HYPE Defies Gravity at $43—Can Bulls Spark a Rally or Is This a Dead Cat Bounce?

HYPE's price floor holds firm at $43—but traders are split on whether this is the calm before a storm or just another fakeout in crypto's endless drama.

The Battle Lines Drawn

Bulls dig in their heels as HYPE refuses to buckle below key support. Shorts are getting squeezed, but volume tells the real story—where's the conviction?

Technical Tightrope

RSI flirts with oversold territory while the 200-day MA looms overhead like a sword of Damocles. Breakthrough or breakdown? The chart's whispering, but Wall Street's still reading last year's playbook.

The Cynic's Corner

Another day, another 'make-or-break' level in an asset that moves 5% when Elon Musk tweets a meme. At least the volatility beats watching paint dry—or traditional banking hours.

Price Holds Above Key Trendline

Hyperliquid (HYPE) was trading at $44 as of press time. The price ROSE 2% in the last 24 hours and 4% over the past week. Trading volume over the last day reached $419 million.

Since April, HYPE has followed a steady upward path within a rising channel, which shows a pattern of higher highs and higher lows. 

Notably, the price recently pulled back to its lower trendline. It then bounced off this level, showing that buyers are still active in that zone. The asset staying within this channel keeps the current trend in place.

HYPE is NEAR short-term support at $43, which matches the 9-day moving average. A drop below this may lead to the next level at $42. If weakness continues, lower supports at $36 and $32.5 could come into focus.

On the other hand, price resistance begins at $44.31. Above that, the 21-day moving average is around $45. If the market moves higher, further resistance sits at $46.28. The highest level in view is $50, where the price recently faced selling pressure.

Indicators Show Mixed Signals

The 9-day moving average is currently below the 21-day moving average. This can point to slowing momentum in the short term. However, the asset is now pushing above the 9-day line, which may suggest recovery.

The Stochastic RSI shows values of 19.83 and 17.51. Both are in the lower zone, which is often watched for signs of a possible price turn. No crossover has happened yet, but traders are watching closely.

Whale Moves and Exchange Update

A large wallet recently closed its HYPE position for a $13.6 million gain. The funds were used to buy 3,322 ETH, worth about $12.84 million. At the same time, James Wynn lost over $1 million in Leveraged trades on the same platform. 

Hyperliquid processed $648 billion in trading volume during Q2. Over the past 12 months, the platform saw $1.57 trillion in total volume and now holds more than 60% of the perpetual DEX market. 

A recent API issue affected trades, and the exchange said it will refund users who qualify. The cause was linked to rising traffic, not a security breach.

With the price holding key support, the market now watches to see if the rally continues this week.