Hyperliquid just grabbed a 2.55% gain in the past day, pushing HYPE back above the $55 mark. The move looks cleaner than it is. Underneath, technical warning lights are blinking.
At $55.42 right now, the token sits below its 50-day moving average of $63.13, which means sellers still have room to breathe. The 200-day line at $46.23 holds as a floor, so the longer trend hasn't snapped yet. RSI climbed to 42.64 from oversold territory, but it's still stuck below 50, a sign that buying pressure exists without any real conviction behind it.
The TD Sequential Just Flashed Red
Analyst Ali Charts flagged a critical moment on X. Hyperliquid has tagged a key resistance trendline right as the TD Sequential indicator triggered a sell signal. If sellers actually defend this level, $50 becomes the next meaningful target on the downside. The timing is blunt: a technical bounce colliding with a bearish reversal setup.
This aligns with what the chart actually shows. HYPE got a brief pop upward, but it refuses to climb back above that 50-day moving average. That's the real red flag. Until buyers reclaim higher ground, bears keep the advantage by default.
On-chain data paints a murkier picture. Total value locked and active addresses both dipped as prices fell, but neither is accelerating lower. They look like they're finding a floor rather than rolling over into fresh capitulation. Open interest also declined alongside the recent correction, though the broader derivatives picture remains mixed. The on-chain stabilization doesn't scream confidence, but it does suggest that panic selling may have run its course.
This article is informational only and does not constitute financial advice. Crypto markets carry substantial risk, and past performance offers no guarantee of future results.
