Will Hedera (HBAR) Reach $1? (Mathematical Prediction)

What is Hedera (HBAR)? 

Hedera (HBAR) is a decentralized ledger designed for businesses.  Unlike traditional blockchains, it uses a newer consensus method called Hashgraph, which lets it process thousands of transactions every second at a minimal cost. 

HBAR is governed by established institutions like Google, IBM, Boeing, and Arrow Electronics. Each member has a fixed-term vote to ensure no single group can dominate decision-making. This helps give Hedera’s users trust in the system. 

In recent years, HBAR has partnered with AI companies like NVIDIA. Because of its governing structure, fast speeds, and transparency, it’s a great choice for AI applications to store data. 

Can HBAR really reach $1?

HBAR currently trades around $0.23, with ~42.4 billion tokens in circulation. A $1 price implies a market cap of about $42 billion. 

Comparisons today:

• Bitcoin: ~$2.3 trillion‍
• Ethereum: ~$0.5 trillion‍
• Total crypto market: ~$4 trillion
• Hedera (today): ~$10 billion
  

In other words, $1 HBAR would mean a 4× jump. While this is well within the realm of possibility, it would require a significant surge of demand for HBAR. 

Why Is HBAR's price moving? 

• Company partnerships: Partnerships with NVIDIA show that  Hedera is a trusted ledger for sensitive data and AI companies. NVIDIA uses Hedera to produce cryptographic attestations or ‘certificates of trust’ for AI computations. This could be valuable for AI businesses who need these certificates for regulatory compliance. 
• Bank partnerships: The Reserve Bank of Australia is piloting a central bank digital currency (CBDC) on HBAR. It’s possible that in the years to come, more central banks will explore partnering with Hedera. 
• Governance: HBAR’s unique governance model helps to lend it credibility. 
• Crypto-friendly policies: The Trump Administration has pushed crypto-friendly policies in the US. This has helped legitimize the cryptocurrency industry, and made companies more likely to explore crypto solutions like HBAR. 

Why isn’t HBAR’s price soaring? 

While HBAR has benefitted from the recent crypto-friendly environment, it hasn’t soared in price like other cryptocurrencies. Here are a few reasons why: 

• Most of HBAR’s activity comes from businesses. Retail investors don’t use HBAR often, which leads to less speculation. 
• HBAR faces heavy competition from other blockchains. Companies often choose to partner with other blockchains with more established developer ecosystems.
• HBAR’s price growth is dependent on continued use from businesses.
• Some investors may believe that HBAR’s governance model is against the ‘decentralized’ ethos of the cryptocurrency ecosystem.

Should I invest in HBAR? 

HBAR is best for investors who believe that crypto technology will be used by large companies and AI businesses. It’s less appealing for investors who are looking for a short-term return or value decentralization. 

Conclusion

HBAR’s bull case is mainly rooted in whether it is adopted by businesses. It’s possible that if it becomes the default ledger for AI and corporations, it may be able to reach $1.