Hyperliquid (HYPE) Drops 6% to $45 Amid Bearish Momentum
Hyperliquid (HYPE) experienced a 6% intraday decline, stabilizing around $45–$46. Despite bearish momentum, indicators suggest a potential rebound to $55–$60 if key supports hold.
Market Signals
- Futures: Long-to-short ratio dropped to 0.80, the lowest in over a month, indicating defensive positioning by traders.
- Technical Indicators: Daily RSI near 45 and MACD shows bearish trends, with $39–$40 as major support if selling continues. Resistance identified at $51–$52.
Bullish Signals for HYPE
- Spot activity is stable with consistent defense of mid-$40s, historically leading to continuation moves.
- Token staking exceeds 660,000 HYPE, reducing supply. Buybacks further support price stability.
- Protocol fee revenue remains strong at $3 million/day despite new competitors.
- Community sentiment suggests potential recovery to $55–$60 if short-term breakdown areas are reclaimed.
Trading Levels
- Current trading range: $44–$49. A close above $49 could target $52, then $55–$60.
- Failure to maintain $46–$47 may lead to a retest of $44, with risks extending to $39–$40.
- Monitoring funding, liquidations, and spot buying versus shorts is crucial for evaluating recovery chances.
Despite competition and temporarily shifted volumes, Hyperliquid maintains strong open interest and fee traction, indicative of lasting liquidity presence.