HYPE bounced off $51 support and climbed to $55.60, putting the $60 level back in play for the first time since July. The 8.2% recovery matters because it signals the end of a descending channel that had trapped the token for six weeks, with lower highs and lower lows eating into buyers' confidence.
On the 4-hour chart, the breakout is legit. Price punched through the channel's upper boundary and reclaimed the $54.29 Supertrend, flipping that indicator bullish for the first time since the latest decline started. Chaikin Money Flow jumped to 0.15, meaning real buying pressure is flowing in, not just thin-volume noise.
Where the squeeze happens next
Liquidation liquidity is stacked between $56.20 and $57.00, a zone that typically triggers short squeezes when price approaches it. If shorts get caught off guard, that could propel HYPE toward $57.28 to $58.14, where the daily chart shows the next meaningful resistance band. Beyond that, $60 becomes the psychological target, though it's still 7% away.
The downside is tighter than it looks. HYPE must stay above $54.00 to $54.30, or the breakout fails and price rolls back toward $52.83. That's the current Supertrend support, and losing it would confirm the earlier downtrend is still alive.
Revenue and token buybacks keep the bid
What's supporting this move beyond chart technicals is Hyperliquid's fee structure. The protocol routes most platform revenue into token buybacks, creating consistent demand when exchange volume picks up. Trailing gross revenue hit $1.34 billion, and the platform processed over $30 million in large orders during the latest session alone.
That recurring bid from the protocol itself gives HYPE a floor that most altcoins lack. Even if retail sentiment wobbles, Hyperliquid's own incentive structure keeps buying pressure alive as long as the exchange is moving volume.
This analysis is informational only and should not be treated as financial advice. Cryptocurrency markets are volatile and losses can exceed initial investment.
