HYPE Price Analysis: Can it Hit $40?
HYPE Price Analysis: Can it Hit $40?
Hyperliquid (HYPE) has demonstrated significant resilience, recently surging 6% after successfully defending a key demand zone around $30.67. This zone has repelled three separate price drops in the past two weeks, indicating strong buyer support.
The daily chart showcases a pattern of recovery after each rejection, with the latest bounce showing particular strength. This suggests underlying demand for HYPE is robust.
Momentum Indicators Signal Bullish Reversal
Technical indicators further bolster the bullish outlook. The stochastic RSI, a key momentum indicator, is currently in oversold territory, historically preceding HYPE price reversals, especially when coupled with strong buying pressure.
On-chain data also points to a bullish trend. The 90-day Cumulative Volume Delta exhibits buyer dominance, reflecting a significant increase in buy orders entering the market. This reinforces the ongoing bullish reversal.
Source: CryptoQuant
Market sentiment also leans bullish. The Long/Short Ratio stands at 1.04, suggesting bulls maintain control. Although slightly above 1, this, combined with other bullish indicators, suggests potential for further price action.
Source: Coinglass
Will HYPE Break Above $40?
Given the positive momentum, HYPE may challenge the $40 resistance level. However, monitoring trading volume and market sentiment remains crucial. Continued buying pressure and increased volume could propel HYPE towards the $40 target.
Conversely, without sustained bullish momentum, HYPE might retest the $30-$32 range before a decisive breakout. Caution is warranted.
The confluence of an oversold stochastic RSI, buyer dominance, and a favorable Long/Short Ratio provides a positive signal for HYPE investors. However, remember to always conduct thorough research and only invest what you can afford to lose.
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