HYPE, the native token of decentralized exchange protocol Hyperliquid, continued to experience downward pressure as mixed market signals and declining spot ETF inflows shaped investor sentiment this week. A critical test of technical support levels on Friday, July 24, 2026, became a focal point for market participants seeking signs of future price direction.
Price action and technical levels
As of Friday, Hyperliquid (HYPE) traded at $58.78, registering a modest daily decline of 0.67%. Trading volume dropped by 11.26% in the last 24 hours, settling at $343.39 million. CoinMarketCap data indicated a 3% decrease in HYPE’s value over the previous week.
Market analyst Crypto Patel noted that HYPE’s current price action is reminiscent of the so-called institution pattern that preceded its last all-time high. While some traders interpreted the recent pullback as a sign of weakness, Patel argued that it likely reflects a search for market liquidity rather than a genuine reversal.
Patel observed that HYPE’s weekly chart continues to display higher highs and higher lows, suggesting an ongoing bullish structure. He described the present correction as a liquidity reset, not a shift to a long-term bearish trend.
The analyst further identified a fair value gap between $47 and $54 based on the weekly price range. A bullish order block was also observed in the $38 to $43 zone, aligning with the 0.382 and 0.5 Fibonacci retracement levels. According to Patel, buyers must defend these zones to reestablish bullish momentum and potentially aim for new highs. If the token achieves a breakout, he sees $150 as a feasible long-term price target under favorable conditions.
The technical setup carries a clear invalidation point. Patel cautioned that if HYPE closes below the 0.618 Fibonacci retracement at $34 on the weekly chart, it could trigger a broader bearish outlook and invalidate the current scenario.
Spot ETF data and trading flows
On-chain analytics platform SoSoValue reported that the HYPE spot ETF recorded a net daily outflow of $1.02 million on July 23, reducing cumulative inflows by $299.62 million. Following this session, the ETF’s total net asset value stood at $294.15 million. No net flow was documented on July 22, maintaining cumulative funds at $300.64 million.
Additional daily net outflows occurred earlier in the week, with $698,040 withdrawn on July 21 and a notable $5.45 million outflow on July 17. The ETF’s trading flows suggested that investor appetite for HYPE may be weakening in the near term.
| Date | Daily Net Flow | Cumulative Net Inflows |
|---|---|---|
| July 23 | $-1.02 million | $299.62 million |
| July 22 | $0 | $300.64 million |
| July 21 | $-698,040 | $301.34 million |
| July 17 | $-5.45 million | – |
Hyperliquid, which develops decentralized finance trading infrastructure, has seen increased attention in recent months following the introduction of its spot ETF. This product allows traditional investors to gain exposure to the HYPE token through regulated investment channels.
Mini dictionary: Spot ETF, or exchange traded fund, refers to an investment fund traded on exchanges, designed to track the price of an underlying asset. In the case of HYPE, this allows investors to invest in the token without directly purchasing or holding it.
Momentum indicators and outlook
Technical data from TradingView showed HYPE’s Relative Strength Index standing at 40.41, with its daily moving average at 44.49. Both readings kept RSI below the neutral 50 level, but above the oversold benchmark of 30, signaling a cautious mood among traders.
The Moving Average Convergence Divergence (MACD) metric also pointed to negative momentum. The MACD line registered at -1.785, lagging behind the signal line at -0.981. The histogram, measuring -0.804, confirmed the ongoing bearish trend in HYPE’s price movement for the short term.
The convergence of reduced spot ETF inflows, lower trading volume, and technical warning signals currently places HYPE at a pivotal point. Market participants are closely watching the identified support levels for cues on the token’s next move.
