Hyperliquid Surges Past Sui in Market Cap: HYPE Token Ready to Breakout?
The decentralized exchange token gains 11% in 24 hours while analysts eye potential 240% rally following similar technical patterns to SOL's
Quick overview
- Hyperliquid's native token HYPE has surged 11% in the past 24 hours, reaching an all-time high of $38.68 due to increased activity on the Hyperliquid DEX.
- The token has shown a remarkable 270% return since April, with trading volumes skyrocketing to $570.5 million, indicating strong market confidence.
- Technical analysis suggests HYPE may follow a breakout pattern similar to Solana's, with potential price targets of $51.68 and even $128 based on Fibonacci extensions.
- Recent whale activity and record-breaking open interest levels in the Hyperliquid ecosystem further support HYPE's bullish momentum.
Trading above $38, Hyperliquid’s native token HYPE shows an amazing 11% increase in the past 24 hours, therefore supporting its ranking among the most followed DeFi coins on the present market cycle. Just days earlier, the rally has driven HYPE toward an all-time high of $38.68 as the token gains from unprecedented levels of activity on the Hyperliquid DEX.
The recent price movement shows HYPE’s resiliency and rising market confidence in the Hyperliquid ecosystem as it reflects a continuation of its amazing 270% return from April lows about $10. Along with price increase, trading volume has skyrocketed; daily volumes on Saturday, at $570.5 million, surpassing monthly lows of just $78 million previous in May.
HYPE/USD Technical Analysis Points to Solana-Style Breakout
Most importantly, HYPE’s present price structure is quite similar to Solana’s (SOL) breakout pattern from early 2021, which preceded a significant 300% surge turning SOL from a quite unknown altcoin into a top-tier cryptocurrency.
There are strong technological parallels. Solana broke sharply above important Fibonacci retracing levels in January 2021, setting off a vertical climb as SOL jumped from around $4.90 to $19 in under two months. Following its own consolidation phase, HYPE just reached a similar milestone on May 23, surpassing its 1.0 Fibonacci retracing level at about $35.88.
Based on current technical signs, HYPE may be starting the early phases of an equivalent explosive movement. Reflecting Solana’s RSI profile during its 2021 breakout, the Relative Strength Index (RSI) has entered very overbought area over 84. This indicates the strength of the present momentum even while it also calls for some temporary prudence.
Ambitious Price Targets Based on Fibonacci Extensions
Technical experts have found many important pricing targets if HYPE keeps following its fractal pattern. Target immediately is the 1.618 Fibonacci extension level close to $51.68, which is about a 35% upside from present levels. But the more ambitious aim is at the 4.618 Fibonacci level around $128, which would be an amazing 240% movement from the current breakout zone close to $35.
After effectively maintaining above the $35.73 resistance level, short-term price action points HYPE to initially target $42.25. Moving steadily above this level might give the momentum required for the following leg higher toward the $50 psychological barrier.
Fundamental Drivers Support Technical Outlook
Beyond mere technical patterns, real fundamental changes inside the Hyperliquid ecosystem support HYPE’s surge. The platform has hit record-breaking open interest levels, crossing $1 billion for the first time in its history and currently resting at $1.2 billion. This shows rising institutional and whale involvement as well as great increase from past levels.
Ansem, a market analyst, has compared the concept of Hyperliquid with the early cooperation aims of Solana and FTX to underline that although Hyperliquid provides a low-cost, high-performance trading experience with a totally on-chain architecture. Importantly, around 97% of all trading income returns straight to HYPE token holders, therefore generating great underlying value for long-term investors.
Rising from $254 million in early April to $455 million right now, the platform’s total value locked (TVL) has also seen remarkable increase. Concurrent with this, DEX volume has increased from April lows of $42.67 million to peaks exceeding $590 million, therefore indicating the fast growing user base and trading activity of the platform.
Hyperliquid’s Whale Activity Supports HYPE Rally
Recent whale action has given HYPE more gasoline for her uprising. Two big whales bought tokens valued about $10 million at the $34 price point, which helped to create momentum and set off notable short sales. The market has witnessed almost $753,000 in short liquidations in the past 24 hours alone, compared to barely a third of that amount in long liquidations, suggesting bullish sentiment remains dominating.
One significant change occurred with trader James Wynn, who terminated a $1.2 billion Bitcoin long position and opened a similarly sized short position, so underscoring the high-stakes trading activity Hyperliquid supports and the platform’s rising standing among institutional players.
Hyperliquid (HYPE) Price Prediction
With the next significant goal at $42.25 and possibility for a move toward $50 in the following weeks, HYPE looks well-positioned based on current technical and fundamental analysis for continuous upside. If present momentum patterns continue, the longer-term fractal comparison with Solana shows even more ambitious targets around $128 could be reachable by July.
Traders should still be wary of the extremely overbought conditions and the possibility for profit-taking at important resistance levels, though. A failure to hold over $35.73 might cause a decline into $32.15 support; a more major fall below the 20-EMA could see the token drop to $28.50.
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