HBAR Price Doubles on Misunderstood BlackRock News
The Hedera network's native cryptocurrency, HBAR, experienced a dramatic increase in its value, surging as much as 100% following a misinterpreted announcement that suggested BlackRock, the world's largest asset manager, was involved in tokenizing its money market fund on the Hedera blockchain. In reality, the tokenization project was undertaken by Archax and Ownera, two blockchain trading and infrastructure firms, without direct involvement from BlackRock. Despite the initial confusion, which led to significant price volatility, HBAR's price rose to a peak of $0.18, surpassing the $0.15 mark for the first time in two years.
The surge in HBAR's value was accompanied by a massive spike in trading volumes, which increased by over 5000% to $2.3 billion. This event has highlighted the growing institutional interest in the blockchain sector for asset management. Nevertheless, analysts have cautioned investors about the potential for price corrections and have pointed to the Relative Strength Index (RSI) as a technical indicator to watch for further price movements.
Amid the market excitement, the Hedera Global Governing Council approved the allocation of 4.86 billion HBAR for network development, further indicating ongoing support and expansion plans for the network. Despite the recent retraction in price due to the initial misunderstanding, the long-term outlook among Hedera supporters remains optimistic.
