Hyperliquid's native token, HYPE (HYPE), is up 23% within the last 24 hours and is trading at $33, significantly outperforming other top cryptocurrencies. The altcoin has surged 58% previously three days to an eight-week high of $34.5 as commodity trading on Hyperliquid hit recent highs.
Key Takeaways:
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HYPE is up over 57% in 72 hours, driven by heavy commodity trading on Hyperliquid HIP-3 DEXs.
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HYPE price breaks out of a multi-month downtrend and targets $50 next.
HYPE Open Interest Increases Nearly 50%
HYPE’s rally over the past few days has been accompanied by significant liquidations across the derivatives market. According to data from Coinglass, greater than $34 million value of leveraged HYPE positions were liquidated within the last 72 hours, with $32.2 million representing short liquidations.
Its open interest (OI) rose 48.7% to $1.82 billion over the identical period on Wednesday, signaling the return of derivatives traders. A futures OI rising with price indicates growing investor interest, which is mostly considered positive during an uptrend because it tends to extend liquidity.
Open interest in HYPE futures. Source: CoinGlass
Investor interest in HYPE got here as Hyperliquid's HIP-3 decentralized exchanges (DEXs) reached a brand new milestone, with their OI rising to a brand new high of $935 million on Wednesday.
Daily trading volume and OI on Hyperliquid DEXs. Source: HypeScreener
The day by day trading volume of all HIP-3 DEXs also reached a record high of $1.78 billion, as shown within the chart above.
“Hyperliquid has quietly reached a significant milestone, becoming the world's most liquid place for cryptocurrency price discovery,” Hyperliquid CEO Jeff Yan said in an X post on Monday, adding:
“Under the leadership of HIP-3 teams, Hyperliquid has also grow to be probably the most liquid trading venue for trading asset perpetrators.”
The increase in trading volume is resulting from increasing interest in commodities, including gold and silver. For example, silver recorded a 24-hour trading volume of over $1.25 billion on Monday, making it the third most traded asset on Hyperliquid after Bitcoin and Ether.
Source: X/UZX Official
The increasing trading activity on HIP-3 comes amid a precious metals boom, with each gold and silver continuing to interrupt recent record highs in recent months.
Gold broke $5,000 for the primary time in its history, while silver broke $100 for the primary time on January 23 and hit an all-time high of $117 an oz. on Tuesday.
HYPE price next to rise to $50?
HYPE has confirmed a breakout from its multi-month falling wedge pattern, a setup often viewed as a bullish reversal signal.
The breakout got here as prices rose above the wedge's upper trendline and the 50-day easy moving average, each of which are actually acting as a powerful support confluence near the $25 zone.
HYPE/USDT day by day chart. Source: TradingView
The breakout was accompanied by a big increase in trading volume (up 73% within the last 24 hours), indicating renewed buying interest and the possible start of a brand new uptrend phase.
HYPE could rally towards its wedge-shaped upside goal of around $49.8, a forty five% increase from current price levels.
This aligns with Whale Factor's upside goal at around $50 based on a breakout from a multi-month downtrend and Fibonacci retracement evaluation.
Source: Whale Factor
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