Hyperliquid's HYPE Surges 9.35% on Bullish Momentum, Whale Inflows

Hyperliquid's latest price was $42.01, up 9.346% in the last 24 hours. The cryptocurrency has been experiencing significant bullish momentum, driven by rising open interest and a series of liquidation spikes near key levels. These spikes have confirmed buyers' control and wiped out overleveraged shorts, indicating a robust market sentiment. Arthur Hayes, the Co-Founder of BitMEX, has signaled a sharp move ahead for HYPE, citing a confluence of bullish data. This includes soaring open interest and a recent short squeeze, which suggests that market momentum is building. Hayes noted that if HYPE can successfully hold the $40 level as new support, it could be positioned for a rapid climb in the coming sessions.

The powerful price rally has been supported by a massive influx of capital into the HYPE derivatives market. According to data from Coinglass, open interest in HYPE futures has jumped from under $500 million in mid-April to nearly $1.8 billion as of June 10. This synchronized rise suggests increasing confidence and growing participation from market players. Notably, open interest broke past key milestones at $600 million, $1.2 billion, and $1.5 billion over the past month, aligning with HYPE’s price spikes and hinting at speculative buying and likely fundamental catalysts driving interest.

Further evidence of bullish strength comes from liquidation data. Bybit’s liquidation heatmap showed a heavy concentration of short positions between the $36 and $40 levels. As the price rose beyond these bands, cascading liquidations were triggered. A spike to $42.449 accompanied by $295.09K in liquidations confirmed strong bullish pressure. Buyers are in control, wiping out overleveraged shorts and paving the way for another potential move upward.

As of press time, the technical outlook remains positive. The MACD line recently crossed above the signal line, though the histogram now shows only modest strength. This suggests bullish momentum is still present, but may be slowing slightly. Meanwhile, the RSI stands at 69.99, teetering on overbought territory. While this doesn’t imply an immediate reversal, it does signal that short-term gains could cool.

Despite the current rally, projections suggest a more modest outlook by December. Coincodex analysts expect HYPE to trade between $32.90 and $33.70, representing a 17.70% decline from current levels. However, should the breakout materialize and bullish pressure remain, these estimates could quickly become outdated.

HYPE has surged nearly 11% to reclaim the $39 level, edging closer to its all-time high. This marks the second time in June that HYPE has taken a swing at the $40 resistance. The last two attempts both got smacked down by broader market weakness, dragging HYPE into the red. However, the current structure is showing more resilience. RSI remains in check, even on lower timeframes. This breakout is now being backed by a sharp 11.90% spike in Open Interest, pushing it to a record $1.69 billion, even higher than the peaks seen during the last two rallies.

Smart money stepping in at the top is often a powerful signal, and this time is no exception. Lookonchain flagged a fresh whale entry: 126,353 HYPE scooped up at an average cost of $39.1. Previous attempts at new all-time highs were also met with heavy whale inflows and rising Open Interest. In fact, on the 26th of May, HYPE tagged its record high of $39.12, backed by a then-record $1.39 billion in OI. The setup looked textbook bullish, until it wasn’t. What followed was a swift reversal. A wave of deleveraging dragged OI down to $1.19 billion, and HYPE retraced to $31.41 in under five days.

Now, with overheating signals creeping back in, FOMO’s probably on the sidelines. A pullback? Still very much in play. That said, HYPE’s been glued to BTC. If Bitcoin can hold $109k, or punch through $110k, it could flip sentiment fast. FOMO comes rushing back, and $40 finally breaks. But holding that level? Still a tough ask. With liquidity heavily concentrated in derivatives, the risk of a sharp unwind remains elevated.

BlockBeats reported on June 10 that Silhouette, the privacy execution layer built on Hyperliquid, officially announced the completion of a $3 million Pre-Seed funding round led by RockawayX, with participation from Amber Group, HiveMind, Protagonist, No Limit Holdings, NGC Ventures, and Echo. Silhouette is a "Shield Exchange" built on Trusted Execution Environment (TEE) technology, aiming to enable privacy-preserving order matching and settlement functionality on Hyperliquid. It supports both HyperCore and HyperEVM, offering a novel DeFi experience that includes advanced strategy operations such as TWAP, VWAP, and RFQ. The project seeks to address the issue of "excessive transparency" in on-chain trading, allowing users to trade freely without exposing their strategies.