Hyperliquid (HYPE) is currently trading at around $38.48 after a failed breakout attempt above the $42.24 resistance level. Meanwhile, trading volume has significantly dropped.
HYPE Price Dynamics and Trading Volume
The (HYPE/USDT) pair experienced a brief rally in mid-month, reaching nearly $50 after a low of $34. However, following this, the asset entered a descending channel structure and broke below the lower trendline around $40. Currently, the price hovers around $38.50 with a notable decline in trading volume by more than 34%.
Technical Aspects and Market Structure
On the 4-hour chart, HYPE is retesting the underside of a previously broken support line, which served as the lower boundary of a descending channel formed in mid-July. Should the price fail to reclaim the $40.00 mark, the bearish structure may continue.
General Recommendations and Current Situation
Forecasts indicate that in case of negative developments, the price could slide to the range of $30.00 – $32.00. Conversely, a recovery above $42.24 can lead to a restoration of positive dynamics. The current market cap of Hyperliquid is $12.85 billion with 333.92 million HYPE in circulation, while the fully diluted valuation stands at $38.48 billion.
Overall, the market situation for HYPE indicates potential risks for a more significant correction down to $30–$32 if the asset fails to surpass the resistance level of $42.24.
