Key takeaways
Hyperliquid (HYPE) has fallen for four straight days as retail demand weakens amid broader crypto market uncertainty.
Futures open interest and trading volume have declined, signaling lower speculative activity.
Institutional interest remains strong, with HYPE ETFs attracting $16.08 million in weekly inflows.
Hyperliquid (HYPE) remains under pressure for the fourth consecutive trading session as retail traders reduce exposure amid growing geopolitical uncertainty and a broader risk-off mood across the cryptocurrency market.
While short-term sentiment has cooled, institutional investors continue to accumulate exposure, and activity within Hyperliquid’s Real World Asset (RWA) ecosystem remains robust. These factors continue to support the token’s longer-term bullish outlook.
Technical indicators also suggest that a decisive breakout above the $75-$77 resistance area could reignite buying momentum and potentially push HYPE toward the psychological $100 level.
Retail traders step back as market sentiment weakens
Retail participation in Hyperliquid has softened as investors become increasingly cautious amid renewed tensions in the Middle East, which have dampened appetite for risk assets.
According to CoinGlass data, HYPE futures open interest declined to $2.68 billion, indicating a modest reduction in leveraged positions.
Meanwhile, derivatives trading volume dropped 29% over the past 24 hours to $1.99 billion, highlighting weaker short-term market participation.
Despite the slowdown, bullish positioning has not disappeared entirely. The funding rate eased slightly to 0.0065% from 0.0078% a day earlier, remaining in positive territory.
Positive funding rates generally indicate that long-position holders are still willing to pay a premium, suggesting optimism persists despite the recent pullback.
Overall, derivatives data points to a cautious market where traders are waiting for greater clarity before making aggressive directional bets.
While retail demand has cooled, institutional investors continue to show confidence in Hyperliquid.
HYPE-focused exchange-traded funds (ETFs) attracted $3.33 million in fresh inflows on Wednesday, bringing total weekly inflows to $16.08 million.
The steady capital inflows suggest larger investors remain optimistic about the project’s long-term growth prospects.
At the same time, Hyperliquid’s HIP-3 ecosystem—which supports perpetual contracts tied to tokenized Real World Assets (RWAs)—continues to gain momentum.
Open interest across HIP-3 products climbed to $3.10 billion, while trading volume increased 40% over the past 24 hours and 28% over the past month.
Revenue has also remained stable at roughly $10 million over the past four weeks, reflecting sustained user activity and growing demand for RWA-based trading products.
These metrics reinforce the view that institutional adoption and expanding utility remain key drivers behind Hyperliquid’s long-term bullish narrative.
Technical analysis: $75-$77 remains the key breakout zone
From a technical standpoint, Hyperliquid is undergoing a healthy correction while preserving its broader uptrend.
The token is approaching a rising support trendline near $66.54, an area that continues to underpin the current market structure.
More importantly, HYPE remains comfortably above both its 50-day Exponential Moving Average (EMA) at $62.53 and the 200-day Exponential Moving Average (EMA) at $48.33.
Holding above these major moving averages indicates that buyers still maintain control of the longer-term trend.
The primary resistance lies between $75.76—the June 1 swing high—and the R1 Pivot level at $77.09. Together, these levels form the upper boundary of an ascending triangle, a chart pattern that often precedes bullish breakouts.
A successful move above this resistance zone could open the door to the next upside targets: R2 Pivot at $89.14, and the R3 Pivot: $101.35
If bullish momentum accelerates, the psychological $100 level could become a realistic near-term objective.
Technical momentum indicators continue to favor the bulls despite the recent correction. The Moving Average Convergence Divergence (MACD) remains above its signal line, indicating that bullish momentum has not been fully lost.
Meanwhile, the Relative Strength Index (RSI) sits around 42, just below the neutral zone. This suggests there is still room for additional upside if buying pressure returns.
Together, these indicators reflect neutral-to-positive momentum rather than a shift toward a bearish trend.
Although the broader outlook remains constructive, traders should monitor downside support levels closely.
If HYPE loses the 50-day EMA at $62.53, sellers could push prices toward the S1 Pivot level at $52.83.
A deeper correction could eventually test the 200-day EMA at $48.33, which continues to represent the foundation of Hyperliquid’s longer-term bullish market structure.
As long as HYPE remains above these critical support levels, the broader uptrend remains intact despite ongoing short-term volatility.
