Hedera’s HBAR Falls as Traders Ignore Wyoming Stablecoin Win
Hedera’s HBAR token closed Thursday lower after an early rally fizzled, with heavy selling pressure wiping out gains and overshadowing Wyoming’s decision to adopt the network for its state-backed stablecoin.
HBAR rose from $0.21 to $0.22 in the hours leading up to 14:00 UTC on Sept. 5, but momentum quickly reversed as volumes surged to 77.6 million, twice the daily average. A break below $0.22 at 14:16 UTC triggered stop-loss orders and institutional liquidations, sending intraday turnover to 6 million tokens in just two minutes.
The slump came despite Wyoming’s Stable Token Commission naming Hedera as the exclusive network for its Frontier Stable Token (FRNT). Officials highlighted Hedera’s speed and reliability in issuing a dollar-backed digital asset—one of the clearest signs yet of government-level support for the ledger.
Markets, however, remained unconvinced. HBAR has fallen 12% over the past month as retail interest wanes. On-chain metrics show social dominance sliding 55% to 0.74%, while the Smart Money Index dipped to 1.108, pointing to institutional pullback. Traders now look to $0.19 as the next major support level.
