HYPE, the native token of decentralized perpetuals exchange, Hyperliquid slipped another 9.13% during Monday to hit the $26.28 mark. The downswing followed broader market sell-off as U.S. president Donald Trump raised the global tariff from 10% to $15% despite the Supreme Court ruled tariffs illegal just last week. In addition, the falling HYPE price gives a decisive breakdown below the bottom trendline of a descending triangle.
The crypto market experienced a sudden sell-off which pulled its market capitalization down 1.65% to hit $2.2 trillion. Following this momentum, the Bitcoin price drops 4.41%, while the Ethereum price loses 5.19% to trade at $1,845.
A primary catalyst to this downswing can be attributed to macroeconomic factors as Trump announced a global tariff increase from 10% to 15%. In addition, the market has been under pressure since last week, amid military tension between Iran and the U.S., steady outflow from spot BTC ETFs, and expected delay in passing of the Clarity Act.
As a result, the HYPE price dropped 9.13% today to trade at $26.2.
Amid this drop, a Hyperliquid trader identified by wallet 0x082e, which has long been considered one of the most committed yHYPE bulls, currently has an unrealized loss of $17.47 million on a leveraged long position of 1.38 million tokens, with a position valued at around $35.9 million.
On-chain records monitored by Lookonchain show that the address deposited 2.4 million USDC into margin on the platform earlier today, which prevented the forced closure of the position immediately and resulted in the liquidation price dropping to $23.91.
This adjustment arrives in the midst of the HYPE trading in the mid-$26 range – around $26.17 to $26.36 as of the latest market data – leaving the setup exposed for further declines in the face of broader volatility in the perp markets.
Over the past three weeks, the Hyperliquid coin price has been consolidating around the $30 level. The daily chart showed a wide swing in either direction with no sustainability for either side.
Dispute wavering in uncertainty, the coin price resonating strictly within a firm horizontal support at $27.85 and a downsloping slope acting as dynamic resistance. With today’s market drop, the HYPE price gave a decisive breakdown below the pattern’s neckline support.
However, in the 4-hour chart, the momentum indicator RSI dives to the oversold region at 26%. The drop may encourage a swing to the asset breached trendline and test it as a potential resistance. If the breakdown sustains, the HYPE price could extend its downtrend another 10% to $23.5.
On the contrary, if the anticipated retest enters the triangle range the proper breakdown would invalidate.
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