Hyperliquid (HYPE) is currently trading around $30, up 3.45% in the last 24 hours, as futures data indicated a drop in futures interest despite the tightening breakout pattern seen on the charts.
As of February 21, HYPE is currently trading at $30.299, up 3.45%, with a daily volume of $424.8 million, as per TradingView. The market capitalization of Hyperliquid stands at $7.86 billion, which is approximately 0.34% of the total cryptocurrency market.
Hyperliquid Consolidating in a Triangle Pattern
Hyperliquid is currently consolidating in a triangle pattern, as indicated by market analyst Ali Martinez. The pattern indicates that Hyperliquid is possibly gearing up for a massive breakout, with price action indicating a possible 25% breakout in the coming days.
Derivatives Activity Slows Down Ahead of HIP-4
According to CoinGlass, HYPE futures Open Interest has dropped to $1.34 billion, indicating a downtrend in the last few days. A drop in Open Interest is generally an indication that traders are closing their positions, which can slow down the breakout momentum unless accompanied by strong spot interest.
The slowdown follows the implementation of HIP-3, which brought tokenized commodity futures. Market focus is now turning to the upcoming HIP-4 upgrade, which will likely bring prediction markets and further enhance the platform’s functionality.
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Potential Breakout Targets R1 Pivot $33.40
On the technical front, HYPE has bounced back from the S1 pivot point at $28.15 and is now testing major moving averages on the 4-hour chart. The token has recently approached the 200-period Exponential Moving Average (EMA) at $29.50, but it remains below both the 50-period and 200-period EMAs, suggesting that the bearish pressure has not yet dissipated.
The immediate resistance is near $30, where a descending trendline meets the 50-period EMA at $29.95. This level corresponds to the highest points from the early and mid-February highs, making it a significant level of resistance.
The first level of resistance is at $30, where the descending trendline meets the 50-period EMA. A strong close above this area could open the R1 pivot point at $33.40, suggesting a 10% increase. Support is strong at $28.15. A close below this area could trigger a further decline to $25.60.
The momentum indicators are mixed but showing signs of improvement. The MACD has moved above its signal line, and the RSI is rising from around 48, suggesting that the selling pressure has eased.
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