Analysts warn against buying Hedera (HBAR), calling it one of the biggest pitfalls for cryptocurrenc

Cryptocurrency YouTuber Crypto MindSet issued a strong warning that if the market\'s downtrend continues, buying HBAR at current prices could become a costly mistake. Crypto MindSet\'s YouTube channel has more than 36,000 subscribers. The analyst believes that HBAR\'s current price structure is similar to previous bear market cycles, and investors who bought too early have suffered huge losses. His opinion comes as Hedera is still trading below its previous cycle highs, even as the project continues to expand its corporate partnerships and web development.

Historical Price Trend Warning

Crypto MindSet constructed his argument based on HBAR\'s historical price performance. He claims that the current chart is similar to the pattern developed after Hedera peaked in 2021. The analyst pointed to the previous cycle: HBAR fell from about $0.60 to well below $0.01, followed by years of sideways consolidation. His main concern is that the recent rally has never hit a higher all-time high. Instead, he believed that Hedera had formed a lower high point and then turned downward again.

Crypto MindSet believes that this behavior shows that buyer demand has weakened compared to the previous cycle. In his view, investors buying HBAR in an active bear market risk enduring another long decline before any meaningful recovery begins. He also warned that a break below the long-term trend line could accelerate selling pressure. His analysis suggests that losing key support during 2026 could open the door to a new cycle low, but he admitted that holding trend-line support would weaken this bearish expectation.

Another important part of his argument focuses on timing. Crypto MindSet believes investors should avoid accumulating altcoins in bear markets. Instead, he argues that stronger opportunities often arise after prices stabilize and start long-term sideways trading before starting a new market cycle.

Strong fundamentals continue to support Hedera\'s long-term story

Crypto MindSet gives a strong bearish technical view, but Hedera\'s fundamentals are moving in the other direction. Hedera\'s management board includes major global companies such as Google, IBM and FedEx. These partnerships continue to support enterprise application scenarios such as real-world asset tokenization and supply chain solutions. Regulatory developments may also play an important role in HBAR. The proposed CLARITY Act will subject many digital assets to clearer regulatory rules. Favorable results may remove the uncertainty that prevents institutions from participating in the crypto space.

Another noteworthy development is Canary Capital\'s submission of a proposed spot HBAR exchange-traded fund application. Although approval remains uncertain, such products could eventually expand agency access to Hedera if regulators give the green light. Web development also continues, despite weak HBAR prices. Hedera completed the v0.74 main network upgrade in June 2026, introducing additional features designed to support enterprise supply chain applications.

Large investors also showed signs of activity. Before the recent decline, about $250 million worth of HBAR changed hands through over-the-counter transactions, the report showed. These purchases took place outside of public exchanges, reducing immediate selling pressure and may indicate that some institutional investors are continuing to build positions over an extended period of time.

Multiple market factors continue to pressure HBAR prices

Hedera\'s recent weakness cannot be explained solely by the project\'s own development. The broader cryptocurrency market remains under pressure after its total market value fell by about 1.79%. Bitcoin exchange-traded funds recorded new inflows on July 6, but analysts continue to portray the broader recovery as fragile as U.S. demand remains weak and macroeconomic uncertainty continues to cloud financial markets. This environment makes many altcoins, including HBAR, more susceptible to overall market sentiment rather than project-specific news. Another problem is the lack of a major catalyst specifically targeting Hedera. Recent market data shows that no major cooperation announcements, ecosystem breakthroughs or security incidents can drive independent price movements. Market sentiment remains relatively balanced, making HBAR mainly influenced by Bitcoin and overall cryptocurrency market conditions.

Technical indicators also show that Hedera is approaching an important decision point. HBAR recently tested key Fibonacci support at around $0.0685. Current immediate resistance is close to the 7-day simple moving average of about $0.0733.

HBAR Price Chart/ TradingView.com

The Relative Strength Index (RSI) remains close to 41. This reading puts HBAR in a relatively weak range, although it does not indicate an extremely oversold condition. Another event may quickly affect the next step. The upcoming U.S. Consumer Price Index report to be released on July 14 may affect market expectations for future Fed policies. More moderate inflation data could improve investor sentiment in risky assets. Higher-than-expected inflation may put new pressure on cryptocurrencies, including Hedera.

FAQs

What is the purpose of HBAR tokens? HBAR is the native cryptocurrency of the Hedera network. It serves as fuel for the network, used to pay for transaction fees, file storage and smart contracts, and can also be used for pledge to ensure network security. Hedera is designed to be an ultra-fast, low-cost enterprise-class network governed by major organizations around the world.

Can HBAR reach US$1? Yes, reaching $1 for HBAR is mathematically possible and considered by analysts to be a realistic goal, but it requires a huge shift in the market.