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Hyperliquid (HYPE) extended its pullback for a fifth straight session on Tuesday, sliding about 6% intraday to the $45–$46 zone after a sharp rejection at a reclaimed trendline.
While near-term momentum has flipped bearish, several on-chain and market-structure cues still point to a potential rebound toward $55–$60 if buyers can quickly stabilize the price above key supports.
Derivatives Tilt Bearish, but Spot Holds the Line
Futures positioning has swung defensively, and according to Coinglass, the long-to-short ratio slipped to 0.80, its lowest in over a month, signaling traders are leaning short into weakness.
Momentum indicators echo the caution, daily RSI near 45 sits below the neutral 50 line, and MACD registered a bearish cross, both consistent with cooling trend strength.
Technically, HYPE failed a back-test of a broken ascending trendline and bled nearly 7% from Friday to Monday, with charts flagging $39–$40 as the next major support if selling accelerates. On the upside, $51–$52 is first resistance, where bulls likely meet clustered supply from recent breakdown levels.
Why Hyperliquid (HYPE) Bulls Still See $55–$60 on the Table
Despite the red prints, spot activity remains constructive. Hyperliquid has been defending the mid-$40s repeatedly, and prior consolidations above $45–$47 have preceded strong continuation moves.
HYPE's price trends to the downside on the daily chart. Source: HYPEUSD on Tradingview
Under the hood, token staking north of 660,000 HYPE ($30million) plus systematic buybacks are reducing circulating supply, creating a supportive backdrop when demand returns.
Meanwhile, protocol fee revenue around $3million/day underscores durable usage even as new perp-DEX competitors court volume with incentives. Community and analyst “fair-value” chatter continues to cluster around $55–$60, suggesting sentiment will likely flip quickly if price reclaims the short-term breakdown area.
Price Levels and Trade Map for the Week
The immediate trading point sits in $44–$49. A daily close back above $49 would neutralize the breakdown and open $52, then $55–$60 as momentum targets. Failure to hold $46–$47 invites a retest of $44, with a deeper flush risking the $39–$40 demand zone where dip-buyers may step in.
Market internals to watch: if funding stays orderly, liquidations remain contained, and spot-led buying outpaces leveraged shorts, the probability of a V-shaped recovery rises.
Macro context matters too. Perp-DEX market share is expanding industry-wide, and while rivals (e.g., Aster) have temporarily siphoned volumes, Hyperliquid still commands strong open interest and fee traction, key indicators of stickier liquidity.
Cover image from ChatGPT, HYPEUSD chart from Tradingview
