Hyperliquid (HYPE) extended its pullback for the fifth straight session on Tuesday, falling about 6% intraday to the $45-$46 zone after a sharp rejection on a reclaimed trendline.
Related reading
Although near-term momentum has turned bearish, several on-chain signals and market structure still point to a potential recovery towards $55-$60 if buyers can quickly stabilize the price above key support points.
Derivatives are tilting bearish, but Spot is holding the line
The positioning of the futures has changed defensively, and according to Mint glassThe long-to-short ratio fell to 0.80, the lowest in more than a month, indicating traders are shorting weakness.
Momentum indicators reflect the caution: the daily RSI is around 45 below the neutral 50 line and the MACD registered a bearish cross, both consistent with the strength of the cooling trend.
Technically, HYPE failed to backtest a broken rising trendline and fell nearly 7% from Friday to Monday, with the charts marking $39-$40 as the next major support if selling were to accelerate. On the upside, $51-$52 is initial resistance, with bulls likely to encounter clustered supply from recent breakdown levels.
Why hyperliquid (HYPE) bulls still see $55-$60 on the table
Despite the red figures, spot activity remains constructive. Hyperliquid has repeatedly defended the mid-$40s, and previous 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 is a token north of 660,000 HYPE ($30 million) plus systematic buybacks reduce circulating supply, creating a supportive backdrop when demand returns.
Meanwhile, protocol fee revenues of around $3 million/day underscore sustainable use, even as new offender DEX competitors court volume with incentives. The “fair value” chatter from the community and analysts continues to center around the $55-$60 range, indicating that sentiment is likely to reverse quickly if the price reclaims the short-term slump area.
Price levels and trading chart for the week
The immediate trading point is between $44 and $49. A daily close above $49 would neutralize the crisis and open $52, then $55-$60 as a momentum target. Failure to hold $46-$47 leads to a retest of $44, with a deeper flush jeopardizing the $39-$40 demand zone where dip buyers could intervene.
Market internals to watch: If financing remains orderly, liquidations remain contained, and spot led buying outpaces leveraged shorts, the likelihood of a V-shaped recovery increases.
Related reading
Macro context is also important. Perp-DEX’s market share is growing across the industry, and while rivals (e.g. Aster) have temporarily siphoned off volumes, Hyperliquid still boasts strong open interest and fees, key indicators of smoother liquidity.
Cover image of ChatGPT, HYPEUSD chart from Tradingview