Trading in Hyperliquid's token HYPE exploded in the past day, doubling its volume across major exchanges. Despite this surge, the price dropped nearly 8%, sliding down to around $55.
Binance dominates the action, handling more than $500 million in daily HYPE trades, with other exchanges like Hyperliquid, LBank, Bybit, and OKX also contributing to the increased activity. The rise in both spot and derivatives trading hints at traders scrambling to reposition after weeks of steady decline.
More than $15 million worth of long positions were liquidated recently, showing that bets on a rebound before confirmation backfired. Short liquidations were minimal, signaling that the market is favoring bearish sentiment for now.
The technical outlook is shaky as HYPE has fallen below its 20-, 50-, and 100-day moving averages. The 200-day exponential moving average near $50 now stands as the final significant support level, a key marker between bull and bear territory.
This content is for informational purposes and does not constitute financial advice.
