Helium, a blockchain-based network designed for the Internet of Things, experienced a price surge of 12% on Aug. 10 morning, making it one of the leading gainers in the crypto market.
At the time of writing, Helium (HNT) was still up 10%, exchanging hands at $6.5 per price data from crypto.news. The crypto asset’s daily trading volume jumped by 9%, hovering around $29.7 million, while its market cap stood at $1.1 billion, ranking it 68th among the top largest cryptocurrencies.
The token’s price has jumped by 80% since its drop to $3.65 on Aug. 5, when the crypto and stock markets crashed, leading to over $1 billion in liquidations.
Despite its recovery to levels last seen on March 21, HNT is still down 88% from its all-time high of $55.2 recorded in November 2021.
Founded in 2013 by Helium Inc., Helium enables wireless communication for IoT devices worldwide through its decentralized blockchain network. This model provides a scalable and affordable alternative to traditional telecom services by empowering individuals to host network points using Hotspots.
The latest price jump comes following an Aug. 9 announcement from Helium that two major U.S. carriers have started testing to offload their traffic onto the mobile network.
— Helium🎈 (@helium) August 9, 2024Carrier Has Arrived 👀🥁
2 large US carriers have initiated tests to offload their traffic onto the @Helium MOBILE Network, and the results are lighting up the charts!
Decentralized networks are here to support existing telcos, and the big players are in. Let's go! 🔥 pic.twitter.com/h2qIEkRGML
According to charts, approximately 307,860 subscribers from these carriers are participating in the beta offload program.
The participation of these major carriers emphasizes the potential of decentralized infrastructure, with initial results showing promising trends, as demonstrated by the impressive performance metrics reflected in the charts.
Helium could see a reversal from current highs
Notably, Helium’s latest price positions it above the upper Bollinger Band at $6.4100, the middle band at $5.1526, and the lower band at $3.8953.
This suggests that HNT has experienced a substantial rise to step outside the typical upper limit of its trading range.
While the price surging past the upper Bollinger Band might indicate initial signs of an overbought condition, the extent to which it has exceeded this band typically signals a strong bullish momentum.
This could suggest that there might be additional room for growth before encountering resistance or a possible retracement.
Additionally, the Relative Strength Index is currently at 69. This indicates that the cryptocurrency may soon reach the overbought level, suggesting a potential retracement could be on the horizon.
However, market analysts remain bullish on Helium’s prospects.
In an Aug. 10 X post, analyst Javon Marks noted that Helium has broken out of its secondary setup, indicating a strong upward trend, which may lead to a potential jump in HNT to $52.76, with a potential rise of over 651%.
$HNT is flexing its muscles in the market today. Presently, it has validated its support at 4.07$ and is moving towards our subsequent target of 8.3$ with significant volume. Anticipating Bitcoin to stay bullish too.
— Decilizer (@decilizer) August 10, 2024
There's been a 680% gain gain on it in previous instances. pic.twitter.com/Dvfb8Omx22