive, hinting at a shift in momentum that could support a continued upward move if buying pressure sustains.
Final Thoughts
If HNT clears the 50-day MA hurdle, the token could kick off a fresh recovery rally, similar to the breakout witnessed in the past. However, failure to breach this level might keep the token ranging sideways or even retesting the lower support zone.
For now, all eyes are on how HNT performs around the current resistance zone. A breakout here could be the first major sign of trend reversal, with a potential medium-term upside in sight.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. Always conduct your own research before investing in cryptocurrencies.