Hyperliquid Back in Focus: What’s Powering the Massive HYPE Breakout?

Hyperliquid (HYPE) is leading the broader crypto space surging more than 20% in the last 24 hours. HYPE price rally to $47 comes as crypto exchange Coinbase becomes the official USDC deployer on Hyperliquid DEX.

Following today’s upside, the altcoin has recouped most of its losses over the past month. It’s once again grabbing a spot in top ten crypto list.

Hyperliquid (HYPE) Token Back In Top Ten Crypto List

With its market cap soaring to $11.75 billion, the Hyperliquid token is back in the top ten crypto list, leaving behind Cardano. As per the Coinglass data, the HYPE futures open interest surged by 26% to $1.96 billion.

Blockchain analytics firm Lookonchain reported a surge in leveraged long positions on Hyperliquid as whale traders increased bullish exposure. According to the data, wallet address 0x535e opened a 10x leveraged long position on 145,310 HYPE tokens.

It was worth a massive $6.78 million, with a liquidation level near $44.53. Wallet 0xc77b reportedly opened a separate 10x long position. This trade involved 100,000 HYPE tokens worth approximately $4.66 million with a liquidation price of $42.58.

However, the third wallet 0xe7ec established a 5x leveraged long on 92,015 HYPE tokens. That’s worth 4.3 million, and a liquidation price of $36.94.

Coinbase to Expand USDC Support on Hyperliquid

Crypto exchange Coinbase announced the expansion of support for the USDC stablecoin on Hyperliquid DEX. Following the announcement, Coinbase will be the official treasury deployer under Hyperliquid’s Aligned Quote Asset (AQA) framework.

Coinbase noted that this initiative will strengthen USDC’s role as the primary stablecoin across on chain capital markets. According to Coinbase, concentrating liquidity around USDC could improve market efficiency. It will also reduce conversion friction and allow for fast capital flow across trading venues.

Users will continue to access USDC through the fiat infrastructure at Coinbase. They will also utilize the exchange’s broader global payment network. AQA framework was originally introduced by Native Markets to develop a stablecoin ecosystem for Hyperliquid users.

Can HYPE Token Rally Continue Ahead?

Following the sudden surge in the value of Hyperliquid token, experts have asked investors to maintain caution. Analyst Ali Martinez noted that the TD Sequential indicator previously identified the major rebound in Hyperliquid from around $22 to $44.

However, the analyst stressed that the same indicator has now generated a sell signal. This could the HYPE price towards a corrective phase in the coming days or weeks.

Ali Martinez noted that the current chart indicators signal at profit booking, with potential downside targets of $36 and $33.

Another market analyst Crypto Patel also shared a similar sentiment. For his short term outlook for Hyperliquid token, Patel remains bearish. He spotted a classic wedge pattern on the technical chart. This suggested a breakdown or rejection at $46 resistance.

According to the analyst, HYPE price has so far followed the projected technical setup closely. Following the latest retest of the $46 zone, the token has failed to reclaim the bullish momentum.

Crypto Patel stated that the $46 level currently acts as resistance on the daily timeframe. He believes the market could face additional downside pressure as long as this trend continues.

The analyst identified the $33 level as the first major reaction zone, while highlighting the $30 region as a stronger area of interest.