Hyperliquid (HYPE) continues to be one of the most prominent players in the cryptocurrency field, capturing 65% of the daily perpetual contract market volume and generating 15.58 million USD in fees over the past seven days. The increase in activity has pushed HYPE to its highest level in 3 months, but technical indicators currently suggest that the upward momentum may be losing strength.
Momentum indicators like DMI and RSI show weakening strength, while price action fluctuates near an important support level. Whether HYPE breaks through resistance or slides into a deeper correction could determine its next major movement.
HYPE DMI signals price momentum is fading as ADX oscillates near an important level
HYPE's DMI indicator shows mixed signals, with the current ADX at 21.93.
This is a slight decrease from 22.85 yesterday and 24.39 four days ago, but still higher than the 15.34 recorded two days ago.
ADX measures trend strength, not direction, and values above 20 suggest a potential trend forming, while values below 20 indicate a weak or oscillating market.
HYPE DMI. Source: TradingView.+DI, measuring upward price pressure, is currently at 25—increasing from 17 two days ago but decreasing from the strong 30.78 yesterday. Meanwhile, -DI, tracking downward price pressure, has risen to 17.61 from 11.57.
This indicates that although upward momentum remains stronger than downward momentum, it is beginning to weaken, while selling pressure is gradually increasing.
If this trend continues, it could signal a loss of upward strength and potentially transition to a short-term consolidation or correction phase.
Hyperliquid's RSI drops below 60, signaling cooling momentum
Hyperliquid's RSI has dropped to 55.15, from 68.76 yesterday, after rising from 45.82 just two days ago. The RSI is a momentum oscillator tracking the speed and intensity of price movements on a scale from 0 to 100.
RSI values above 70 suggest an asset might be overbought and need correction, while values below 30 indicate oversold conditions and potential recovery.
Values between 50 and 60 typically reflect a neutral or slightly bullish stance, depending on the trend context.
HYPE RSI. Source: TradingView.The significant RSI decline suggests HYPE's recent price momentum is fading. Although 55.15 remains in the neutral zone, the reversal from near-overbought conditions could signal buyer exhaustion.
Without further buying, this could lead to a cooling-off or short-term consolidation phase.
If the RSI stabilizes above 50, it might reflect a healthy correction within a broader upward trend, but further decline could open the door to a deeper correction.
HYPE maintains critical support at 26.41 USD, targeting a breakthrough to 30 USD
HYPE is currently oscillating just above a critical support level at 26.41 USD, an area that could determine its next major movement.
The EMA structure continues to maintain an upward trend, with short-term averages still above long-term averages, indicating the broader trend remains intact.
HYPE Price Analysis. Source: TradingView.However, if this support level fails to hold, Hyperliquid could drop to 23.28 USD, with a deeper decline potentially extending to 19.55 USD in a strong downward trend.
Conversely, if the 26.41 USD support holds and buyers participate, the next important challenge lies at the 28.43 USD resistance. A successful breakout above that would open the path to a rise to 30 USD—a level unseen since December 2024.
