Hyperliquid (HYPE) Teases ATH Breakout as Traders Rush In

Hyperliquid''s native token HYPE is flirting with uncharted price territory—just as the ''smart money'' starts piling in. Could this be the next moonshot, or another case of buy-the-rumor-sell-the-news?

Price action mirrors early Bitcoin bull runs, but with 100x the leverage (and 1000x the recklessness). Liquidity pools are deepening while perpetual swaps hit record volume—classic FOMO meets degenerate trading.

One hedge fund VP quipped: ''We''re either front-running institutional adoption or a coordinated pump. Either way, fees are fees.'' The market shrugs and keeps bidding.

Bullish Signals: HYPE Open Interest Hits New High

One of the strongest indicators supporting the current price momentum is the rising Open Interest (OI) in HYPE futures contracts. According to Coinglass, HYPE’s OI jumped from $1.42 billion on Saturday to a new all-time high of $1.69 billion on Tuesday. This surge in OI suggests that more traders are entering the market with fresh capital, reinforcing the bullish sentiment.

Open Interest is an important metric in crypto trading. When it increases, it usually indicates growing investor confidence and a higher probability of continued price action. In HYPE’s case, this data supports the idea that the rally has solid backing from both retail and institutional participants.

Total Value Locked (TVL) Breaks Records

In addition to derivatives market data, the Total Value Locked (TVL) in the Hyperliquid Layer 1 ecosystem is also hitting new highs. Data from DeFiLlama shows that TVL climbed to $1.97 billion, reflecting increased user activity and growing adoption of HYPE-based protocols.

TVL growth is a strong fundamental indicator. It suggests that more users are depositing assets into the platform, which strengthens the network’s utility and liquidity. As more value flows into the Hyperliquid ecosystem, demand for the HYPE token could continue to rise, pushing the price higher.

Technical Outlook: $46 in Sight

Technically, HYPE has gained over 16% since Saturday, and the price closed around $38.80 on Monday. As of Tuesday, the bullish trend is continuing, bringing the token closer to its previous ATH of $39.96. If the momentum holds, analysts predict that HYPE could reach the $46.35 level, which represents the 141.4% Fibonacci extension based on the December high of $35.51 and the April low of $9.32.

The Relative Strength Index (RSI) on the daily chart stands at 68, signaling strong momentum but staying just below the overbought threshold of 70. This level implies that there’s still room for more upside before a significant correction might occur.

Additionally, the Moving Average Convergence Divergence (MACD) indicator is approaching a bullish crossover. If confirmed, this could signal the beginning of another upward leg, further increasing the likelihood of a breakout above $40 and toward $46.

Potential Pullback Levels

Despite the bullish setup, traders should be cautious. If the price fails to break above its all-time high and faces a correction, key support levels to watch include the recent low of $33.01. This level has acted as a solid base in previous trading sessions and could serve as a safety net in the event of a dip.

Short-term pullbacks are common in upward trends and often provide buying opportunities for investors looking to enter the market at a better price.

What’s Driving Hyperliquid’s Growth?

The recent surge in HYPE’s price and metrics is not happening in a vacuum. The Hyperliquid platform has seen a rise in user adoption thanks to its advanced perpetual trading infrastructure, fast transaction speeds, and growing developer activity on its LAYER 1 chain. The ecosystem’s focus on capital efficiency and user experience makes it appealing for both DeFi enthusiasts and professional traders.

Moreover, the increasing interest in decentralized derivatives platforms has placed Hyperliquid in the spotlight. As traditional finance players explore blockchain-based trading solutions, platforms like Hyperliquid are positioned to benefit from this broader shift.

Conclusion

Hyperliquid’s HYPE token is showing strong bullish momentum, backed by rising Open Interest, record-breaking TVL, and solid technical indicators. With the price hovering NEAR its all-time high of $39.96, a breakout toward $46 appears increasingly likely if current conditions persist.

While short-term volatility remains a possibility, the overall trend remains positive, and the fundamentals support further growth. Investors and traders will be watching closely to see if HYPE can cross the $40 mark and reach new heights in the days ahead.