Helium, a blockchain-based network designed for the Internet of Things, experienced a price surge of 12% on Aug. 13 morning, making it one of the leading gainers in the crypto market.
At the time of writing, Helium (HNT) was exchanging hands at $6.79 per price, according to data from crypto.news. The crypto asset’s daily trading volume jumped by 56%, hovering around $25.2 million, while its market cap stood at $1.14 billion, ranking it 65th among the top largest cryptocurrencies.
The token’s price has jumped by 20% since its drop to $5.66 yesterday, when Bitcoin fell by 4%, and the global crypto market witnessed a slump with over $156.4m 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.
Helium Inc., established in 2013, has developed a global decentralized blockchain network that supports wireless communication for IoT devices. This network offers a scalable and cost-effective alternative to conventional telecom services by allowing individuals to set up network points through Hotspots.
The latest surge follows Helium’s partnership with two major U.S. carriers. These carriers are conducting trials to offload their mobile traffic to the Helium Network, potentially leading to a shift towards a more decentralized network infrastructure.
Helium is currently trading at $6.7722, notably above the middle Bollinger Band of $5.3779. This positions it near the upper band at $7.0302, suggesting a significant upward movement within its trading range.
The approach toward the upper limit indicates potential signs of an overbought condition, yet the proximity to this band also points to strong bullish momentum. This pattern may suggest further room for price increases before facing any substantial resistance or a potential pullback.
Additionally, the Relative Strength Index, standing at 66.24, edges closer to the overbought threshold of 70, hinting that a retracement could be imminent as market conditions become stretched.
Nonetheless, market analysts continue to be bullish about Helium’s future potential.
In an Aug. 13 X post, an analyst going by the moniker Decilizer 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 $8.3 in the short term.
Helum’s jump in price may also be influenced by the general uplift in the crypto market, led by Bitcoin’s (BTC) 6.5% increase over the last week.
On Aug. 13, Bitcoin traded at $59,456, with its price ranging from $58,015 to $60,499 within 24 hours. Moreover, the total market capitalization of cryptocurrencies has risen by 1.9% in the last day, reaching $2.19 trillion.