Hyperliquid (HYPE) once again recovered ground above the $30 support level, a technically important level. Although many in the market attribute this price appreciation to the spike in oil perpetual futures trading on Hyperliquid’s HIP-3, it is more than just the oil perps.
Hyperliquid’s price (HYPE) once again recovered above the $30 level. This support level is a critical stage in HYPE’s prices. Looking at the historic price movement, there were instances where HYPE spiked and reached as high as $60 after breaking above this support level. Now that the prices have recovered and risen above this level, there could be a lot of buying, as this is a demand zone. The fixed volume range indicator shows that there is a lot of trading activity happening in this price range.
With HYPE appreciating above this critical resistance level, many in the market are attributing the spike to the increase in commodity trading volume by 62%. Especially oil perps on the HIP-3, Hyperliquid futures market. With war escalating, oil prices surged, and traders turned to HIP 3 to trade oil perps.
Oil perps trading is one factor that contributed to the spike
However, according to some crypto analysts, the HYPE spiked not just because of oil perps alone, but there were many other factors too that contributed. For instance, Hyperliquid’s stablecoin, USDH, minted on the platform, hit an all-time high of $87 million, while USDH locked in HyperEVM core addresses spiked above $60 million. The platform was also hitting new highs with unique holders and total trades, revealing the confidence of the market in the platform.
HYPE prices targets $40
With all these factors contributing, HYPE spiked above the $30 support level, which led to big rallies. As shown in the chart above, HYPE has broken out from the bull flag and has recovered above the $30 level. This is just the beginning of the breakout, and the rally should continue until HYPE reaches $40.
From the technical perspective, the relative strength index indicator does not flag any extreme condition. As such, there is no hindrance for the HYPE breakout to continue.
