An Elliott Wave analysis suggests Hyperliquid’s native token HYPE may have completed its correction phase near $50.70, with prospects for another upward move if the market maintains its pattern of higher highs and higher lows. However, the setup remains cautious; a clear recovery above recent resistance would bolster the bullish case, while a sustained break below $50.70 could lead to further consolidation and invalidate the current technical structure.
Technical outlook and key levels
Hyperliquid reached a recent high at approximately $76.67 before entering a complex corrective pattern, ultimately finding support at the $50.70 zone. This level is seen by analysts as the possible completion of Wave (iv) in the Elliott Wave sequence. The following bounce hints at the early stages of Wave (v), forming the final impulsive move in the sequence if sustained.
According to analyst Kap_Waves, holding above the $50.70 support would preserve the bullish Elliott Wave count. Failure to do so would require a reassessment of the scenario. The broader Hyperliquid market activity remains robust, with the network’s 24-hour perpetual volume reaching around $9.3 billion and open interest above $10.8 billion, based on DefiLlama data. Over the last 30 days, perpetual volume recorded was approximately $184.7 billion.
HYPE also serves functional roles in the Hyperliquid ecosystem. The token can be staked with validators, contributing to network security under a delegated proof-of-stake model known as HyperCore.
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Kap_Waves identifies $99.42 as an initial major upside target, with $116.57 as a potential extension, noting that these are technical projections requiring the price to overcome several resistance layers first.
Beyond the Elliott Wave perspective, another trader, thatsavibe_eth, points to the 0.786 Fibonacci retracement as a crucial level. After breaking out of a large pennant, HYPE retested this area. Reclaiming and holding above the 0.786 level could strengthen the continuation setup, while a rejection might prompt another retracement.
Crypto trader @DonWedge highlights a descending resistance trendline, targeting $89 if a decisive breakout occurs. This figure is positioned between the prior high and higher Elliott Wave targets.
Market structure and scenario risks
The technical backdrop from TradingView currently rates HYPEHUSD as a buy, with moving averages providing the strongest buy signal on both weekly and monthly timeframes. However, analysts recommend viewing such signals as supportive rather than conclusive, due to the volatility typical in digital asset markets.
Hyperliquid’s protocol continues to show fundamental strength, with DefiLlama reporting $50.8 million in fees and $35.8 million in revenue over the past month. The platform channels trading fees into mechanisms like the Assistance Fund, which converts part of the fees into HYPE and burns the acquired tokens, tying economic activity to network growth.
Despite the bullish case, alternative scenarios remain in play. Kap_Waves outlines a triangle pattern, where the recent correction could persist and keep HYPE range-bound. A failure to reclaim and sustain resistance levels could trap the token between support and resistance, delaying a decisive directional move.
The critical focus across technical setups stays on the $50.70 level; holding above it preserves the bullish case, but a breakdown could trigger a deeper correction.
Testing the 0.786 Fibonacci level presents similar risks. If HYPE is rejected at this resistance, another pullback toward the support area is possible, as noted by trader thatsavibe_eth, though this would not necessarily end the broader bullish narrative.
Hyperliquid’s derivatives markets also amplify risks, as over $10.8 billion in open interest increases the chance for pronounced price swings. Approximately $150 million in 24-hour liquidations attest to the scale of leverage present.
Given these dynamics, confirmation is key. A sustained breakout with higher volume and demand would signal greater conviction than a brief move above resistance followed by a reversal. In a market where swiftly changing Fed decisions or altcoin listings can reshape conditions within seconds, tracking multiple data points becomes crucial. Many traders increasingly use privacy-focused platforms like CryptoAppsy, which offer real-time charts, smart price alerts, portfolio tracking, coin-specific news, and macro data—all from one screen without account creation, allowing for faster, consolidated market reactions.
Fundamental context and price projections
HYPE’s usage extends beyond trading. It is used for staking and securing the network, serves as the gas token for HyperEVM, and assists in powering permissionless HIP-3 perpetual markets.
The overall technical perspective remains cautiously optimistic but unconfirmed. Holding the $50.70 support keeps the bullish structure valid. The next milestones include breakouts above $76.67 and $89, with further technical projections at $99.42 and $116.57, contingent upon the price clearing successive resistance levels. Conversely, if HYPE loses the $50.70 floor, deeper corrections are likely. Market participants are expected to monitor multiple indicators—support and resistance zones, volume flows, and derivatives activity—rather than remain fixated on any single price point.
