Key Highlights:
- HYPE has reclaimed the $20 zone, surging 105% this month and reigniting bullish momentum with strong daily gains of 5.39%.
- Recent technicals show a well-formed ascending triangle pattern, with resistance at $26–28 and a breakout target around $33–35.
- On-chain volume has rebounded with a sharp rise to $5.27B on May 6, reflecting renewed trader participation and liquidity inflow.
- Heavy long liquidation zones around $50K–$82K and short squeeze risk building above $103K, hinting at possible volatility spikes.
With the current momentum and pattern strength, HYPE looks positioned to retest its ATH of $35 within the next 4–6 weeks if resistance flips support.
Hyperliquid (HYPE) has made a strong resurgence with 105% jump in value in one month, back above the critical $20 mark. HYPE is now priced at $21.18 (+5.39% daily) at a market cap of $7.07B and 24h volume of $127.66M (+47.19%). The coin reached an all-time high (ATH) of $35.02 on Dec 21, 2024 (~40% off ATH), and several traders are hoping for a portfolio full reversal.
HYPE’s momentum is attributed to the following catalysts:
- HYPE’s New Fee & Staking System Announcement (launched May 5):
Hyperliquid introduced a fee and staking system on May 5. Users can now stake their HYPE coins to receive a trading fee discount of between 5% and 40%, depending on the amount staked.
The fee discount uses different rates for futures and spots; spot volume counts as double for fee tier calculations. And a big upgrade comes from linking staking and trading accounts, so the discounts apply to any trading account and will incentivise all traders to engage and provide liquidity to the platform.
- Ethena’s USDe Stablecoin After Launch:
Ethena Labs has integrated its USDe stablecoin into Hyperliquid’s DEX, and integrated USDe with its HyperEVM blockchain. Users who hold 100+ USDe on HyperCore are now eligible to earn daily rewards for holding USDe in their accounts that automatically air-drop to their spot accounts!
This integration allows for better liquidity as it builds asset use cases for USDe, and increases interest from investors in the entire Hyperliquid crypto ecosystem.
Bullish Setup: HYPE/USD Forms Ascending Triangle with $33–$35 Target in Sight
HYPE Coin recently completed a strong V-shaped recovery and is now forming an ascending triangle—a bullish chart pattern that often leads to breakouts. The main support zone sits at $17.5–18.0, which has held well during past dips. The key resistance zone is $26–28, and this is the level to watch for a breakout.
A Fibonacci retracement drawn from the previous high ($35) to the recent low ($10) shows that $26–28 also lines up with the important 0.618–0.786 Fib levels—making it a critical barrier where many traders expect a reaction.
The chart also shows a neckline breakout, a positive sign that buyers are in control. The 20/50 EMA lines have crossed upward, confirming a bullish setup, and the RSI is around 66, which shows good momentum but not overbought yet. The MACD also supports the bullish trend.
If HYPE can close above $26–28 with strong volume, the next target is around $33–35, its previous all-time high. Based on the current pace, this move could happen in the next 4–6 weeks.
Liquidity & Liquidations: How On-Chain Data Confirms HYPE’s Breakout Potential
Volume Surge: Confidence Rebuilding
HYPE’s on-chain volume tells the story of a market regaining strength. After its big run earlier this year, volume cooled to around $2.39B by April 5, showing a pause in trader interest and liquidity as price corrected.
But by May 6, daily volume jumped back to $5.27B—marking a strong resurgence of participation. This confirms that the current uptrend is supported by real buying power, not just a weak technical bounce.
Liquidation Heatmap: Historical & Current Pressure Zones
The liquidation map shows how traders have been positioned. During past corrections, especially after its all-time high, HYPE saw heavy long liquidations between $50K–$82K BTC equivalent, with a peak of 886 BTC liquidated at $82K.
These events reveal where bulls were forced out, marking danger zones in bearish scenarios. Now, the tables are turning: shorts are heavily stacked between $103K–$142K, with recent spikes (e.g., 722 BTC at $103K) showing that many are betting against further upside.
If HYPE Coin clears the $26–28 resistance, these shorts could get squeezed fast—likely triggering a surge toward the $33–35 ATH area.
