Hyperliquid (HYPE) is showing some early indicators of a potential rebound after a period of sideways action. Technical analysts believe the token may be creating a double bottom formation, which is a strong indicator of a potential breakout to the upside.
At the time of writing, HYPE is trading at $26.51, with a 24-hour trading volume of $425.78 million and a market capitalization of $7.94 billion. The coin has surged 7.62% over the last 24 hours, suggesting that investors are taking renewed interest in the token.
Hyperliquid (HYPE) Shows Reversal Potential
Prominent crypto analyst CryptoPulse points out that HYPE could be showing signs of a possible reversal. Looking at the daily chart, it is forming a possible double bottom, which is a common sign of a possible reversal. The most important point of resistance, or “neckline,” is between $27.4-$28.2.
A breakout above this level could propel HYPE to the next target price of $34.2. However, analysts recommend that one wait for confirmation before assuming an upward trend.
HYPE Price Stabilizes Signals Upside
Another market analyst, GainMuse, noted that HYPE is actually stabilizing close to the trend support area, which it has been consolidating for a long time. The price is actually increasing from the lower boundary of the level, and if this buying momentum keeps supporting it, the cryptocurrency could see a steady transition to higher levels of resistance. This is a good sign that HYPE could be ready for a long-term rally.
As the level of interest and technological indicators hint at a possible reversal, Hyperliquid is becoming a cryptocurrency to watch in the current market. Investors are closely watching the $27-$28 level, which could be the key trigger for the next level of upward momentum.
Also Read | Hyperliquid (HYPE) Slides 7% to Key Support While Recovery Zone Forms Near $26
HYPE Weekly Momentum Stays Under Pressure
The weekly graph indicates that the RSI is approximately 40.56, which remains below the midpoint of 50, indicating weak buying momentum. The RSI remains below the signal line, which is close to 44.51, indicating an overall bearish momentum. The price remains below the MA Ribbon, and the important averages are approximately $32.99 and $37.22.
The MACD also supports the weak outlook because it is below the zero line. The MACD line is close to -3.34, and the signal line is around -1.30. There is a negative gap between the two lines. Even as the red bars in the histogram are diminishing in size, the momentum is negative, and no reversal is seen.
Also Read | Hyperliquid (HYPE) Eyes $35 Upside as Downtrend Weakens Near Long-Term Support
