Bitcoin News Today: Hyperliquid HYPE Stuck in $45–$50 Range Amid Sell Dominance and Stagnant User Growth

Hyperliquid HYPE remains trapped within a $45–$50 range, constrained by a seller-dominated spot order flow and flat user growth over the past six weeks. The token has struggled to break above this supply zone, with sell dominance evident since late June, as shown by the 90-day cumulative taker sell dominance on CryptoQuant [1]. Meanwhile, daily trading volume has remained stable, but new user growth has sharply declined, reducing the potential for liquidity expansion [2]. Fee revenue from the protocol has also remained flat, further limiting the potential for upward momentum [3].

The lack of meaningful expansion in user activity or volume suggests that current market conditions are not conducive to a sustained breakout. HYPE lost 8.4% in the past week, reflecting a bearish edge despite broader gains in the altcoin market. On-chain signals reinforce this narrative: the DMI (Directional Movement Index) on HYPE/USDT shows no strong trend behind price action, and the 1-day chart structure—while showing higher lows since May—lacks a clear directional conviction [4].

A Bitcoin-led rally is seen as a necessary precursor for HYPE to see a sustained increase. Analysts suggest that a market-wide increase in participation, triggered by a breakout in BTC, would be essential for HYPE to gain upward traction. Such a scenario could drive capital into altcoins and boost activity on decentralized exchanges, creating the volume and user growth needed to overcome the current $45–$50 ceiling.

Technical indicators highlight key thresholds to watch. A clean daily close above $50 with increasing volume would signal a breakout, while a close below recent higher lows could invalidate the bullish swing structure. Traders are advised to monitor the DMI and volume patterns to confirm the strength of any upward move.

The divergence between steady volume and falling user numbers points to a participation gap. While existing liquidity remains, the absence of new users limits the organic growth required for long-term price appreciation. This is further compounded by flat fee revenue, which reduces the protocol’s ability to incentivize traders or expand its market footprint [5].

On-chain data from platforms like CryptoQuant, Dune Analytics, and DefiLlama provides a consistent picture: HYPE lacks the buy-side pressure and participation to break through key resistance levels. Unless there is a significant increase in DEX volume and user activity—driven by broader crypto market optimism—HYPE is likely to remain rangebound [6].

In conclusion, Hyperliquid HYPE’s current price action is shaped by on-chain sell dominance and stagnant participation. While bullish chart structures persist, they lack the conviction needed to drive a sustained breakout. A Bitcoin-led altcoin rally, paired with rising volume and user activity, would be the most probable catalyst for a meaningful upward move.

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[1] Source: CryptoQuant

[2] Source: Dune Analytics

[3] Source: DefiLlama

[4] Source: TradingView

[5] Source: en.coinotag.com/hyperliquid-hype-may-struggle-to-break-45-50-without-btc-led-volume-surge/

[6] Source: en.coinotag.com/hyperliquid-hype-may-struggle-to-break-45-50-without-btc-led-volume-surge/