Cryptocurrency traders and enthusiasts have been closely monitoring HYPE’s range-bound performance as the market waits for the next significant trigger. With Hyperliquid stuck in a bearish trend, many are wondering about potential price movement and trading strategies in the coming days.
HYPE’s Current Market Analysis
The muted momentum of Bitcoin—failing to break local resistance at $94,000—has had a ripple effect on market sentiment. According to data from Dune Analytics, Hyperliquid has seen declining user activity and trading volume, a trend that started in October. As a result, HYPE’s price remains trapped below key resistance levels.
Recent analysis highlights that HYPE maintains a bearish structure on its daily timeframe, with short-term resistance levels identified at $29.88 and $30.68. Meanwhile, support currently stands at $27.22, forming a range where traders can potentially profit while awaiting a breakout.
Insights for Traders
On the 4-hour chart, HYPE has been locked in a range formation for the past week. Selling pressure, indicated by a declining On-Balance Volume (OBV), continues to dominate. This gives swing traders more confidence in shorting near resistance levels like $29.88, while rebound opportunities at support are less certain.
Looking at data from CoinGlass, the 30-day liquidation map reveals slightly higher leverage in short positions near current resistance compared to long positions. This imbalance suggests a potential liquidity sweep might lead the price towards either $31 or $26.5 in the short term, providing traders with clear target zones.
Looking Ahead
HYPE’s next move depends on the broader crypto market, particularly Bitcoin’s performance. If the leading cryptocurrency fails to gain upward traction, it could further pressure HYPE and other altcoins. However, if Bitcoin breaks through its resistance, it may provide a bullish catalyst for HYPE to test higher levels.
For those looking to stay ahead of the market, comprehensive tools like the TradingView platform (available here) offer valuable insights and charting capabilities. Whether you’re a seasoned trader or a beginner, these tools can help you make more informed decisions.
Conclusion
The cryptocurrency market continues to present opportunities, but navigating HYPE’s range-bound setup requires a careful approach. With price action influenced by Bitcoin’s movements, monitoring key resistance and support levels is crucial for swing traders and long-term investors alike. Always ensure you’re equipped with the right data and analysis before making trading decisions.
Disclaimer: The information provided is for informational purposes only and should not be considered financial advice. Always conduct thorough research and consult a financial advisor before investing in cryptocurrencies.
