HBAR Surges Over 104% in a Month: What’s Behind the Hedera Rally?

·

Hedera’s native token, HBAR, has recently surged past $0.38, peaking at $0.39 with a 24-hour gain exceeding 40%. More impressively, it has climbed over 104% in the past month, reclaiming price levels last seen in November 2021. While much of the crypto world focuses on Bitcoin ETFs or Solana’s resurgence, HBAR’s rally has flown under the radar — especially among newer market participants.

Yet this isn’t just another meme-fueled pump. The momentum behind HBAR stems from a combination of institutional interest, technological differentiation, and growing real-world adoption. Let’s explore what Hedera is, why HBAR is rising, and whether this momentum has room to grow.

What Is Hedera?

Hedera is a decentralized, open-source proof-of-stake (PoS) public blockchain that leverages a unique consensus mechanism known as Hashgraph, an asynchronous Byzantine Fault Tolerant (ABFT) algorithm. Unlike traditional blockchains that rely on blocks and miners, Hashgraph uses a directed acyclic graph (DAG) structure to achieve high throughput and fast finality without sacrificing security.

According to official data:

These performance metrics position Hedera as a strong contender for enterprise-grade applications where speed, cost-efficiency, and sustainability matter.

👉 Discover how high-performance blockchains are shaping the future of digital assets.

Developers can use Hedera to build across multiple use cases:

The network is governed by the Hedera Governing Council, composed of up to 39 term-limited, geographically diverse organizations. Founding members include tech giants like Google and Dell, as well as financial institutions such as abrdn. This governance model adds a layer of credibility and decentralization rarely seen in other Layer 1 platforms.

HBAR itself serves two core functions:

  1. Paying network fees for transactions and smart contract execution
  2. Staking in the PoS system to secure the network and earn rewards

With a total supply capped at 50 billion HBAR, current circulation exceeds 38.19 billion, giving it a circulating market cap of approximately $13.28 billion — placing it among the top 20 cryptocurrencies by market value.

At first glance, Hedera may seem like just another established Layer 1. But recent developments suggest there's more beneath the surface.

Why Is HBAR Rising? 4 Key Drivers Behind the Rally

Despite being launched back in 2019, HBAR has remained relatively under the radar — until now. Its recent surge isn’t solely due to ETF speculation. Several converging factors are fueling investor confidence.

1. Undervaluation Relative to Peers

While ETF applications for Solana (SOL), XRP, and Litecoin (LTC) have drawn massive attention, Canary Capital’s filing for a spot HBAR ETF in November passed quietly. Yet HBAR outperformed them all over the past month:

Despite this strong performance, HBAR still lags behind other mid-tier Layer 1s in market capitalization — ranking below Polkadot (DOT). This disconnect suggests potential undervaluation, especially given its enterprise adoption and institutional backing.

Notably, Canary Capital had already launched the HBAR Trust in October — a precursor to an ETF — targeting accredited investors in the U.S. Steven McClurg, CEO of Canary Capital and former CIO of Valkyrie Funds, stated this move was explicitly designed to pave the way for a future ETF.

This institutional validation has not gone unnoticed by savvy investors looking for asymmetric opportunities.

2. Regulatory Optimism: A Pro-Crypto SEC on the Horizon?

Market sentiment is increasingly influenced by expectations around U.S. regulatory shifts. According to Kalshi prediction markets, Brian Brooks — a known pro-crypto figure and former Acting Comptroller of the Currency — has a 20% chance of becoming the next SEC Chair if Donald Trump wins the 2024 election.

While Paul Atkins remains the frontrunner (70% probability), even speculative optimism is enough to move markets. A Brooks-led SEC could signal a dramatic policy shift toward embracing digital assets — potentially accelerating approvals for altcoin ETFs, including HBAR.

FOX Business reporter Eleanor Terrett noted that Trump may announce his SEC nominee as early as tomorrow. Whether or not Brooks gets the nod, the mere possibility has helped sustain bullish momentum in lesser-known but fundamentally sound projects like Hedera.

👉 Stay ahead of regulatory shifts impacting crypto markets today.

3. Real-World Adoption Grows

Hedera isn’t just theoretical — it’s being used. Official reports confirm that over $50 million worth of real-world assets have already been tokenized on the network. Notable clients include:

Steven McClurg emphasized that Hedera represents the kind of scalable enterprise technology capable of bridging crypto with traditional finance — a vision gaining traction as RWA tokenization becomes a major narrative in 2025.

As global institutions seek compliant, efficient platforms for digitizing assets, Hedera’s permissionless yet governed architecture offers a compelling middle ground.

4. Strong Demand from South Korean Markets

Exchange data reveals unexpected strength in regional trading activity. On Bithumb, one of South Korea’s largest crypto exchanges, HBAR’s 24-hour trading volume hit $1.43 billion — surpassing even Bitcoin’s volume on the same platform and exceeding HBAR’s volume on Upbit.

This mirrors trends seen with XRP, which also enjoys strong retail support in Korea. The data suggests that Korean investors are increasingly viewing HBAR as a strategic altcoin play — possibly driven by local media coverage, exchange listings, or community-driven speculation.

FAQ: Your Questions About HBAR and Hedera Answered

Q: Is Hedera a blockchain or a DAG?

A: Hedera uses a blockchain-like structure powered by Hashgraph, which is a DAG-based consensus algorithm. While not a traditional blockchain, it provides similar functionality with faster finality and higher efficiency.

Q: Can HBAR be staked?

A: Yes. HBAR operates on a proof-of-stake model, allowing users to stake their tokens to help secure the network and earn rewards through transaction fee distribution.

Q: Why isn’t Hedera more popular despite its tech advantages?

A: Marketing and community size play big roles. Unlike Solana or Avalanche, Hedera hasn’t focused on aggressive ecosystem incentives or DeFi yield farming, which limits viral growth. However, its enterprise focus may lead to slower but more sustainable adoption.

Q: What are the risks of investing in HBAR?

A: Regulatory uncertainty around ETF approvals remains key. Additionally, while Hashgraph is patented (unlike open algorithms like Nakamoto consensus), this raises questions about long-term decentralization — though the council governance aims to mitigate centralization concerns.

Q: How does Hedera compare to Solana?

A: Solana prioritizes speed and developer activity; Hedera emphasizes stability, low cost, and enterprise compliance. They serve different niches — Solana for high-frequency apps, Hedera for regulated, mission-critical systems.

Final Thoughts: More Than Just an ETF Play

HBAR’s rally reflects more than just speculative ETF hopes. It highlights growing recognition of Hedera’s unique value proposition: a scalable, green, enterprise-ready public ledger backed by reputable institutions.

As the world moves toward tokenizing real-world assets — from bonds to carbon credits — networks like Hedera are well-positioned to become foundational infrastructure.

Whether or not the HBAR ETF gets approved in 2025, the underlying demand drivers — institutional interest, global adoption, and regulatory evolution — appear to be aligning.

👉 Explore next-gen blockchain networks powering the future economy.

For forward-thinking investors, HBAR might not just be catching up — it could be getting ready to lead.

Core Keywords:
HBAR price surge, Hedera blockchain, HBAR ETF application, real-world asset tokenization, Hashgraph consensus, enterprise blockchain, proof-of-stake network