Helium, a blockchain-based network designed for the Internet of Things, saw its price surge by 12% on the morning of August 10, making it one of the leading gainers in the cryptocurrency market.
At the time of writing, Helium (HNT) is still up 10%, trading at $6.5 per coin, according to crypto.news data. The crypto asset’s daily trading volume is up 9%, hovering around $29.7 million, while its market cap stands at $1.1 billion, ranking it as the 68th largest cryptocurrency.
The token’s price has jumped 80% since falling to $3.65 on August 5, when cryptocurrency and stock markets crashed, liquidating more than $1 billion.
Despite recovering 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, Helium Inc. is enabling wireless connectivity for IoT devices worldwide through its decentralized blockchain network. This model provides a scalable and affordable alternative to traditional telecommunications services by enabling individuals to host network nodes using hotspots.
The latest price increase comes after Helium announced on August 9 that two major U.S. carriers had begun testing the transfer of their traffic to the mobile network.
According to the charts, about 307,860 subscribers from these companies are participating in the pilot discount program.
The participation of these major carriers underscores the potential of decentralized infrastructure, with initial results showing promising trends, as evidenced by the impressive performance metrics reflected in the graphs.
Helium may see a reversal from its current high levels.
It is worth noting that the latest price of Helium places it above the upper Bollinger band at $6.4100, the middle band at $5.1526, and the lower band at $3.8953.
This indicates that HNT has seen a significant surge outside the typical upper limit of its trading range.
Although a price breakout beyond the upper Bollinger band may indicate initial signs of overbought conditions, the extent to which it has broken beyond this band usually indicates strong bullish momentum.
This may indicate that there may be further room for growth before facing resistance or a potential pullback.
Additionally, the Relative Strength Index is currently at 69. This suggests that the cryptocurrency may soon reach an overbought level, indicating that a potential pullback could be on the horizon.
However, market analysts remain optimistic about Helium’s prospects.
On August 10 mailAnalyst Javon Marks noted that Helium has broken out of its secondary setup, indicating a strong uptrend, which could lead to a potential jump in HNT to $52.76, with a potential upside of more than 651%.