Hyperliquid price attempted a steady recovery in recent sessions, recouping some of its previous losses. HYPE has not completely lost its bullish momentum. However, futures market positioning suggests that resistance remains strong and altcoins are vulnerable to sudden fluctuations.
While spot traders are expressing cautious optimism, derivatives data highlights persistent bearish pressure.
Hyperliquid traders should be careful with this level
The liquidation map shows that hyperliquid contracts are currently biased towards bearish exposure. A cluster of short-term liquidations of $28.9 million is above the $35 price level. This concentration reflects significant short positions among futures traders.
The preponderance of short exposure indicates that many traders expect prices to continue down. However, heavy short interest also creates the possibility of a squeeze. If HYPE decisively rises above $35, forced short-term liquidations could amplify upside volatility and cause market sentiment to change rapidly.
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Technical indicators provide a more constructive short-term outlook. The Moving Average Convergence Divergence indicator recorded a bullish crossover on Sunday. This signal often indicates that upward momentum is increasing.
An upward shift in the MACD suggests that buying pressure may gradually increase. Momentum oscillators reflect improving trend conditions despite skepticism about futures. If spot demand matches technical signals, HYPE could resume its uptrend in the short term.
HYPE price may face resistance
Hyperliquid’s price is currently facing mixed signals, and its direction will depend on broader crypto market conditions. Geopolitical tensions and macro uncertainties can limit investors’ risk appetite. If external sentiment weakens, HYPE may struggle to maintain its upward momentum.
If the market avoids a severe bearish reaction, HYPE could break above the $34 resistance. A breakout towards $36 will place the price near the $35 liquidation cluster. Earnings could accelerate towards $38 if short-term liquidations of around $28.9 million are triggered. Such a move would also bring the 50-day and 200-day exponential moving averages closer together, setting up the possibility of a golden cross formation, which could be achieved after a short liquidation.
Conversely, another bearish situation would undermine this outlook. Sentiment could decisively turn negative if the price breaks below the $30 support. Losing this level would expose $26 as the next major support for HYPE price. Such a move would invalidate the bullish theory and disrupt the month-and-a-half uptrend structure that currently exists.
