HYPE Rallies 12% as Hyperliquid's Open Interest Surges 100%

Hyperliquid, a decentralized finance (DeFi) platform, has seen a significant surge in its open interest, reaching $44 million, as its native token, HYPE, rallied by 12%. This increase in open interest indicates a growing confidence among traders in the potential of HYPE to continue its upward trajectory. The rally in HYPE's price comes after a recent 40% decline, suggesting that traders are optimistic about the token's recovery.

The surge in open interest is a positive sign for HYPE, as it reflects increased trading activity and interest in the token. This influx of interest has fueled optimism among investors and traders alike, with many viewing this as a sign of further upside. The growth in open interest suggests that traders are becoming more confident in HYPE’s potential for a price rise, which could contribute to continued price growth, particularly as market conditions remain favorable for a recovery.

The overall macro momentum of Hyperliquid has shown significant improvement in recent days. Key technical indicators, such as the Moving Average Convergence Divergence (MACD), reflect a shift from a bearish to a bullish trend this week. This change marks the end of a month-long bearish crossover and signals the potential for further upward momentum. As the bullish momentum rises, it provides HYPE with the room needed to continue its recovery. The shift in the MACD reflects a positive shift in market sentiment, suggesting that the altcoin may be in a stronger position moving forward.

HYPE’s price is currently trading at $16.10, up by 14% over the last 24 hours. The altcoin is just under the $16.50 resistance level, having already recovered about half of its recent 40% decline. This price movement shows that Hyperliquid has significant upside potential. Given the current momentum, there is a possibility that HYPE will breach the $16.50 barrier and continue its upward trajectory. If this occurs, the altcoin could move toward $19.16, potentially reaching $20.00 in the near future. However, if the $16.50 resistance level proves too strong, HYPE may struggle to maintain its upward momentum. In this case, the price could fall back to $13.44, invalidating the bullish outlook and erasing recent gains.