Hyperliquid (HYPE) Rebounds After $22 Drop as Key Recovery Zone Holds

• Hyperliquid (HYPE) rebounds after recent dip, showing renewed buying momentum around key support.
• HYPE’s double-top pattern confirmed, triggering a short-term decline followed by a recovery rally.
• Market watchers noted HYPE bounced from a long-term descending channel, hinting at a potential uptrend.

Hyperliquid (HYPE) makes headlines once again due to the recent market action that saw a movement in line with what had been anticipated in the market. A formation in the market had triggered a bearish signal that saw the token move towards a major level before a bounce.

At press time, HYPE is trading at $24.63 with a 24-hour trading volume of $202.84 million. The market capitalization of HYPE currently stands at $8.35 billion. The token has shown a positive increase of 1.08% in the last 24 hours. This comes after a noticeable retreat in the token’s price earlier in the month.

Source: CoinMarketCap

Hyperliquid (HYPE) Double Top Breakdown Confirmed

On December 10, Popular crypto analyst CryptoPulse shared a chart outlook on HYPE, showing how it had formed a Double-Top pattern. The analyst said the pattern would be confirmed when the price closes below the neckline on multiple four-hour periods. Shortly after, the pattern played out as predicted, with HYPE falling below and dipping towards the $22 level.

Source: X

Later confirmation by CryptoPulse revealed a successful outcome for the downward trade as well, as the short position was closed close to the local low. The analyst has made a whopping 20% profit with this trade as well.

Source: X

Also Read | HYPE Faces Collapse or Surge: Key $20 Level Under Pressure

HYPE Bounces From Long-Term Support

Meanwhile, another analyst, GainMuse,  presented a broader outlook on the structure of the HYPE market. As GainMuse explained, the token has recently rebounded from the bottom line of a long-term descending channel after spending weeks in a tight range. Such a reaction indicates that buyers are entering at an important spot, perhaps preparing the ground for an uptrend.

Source: X

GainMuse further explained that if this trend of defending the support zone continues, HYPE might try to have a recovery rally towards the descending resistance of the channel. Although confirmation is still pending, the situation at present is at a critical level for HYPE.

Also Read | Bitget Wallet Adds Hyperliquid Integration to Boost On-chain Trading Access