The HYPE token of Hyperliquid has increased by 21% over the week, breaking through the crucial resistance level of $50. This event has caught the attention of analysts and investors.
Institutional Interest in HYPE
Two large investors purchased 358,279 HYPE tokens worth $18 million, signaling institutional interest in this cryptocurrency.
Technical Analysis and Future Prospects
The $50 price level represents a significant technical barrier for HYPE. Previous attempts to breach this resistance in August resulted in quick reversals. However, the current momentum appears stronger. Analyst Ali Martinez noted that 'a breakout here could catapult HYPE to $55.' If the momentum sustains, traded levels could reach between $52 and $56. In the event of a failed breakout, support exists near $46.
Growth of the Hyperliquid Platform
The underlying metrics of Hyperliquid support the token's recent performance. Data from DeFiLlama indicates that the total value locked on the platform reached $721 million as of August 27, marking the highest level recorded this year. This growth in TVL indicates increased user activity and confidence in the platform.
The combination of rising total locked value and increased whale activity creates a supportive environment for further HYPE token growth. Success in maintaining levels above $50 may determine the potential to reach new target levels.
