Hyperliquid (HYPE) is currently trading at $58.87, down 11.64%. Besides, the daily volume surged over 40% to $572.57 million. The volume spike during a selloff indicates an active battle between buyers and sellers at a critical level.
The token has broken below the $65–$66 resistance zone that previously acted as a floor. Moreover, losing that range puts $60 in light as the next line of defence, with $57.22 as the deeper target if sellers maintain control.
HYPE is sitting directly on a higher-timeframe support that has repeatedly attracted buyers. The rejection from the long-term descending trendline is consistent, and sellers have defended that level twice now. But sell-side momentum is not expanding the way it did during previous pullbacks.
The asset’s bulls need to reclaim the $65–$66 neckline with conviction. Also, this is the zone that flips the momentum from corrective to recovery. Until a definitive breakout occurs, all price bounces within this formation remain insignificant.
Elevated volume at key support levels is currently preventing a definitive bearish breakdown for Hyperliquid. If that demand zone holds and absorbs the remaining sell pressure, it could set up for a sharp recovery.
The active downtrend has the potential to retrace the Hyperliquid price toward the nearest support level at $57.36. If the bearish correction strengthens, it would trigger the death cross to emerge and send the price below $55.
Upon a reversal in HYPE momentum, the price could rise and immediately find the resistance at around $59.65. Assuming the golden cross takes place with the bulls reinforces their ground, the price would climb to the $61 mark.
Notably, RSI needs to stabilise, and MACD momentum needs to flatten before any serious trend reversal develops. The current structure does not support a bearish panic. However, a sustained bullish narrative requires a definitive breach of the descending trendline rather than a temporary intraday recovery.
Hyperliquid’s daily Relative Strength Index, positioned at 28.75, indicates an oversold market experiencing heavy short-term selling pressure. While an oversold RSI confirms strong immediate bearish momentum, the selling force could soon face exhaustion. As the macro trend remains bearish, the asset is deeply overstretched and highly primed for consolidation.
The Moving Average Convergence Divergence line of HYPE is below the signal line; sellers are accelerating the short-term downward price momentum. With both lines below the zero line, the long-term market structure is dominated by the bears. This is a definitive bearish continuation signal, showing a deeply rooted downtrend with aggressive underlying distribution.
Crypto Market Highlights
$1.43B in Bitcoin and Ethereum Options Expire: Will Traders Brace for the Next Move?
