Hedera HBAR slips nearly 10% after air is cleared on mistaken link with giant BlackRock
- HBAR price is down nearly 10% on Thursday, partly erasing gains inspired by the misinterpreted link with BlackRock.
- Despite the recent correction, Hedera’s price is up 44% in the past seven days.
- HBAR Foundation’s partner Archax shed light on the confusion regarding BlackRock’s fund tokenization on the Hedera ecosystem.
Hedera (HBAR) lost 10% of its value on Thursday reversing some of the massive gains seen on Tuesday on false news of association with asset management giant BlackRock. While social media was abuzz with claims that BlackRock chose Hedera to tokenize its ICS US Treasury money market fund, he asset manager denied its tokenization partnership with Hedera Hashgraph.
Hedera HBAR slips down after misinterpretation of BlackRock’s involvement
On Tuesday, the HBAR Foundation announced that BlackRock’s ICS US Treasury money market fund (MMF) is tokenized on Hedera. While the project mentioned Archax and Ownera in its announcement, it was misinterpreted as BlackRock choosing Hedera to tokenize its $22 billion MMF.
The misinterpretation ushered a rally in HBAR, resulting in more than 100% gains on Tuesday. The air was cleared when the asset management giant confirmed it has “no commercial relationship” with Hedera and that it did not choose the Hedera Hashgraph to tokenize any BlackRock funds, including shares of its $22 billion money market fund.
Archax, HBAR Foundation’s partner, came forward with its explanation.
(1/18) Fund tokenisation, a thread (which may help with some confusion). Let me set the scene – and please stay with me to the end...@archaxex is an FCA regulated broker, custodian and exchange, and registered cryptoasset provider in the UK.
— Graham (@Grodfather) April 24, 2024
HBAR price is up 44% in the past seven days, but wiped out nearly 10% of its value in the past 24 hours. At the time of writing, HBAR is exchanging hands at $0.1131.
HBAR wipes out gains from misinterpreted announcement
HBAR broke into a massive rally when news of Hedera’s association with BlackRock was misinterpreted by market participants. With the air cleared, HBAR’s price is losing its value, down from Wednesday’s top of $0.1817 to $0.1131 at the time of writing.
Despite the recent decline, HBAR price is up 44% in the past seven days.
HBAR/USDT 1-day chart
Author
Ekta Mourya
FXStreet
Ekta Mourya has extensive experience in fundamental and on-chain analysis, particularly focused on impact of macroeconomics and central bank policies on cryptocurrencies.
