hype

Hyperliquid’s native token HYPE is back on traders’ radar after recovering from a recent correction. Following a pullback driven by large token unlocks, profit-taking, and whale activity, buyers have started stepping back into the market.
Sentiment was also heavily influenced by recent moves from prominent investor Arthur Hayes. His earlier liquidation of HYPE positions contributed to market weakness, while his subsequent purchases helped restore bullish confidence.
Technical indicators now suggest that the recovery may still have room to run. Some analysts are even highlighting the possibility of a major short squeeze that could send the token significantly higher in the coming weeks.
HYPE Maintains Its Bullish Structure
Despite recent volatility, the broader technical picture remains constructive.
HYPE continues to trade within a well-defined ascending channel that has guided the uptrend for months. The recent decline appears more like a healthy retest of support rather than a breakdown in market structure.
After bouncing from the lower portion of the channel, the token is attempting to regain momentum and move back toward the channel’s midpoint. If buyers maintain control, analysts believe the broader uptrend could remain intact.
Another encouraging signal comes from the Relative Strength Index (RSI), which has cooled into neutral territory after previously approaching overbought conditions. This reset suggests that excessive bullish momentum has been flushed out, potentially creating room for another upward move.
Key Resistance Zone Remains Critical
The most important resistance area currently sits between $70 and $75.
This region previously attracted strong selling pressure and halted HYPE’s advance. A decisive breakout above this zone would likely confirm renewed bullish momentum and attract additional buying interest.
On the downside, the $58–$60 range continues to serve as a critical support level. As long as HYPE remains above this area, the bullish outlook remains largely intact.
However, a sustained breakdown below support could trigger a deeper correction and temporarily shift market sentiment toward the bears.
Liquidation Map Reveals a Major Opportunity
One of the most interesting signals comes from derivatives market positioning.
Current data shows a substantial concentration of short positions above HYPE’s current price. Large liquidation clusters are located around $80, $90, $100, and even $115.
If the price continues moving higher and reaches these levels, short sellers could be forced to close their positions, creating additional buying pressure. This chain reaction is commonly known as a short squeeze.
Meanwhile, there is significantly less leveraged long exposure below the current market price, suggesting that upside liquidation potential currently outweighs downside liquidation risk.
Can HYPE Rally Another 40%?
From a technical standpoint, such a move remains possible.
If HYPE successfully breaks through the $70–$75 resistance zone while simultaneously triggering short liquidations, the market could quickly accelerate toward the $88–$90 region. That target represents roughly a 40% gain from current levels.
The key question is whether buyers can maintain sufficient momentum and capitalize on the large pool of liquidity sitting above the market.
As long as support at $58–$60 holds and the ascending channel remains intact, the medium-term outlook for HYPE continues to favor the bulls. The coming days may determine whether Hyperliquid pushes toward new highs or undergoes another corrective phase before its next major move.
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