Hyperliquid (HYPE) is drawing renewed market attention as it approaches a critical technical support level near $78, while simultaneously burning a notable portion of its token supply. Buyers have twice defended this area, highlighting its importance in the current price structure.
Key Levels and Market Performance
HYPE is currently trading at $78.90, with 24-hour trading volumes reaching $1.76 billion. The project’s current market capitalization stands at $19.86 billion, making up approximately 0.75% of the total market. Over the last day, HYPE has slipped by 1.35%.
The $78 region remains pivotal in the short term, having acted as a strong support level over the past week. Analyst Crypto With Gopal identified a possible double bottom setup forming at this support, which can sometimes suggest decreasing selling pressure. The analyst added that HYPE needs to recover the $84 resistance to confirm a bullish reversal and open the way for possible gains toward $90.
There are signs of a potential double-bottom at support, but confirmation will come only if HYPE reclaims and sustains above $84, putting the $78-$84 range in focus for any short-term move.
A consolidation above $84 could set the stage for further upside, while a close below $78 may signal renewed downside risk.
Token Burning Accelerates
In parallel with technical developments, Hyperliquid continues its token burning strategy, which aims to reduce supply and potentially affect token economics. On-chain data indicates that Hyperliquid burned 32,770 HYPE tokens within 24 hours, valued at about $2.65 million. These tokens were acquired at an average price of $81.01 before being permanently removed from circulation.
Cumulatively, lifetime HYPE burns have reached approximately 48.57 million tokens, now worth around $3.82 billion at current prices. This burned total accounts for an estimated 4.86% of HYPE’s maximum supply.
Mini dictionary: Token burn, a mechanism where tokens are permanently removed from circulation in order to reduce supply, often executed by sending tokens to a “burn address” where they cannot be retrieved. This practice can support the price or perceived scarcity of a cryptocurrency, but actual effects depend on demand and market conditions.
| Category | Value |
|---|---|
| Tokens burned (24h) | 32,770 HYPE |
| Burn value (24h) | $2.65 million |
| Total tokens burned (lifetime) | 48.57 million HYPE |
| Burn value (lifetime) | $3.82 billion |
| Percentage burned (of max supply) | 4.86% |
The ongoing burns play a central role in Hyperliquid’s supply management, but their price impact is linked to actual market demand and broader sentiment.
Technical Structure and Elliott Wave Outlook
Elliott Wave analysis suggests HYPE recently completed a corrective wave at $50.70, after a previous high of approximately $76.67. This correction is viewed as part of a broader downward move beginning in June. The $50.70 level may mark the end of Wave (iv) in a bearish scenario, with the first resistance at the prior high of $76.67.
Should HYPE maintain levels above $76.67 and break higher, projections point to $99.42 as a technical target, with an extended goal at $116.57.
Some analysts caution, however, that the price could form a larger triangle pattern, keeping HYPE within a broader consolidation range before a more decisive move emerges. If the token drops and closes beneath $50.70, this would challenge the current bullish technical scenario. As a result, market participants are closely watching these support and resistance levels for further signals regarding HYPE’s direction.
