Helium (HNT) jumped 88% on August 29 to trade at $0.42 after the city of Celina, Texas adopted the Helium network for public WiFi coverage. A short squeeze added fuel to the rally, pushing trading volume up more than 1,000% and dropping the token's weighted funding rate to -0.63%.
Helium's HNT token surged 88% on August 29 to trade at $0.42. Trading volume jumped 1,183% to $38.3 million, even as the futures market shows traders betting the rally will not hold. The move ranks among the seventh-biggest gains in the crypto market that day, according to CoinMarketCap data.
Celina, Texas adoption drives the rally
The main driver behind the gain is Celina's decision to convert its city-wide WiFi networks into carrier coverage on the Helium network, a move that will let the network support connectivity for businesses and public places across the city. Buy-side volume surged as traders bet the deal boosts Helium's long-term outlook, coming as Texas continues to expand its embrace of crypto.
Low weekend liquidity amplified the price swing further.
Short squeeze adds fuel to the move
The rally also triggered an aggressive short squeeze. Short sellers piled into the token after it jumped from $0.21 to $0.43 within hours, betting the gains would not last. That crowding pushed Helium's weighted funding rate to -0.63%, a sign short sellers are paying higher fees just to keep their positions open.
CoinGlass data shows Helium posted $125,000 in short liquidations, the largest single-day short squeeze the altcoin has recorded in 2026. Trading volume climbed 2,600% to $50 million. Open interest rose 556% to $15 million over the same period.
Overbought signals cloud the outlook
The one-day chart shows HNT is now overbought, with the rally coinciding with a broader bullish crypto market after Bitcoin broke $80,000. An RSI reading of 85 confirms the overbought status, though the metric is still tipping higher, suggesting momentum has not faded yet.
A rising ADX line points to a strengthening uptrend, but HNT has already slipped below its intraday high of $0.44 on profit-taking. A close above that resistance could open the door to the 327.2% Fibonacci extension at $0.53. If selling pressure builds instead, HNT could retreat to the 61.8% Fibonacci support at $0.23.
Source: CoinGape
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