Other Existential Losses?

Is HYPE in danger of falling to $0?

HYPE, the native token of the Hyperliquid exchange, has performed poorly recently, which is in line with the red wave that is hitting the entire crypto sector.

The token has been the subject of many price predictions, with some analysts predicting further declines in the short term.

Where is the Bottom?

Currently, HYPE is worth around $26, representing a weekly loss of 11% and a 56% fall from the all-time high of around $60 registered in mid-September last year.

Popular market watcher Ali Martinez analyzed the stock’s recent performance and concluded that it is breaking out of a triangle formation, risking a pullback to as low as $20. Deep | AltCryptoGems has also seen deep pullbacks before.

“As you can see, the price action started to go down and it’s collapsing in the area. Since we have a large cap below, I wouldn’t be surprised to see a big correction coming,” he added.

The Nebraskangooner seems to be the biggest pessimist. He said HYPE has been rejected at a key resistance level, predicting an eventual breakdown to zero.

The recent netflow of the HYPE exchange reinforces the bearish trend. Over the past few days, inflows have slightly outpaced outflows, suggesting that some investors have moved away from holdings and shifting their holdings to social media. This does not mean that they intend to withdraw money, but in most cases, such referrals precede the sales activity.

What About Rebound?

The optimists, who predict that the traditional token of Hyperliquid can rally more in the near future, speak so. X user HYPEconimst suggested that a possible move is a sweep to $27.5, a retracement of the $30.5 spot, and a pump at $45.5.

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The analyst, who goes by the name ryandcrypto on social media, said the asset’s price will not drop below $20 “easily” and “maybe take BTC to go well below $60K.”

For their part, TraderSZ has seen major volatility ahead and a rise above $36 in the coming months.

HYPE’s Relative Strength Index (RSI) also indicates that a retracement may be on the way. A technical analysis tool indicates whether an asset is overbought or oversold by measuring the speed and magnitude of recent price changes. It ranges from 0 to 100, where values ​​around and below 30 indicate a potential rally, while anything above 70 is considered bearish. As of this writing, the RSI is standing just north of the bullish zone.