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Hyperliquid (HYPE) is flashing early signs of a bullish trend reversal following the completion of a complex WXY corrective structure, which bottomed out at $9.35 on April 7. The recent breakout from a descending wedge pattern — a classic reversal signal — and an impulsive rally on lower timeframes indicate renewed buyer confidence.
Technical indicators support the bullish sentiment. The 4-hour chart shows a five-wave impulse culminating in a peak at $35.17 back in December, followed by a drawn-out correction. This correction concluded inside a falling wedge, from which HYPE has now broken out.
Currently, HYPE is eyeing the key 0.786 Fibonacci resistance level at $15.73. While momentum appears strong, as seen in the impulsive move and an RSI nearing overbought territory, this resistance could trigger a short-term pullback. If a retracement occurs, analysts anticipate a dip toward the $13.50–$14.00 range, likely forming wave (a) of a corrective ABC pattern. A brief recovery to $14.80–$15.00 may follow, before potentially testing support at $12.80–$13.20.
On the 1-hour chart, HYPE seems to be wrapping up a five-wave impulsive move from the $9.35 low. If this cycle completes as projected, the pullback could reset RSI levels and pave the way for the next bullish leg.
A breakout above $15.72, backed by strong volume, would invalidate short-term correction scenarios and suggest a continued push toward $18–$20. Longer-term, if momentum holds, HYPE could reach $19.88 — the 0.618 Fibonacci retracement — aligning with the next major wave projection.
Also Read: Panic Grips HYPE as Price Plummets and Hyperliquid Liquidity Evaporates
Key Levels to Watch:
- Immediate Resistance: $15.73 (0.786 Fib)
- Short-Term Support: $13.50–$14.00
- Critical Support: $12.80–$13.20
- Bullish Target: $19.88
- Cycle Low Support: $9.35
With its corrective phase likely behind it, Hyperliquid (HYPE) appears poised for a new bullish cycle — contingent on key resistance levels being breached with volume confirmation.
Disclaimer: The information in this article is for general purposes only and does not constitute financial advice. The author’s views are personal and may not reflect the views of Chain Affairs. Before making any investment decisions, you should always conduct your own research. Chain Affairs is not responsible for any financial losses.
I’m your translator between the financial Old World and the new frontier of crypto. After a career demystifying economics and markets, I enjoy elucidating crypto – from investment risks to earth-shaking potential. Let’s explore!
