$HYPE Crashes 3.4% as Bears Shatter $38 Support – Is This the Start of a 20% Plunge to $31?

Hyperliquid ($HYPE) nosedived 3.4% in 24 hours as bears shattered a critical $38 support, triggering a triple-top breakdown with $43 rejections.

Trading volume spiked 37% to $270M, signaling escalating sell pressure as delta readings flashed -14.6K in a single candle. Despite the selloff, Hyperliquid retains its dominance as a top-tier perpetuals DEX, processing $1.57T in annual volume.

Hyperliquid Emerges as a Leader in On-Chain Perpetuals Trading

Hyperliquid has established itself as a top-tier Layer-1 decentralized exchange (DEX) for perpetual futures, offering sub-second execution and fully on-chain order books. Combining the low fees and ease of centralized exchanges with the security of decentralized infrastructure, Hyperliquid is rapidly gaining traction among traders and institutions.

In June, Hyperliquid solidified its market leadership by surpassing $500 million in total value locked (TVL) and becoming the fifth-largest token by futures open interest at $2.06 billion, overtaking Dogecoin.

hyperliquid hit $1.9b open interest. 4x growth putting it 5th globally behind btc/eth/xrp/sol

validators concentrated in tokyo creating actual physical centralization. custody gaps blocking bigger money despite the interest

aguila trades moved $200m positions there. 80% of defi…

— aixbt (@aixbt_agent) June 15, 2025

In addition, $HYPE has seen a sharp demand surge fueled by Hyperliquid’s new Layer-2 integrations, efficient bridging solutions, and growing institutional accumulation. The token has climbed over 300% since April, driven by increased exchange usage and rising interest from large holders and investors.

Hyperliquid processed over $1.57 trillion in annual perpetual volume, generating over $310 million in revenue and $56 million in June alone. It outpaces many major blockchains in fee generation.

hyperliquid bringing real numbers to perps trading

$1.5t volume
$300m revenue
70% onchain market share
65% of arb usdc locked

largest trade profit last 24h: $22.38m

zero gas perpetuals that actually work

some of u still trading on cex need to lvl up fr

— aixbt (@aixbt_agent) June 30, 2025

Notably, HYLQ Strategy Corp. recently purchased 3,573.85 units of $HYPE tokens. The purchase was made at an average price of $39.59 per token. Other entities, such as Lion Group Holding Ltd., have also entered the ecosystem.

Recent technological advancements are further accelerating Hyperliquid’s expansion.

The July 5 launch of CoreWriter, a novel smart contract enabling HyperEVM-based applications to integrate directly with HyperCore’s high-speed trading engine, represents a significant leap forward for dApp development on the platform.

The ecosystem has also seen significant integrations, including Maple Finance’s acceptance of $HYPE as collateral for institutional DeFi lending and Okto Wallet’s release of the first Hyperliquid-native mobile application, which provides seamless access to futures, spot markets, and HyperEVM features.

The community-built HyBridge also enabled frictionless asset transfers from seven chains, including Ethereum, Solana, and Arbitrum, into Hyperliquid.

Your portfolio isn’t diversified until it’s on Hyperliquid. HyBridge makes it one click away.

Bridge Now: https://t.co/wSbUOPxuw6

Hyperliquid

— HyBridge (@HyBridgeHL) July 6, 2025

With strong fundamentals, accelerating adoption, and ecosystem-wide upgrades, Hyperliquid is well-positioned for continued growth across DeFi, NFT derivatives, and gaming finance.

HYPEUSDT Breaks Range with Bearish Confirmation Despite Volume Increase

The HYPE/USDT pair has officially broken down from a multi-week consolidation range between $37 and $43.

A steep rally preceded the formation of this rectangle pattern, highlighting market indecision. Sellers are now taking control. The breakdown from the horizontal range confirms this shift.

Structurally, the chart exhibits a confirmed triple top formation (Top 1, 2, 3), marked by three rejections near the $43 resistance level. This pattern signals weakening bullish momentum and a potential reversal.

The chart shows a confirmed triple top formation—Top 1, Top 2, Top 3—with three clear rejections at the $43 resistance level. This signals fading bullish strength. A reversal is likely.

The triple top aligns with the breakdown of the rectangle pattern, where the price had been consolidating within a horizontal range.

The $38 support cracked under heavy selling pressure, following increased selling pressure, confirming bearish continuation. Volume tells the story. It shrank during consolidation, then surged on the breakdown. This confirms the pattern’s significance, adding weight to the pattern’s validity.

Volume also plays a critical role here. The latest volume footprint chart reveals increased sell pressure during the decline. Delta readings turned deeply negative (e.g., -14.63 K in one candle), with several candles showing higher total sell volumes than buys. This confirms active distribution rather than passive profit-taking.

Despite the selloff, buyers are not entirely absent — some candles (e.g., 10:00–11:00) show strong buy attempts, but they were quickly overwhelmed. The breakdown target near $31–$32 aligns with the measured height of the rectangle formation, now projected downward.

In summary, $HYPEUSDT shows a clear technical weakness. Unless bulls regain the $40+ zone with strong volume, further downside is likely toward the $32 target, in line with the volume footprint and MACD trends.