Helium (HNT) has recently captured market attention with a week of consistent gains, culminating in a notable 10% surge within 24 hours. As its price nears a critical resistance level, investors are keenly watching underlying on-chain metrics to determine the sustainability of this bullish rally.
Underlying Strength from Holder Behavior
The recent price ascent in HNT appears to be underpinned by favorable shifts in investor behavior. A significant reduction in "sending addresses" over the past day suggests a substantial decrease in selling pressure, as a growing number of investors opt to hold their tokens, anticipating further price appreciation. This conviction aligns with Helium's long-term prospects. Furthermore, revenues accumulated by long-term holders have shown a steady increase in recent weeks, indicating growing network participation and a potentially stronger foundation for price stability and future bullish momentum, as holders may reinvest their gains.
The Critical Juncture: Volume and Resistance
Despite these positive on-chain signals, the path forward for Helium hinges on overcoming a key hurdle: trading volume. While recording modest gains over the last two days, current volume remains subdued compared to its prior multi-week decline. For HNT to decisively break past the immediate $1.71 resistance level and extend its rally, a sustained expansion in trading volume is crucial. Without robust market participation, resistance zones can often act as strong barriers. Should volume strengthen while selling pressure remains low, a breakout above $1.71 could propel HNT into a more extended upward trajectory, making a full recovery potentially a matter of time.
