HYPE Just Broke Out _ But This Could Still Be a Trap

[johnblockbuster]

Over the weekend, Hyperliquid (HYPEUSDT) drew major attention across the crypto community and rallied by roughly +20%. The move was fueled by the USDC revenue shift narrative and the market’s focus on HYPE’s programmatic buyback dynamics tied to protocol revenues, alongside fresh media hype. In parallel, SpaceX-related perpetual contracts on a platform built on Hyperliquid infrastructure brought attention from outside the crypto bubble as well.

Now, let’s take a technical look at the HYPE token on the 4-hour chart.

The HYPE token recently hit new all-time highs thanks to recent news, and it seems to have broken through the resistance zone($62.00-$59.00). However, the volume on the breakout wasn’t particularly high, so there’s some concern that this could be a fake breakout.

The HYPE token is also near the Cumulative Short Liquidation Leverage($66.20-$64.80), a Potential Reversal Zone(PRZ)[$70.00-$66.00], and the psychological round number of $70. Over the past 10 days, it has been moving within an ascending channel.

From Elliott Wave Theory, it seems the HYPE token is finishing its main wave 5, so we might expect a corrective phase afterward.

I expect the HYPR token to start declining after entering the Cumulative Short Liquidation Leverage($66.20-$64.80) and from the top of the ascending channel and PRZ.

First Target: $60.10

Second Target: $57.93

Third Target: $55.20

Stop Loss(SL): $70.10(Worst)

What do you think about the HYPE token? Can it break past $70, or should we expect a corrective phase?

Please respect each other's opinions and express agreement or disagreement politely.

Hyperliquid Analyze (HYPEUSDT), 4-hour time frame.

Always set a Stop Loss(SL) for every position you open.

This is just my idea; I’d love to see your thoughts too!

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[madmax]

crypto traders combining elliott waves

[madmax]

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