3 Minutes
Short-term pullback risk emerges despite strong fundamentals
Hyperliquid (HYPE) traded near $48.30 at press time, down about 2.8% over 24 hours. While that dip trimmed some momentum, HYPE remains up roughly 33% over the past week and 6.4% over the last month, still about 20% shy of its all-time high of $59.30 set on Sept. 18. Recent market activity shows reduced intensity after a pronounced buying wave, hinting at a more balanced phase between profit-taking and fresh positioning.
Market flows and derivatives snapshot
Hyperliquid's 24-hour spot volume slipped to $583.2 million, an 8.3% decline day-over-day. Derivatives figures from CoinGlass show a slight rise in derivatives volume to $2.73 billion (+0.44%), while open interest eased marginally to $1.93 billion (-0.04%). The mixed readings suggest some traders are closing short-term gains while others establish new exposure, a dynamic often seen near local tops or consolidation ranges.
Key indicator flashes caution
On Oct. 28, analyst Ali Martinez flagged a TD Sequential sell signal on HYPE. The TD Sequential is widely used to identify potential trend exhaustion after extended runs; a sell count can presage short-term pauses or mild corrections before any resumed uptrend. Traders relying on technicals should weigh this signal against on-chain and fundamental catalysts.
What the indicators show
Technically, HYPE recently touched the upper Bollinger Band and is now testing resistance in the $47–$49 zone. The Relative Strength Index (RSI) hovers near 60, reflecting neutral-to-healthy momentum, while the Commodity Channel Index (CCI) leans slightly bearish. Immediate resistance sits between $47.60 and $49.00, with support positioned at the 20-day SMA near $39.90 and a stronger floor around $32.20. A failure to hold $44 could expose HYPE to a drop toward $40, but a sustained close above $50.60 would favor continuation toward $55 and beyond.
Hyperliquid daily chart
On-chain upgrades and listings underpin the long-term thesis
Despite short-term technical caution, Hyperliquid's fundamentals remain constructive. The HIP-3 Mainnet upgrade, activated on Oct. 13, launched permissionless perpetual markets — enabling any staker of 500,000 HYPE to create new trading pairs. In under two weeks, users staked more than 1 million HYPE, which contributed roughly $180 million in incremental daily volume.
Additional bullish catalysts
Further bullish momentum could come from adoption and listing tailwinds: the USDH stablecoin is gaining traction, Robinhood EU recently listed HYPE, and Bybit plans to open HYPE/USDT perpetuals on Nov. 8. If these developments attract fresh liquidity and traders, analysts project potential upside toward the $55–$60 range by mid-November.
Takeaway for traders and investors
Short-term traders should respect the TD Sequential sell signal and watch key support levels closely, while longer-term investors can view current weakness as consolidation amid meaningful on-chain upgrades and exchange listings. Balancing technical risk management with exposure to catalytic events — HIP-3, USDH adoption, and major exchange perpetual listings — will be critical for navigating HYPE in the coming weeks.
Source: crypto
Leave a Comment