Hyperliquid News Today: HYPE's Bullish Case Strengthens as Trader and Institutions Double Down

Bloomberg-style news article:

The cryptocurrency market is abuzz as high-profile trader "Buddy"—identified as Huang Licheng—has significantly bolstered his long position in Hyperliquid's (HYPE) native token, adding 10,000 coins to bring his total exposure to $2.83 million. The move, tracked by HyperInsight and reported by Lookonchain, underscores growing confidence in the token's bullish trajectory amid technical indicators and on-chain activity suggesting a potential breakout.

HYPE has been trading near the upper boundary of a falling wedge pattern on the 4-hour chart, a classic technical formation often preceding a bullish reversal, according to Crypto.News. At current levels ($41–$42), a sustained rally above this range could trigger a 54% surge to $61.5, according to Crypto.News analysts. This projection is supported by the Aroon Up indicator (71.4%) and a rebounding RSI, both signaling sustained buying momentum. On-chain data also reveal a cluster of short liquidations in the same price zone, which, if breached, could accelerate upward movement as leveraged short positions unwind.

Huang's latest trade aligns with broader market dynamics. Over the past week, he trimmed ETH longs within the $4,068–$4,200 range, reducing exposure by $1 million while maintaining a $9.26 million ETH position, according to Coinotag. Simultaneously, his HYPE holdings have seen volatile adjustments: after shedding over 5,000 coins earlier in the week as noted in another Lookonchain post, he rapidly reincreased his position by 10,000 coins at a 10x leverage, now holding 60,000 HYPE with $313,000 in unrealized gains (110% profit) and a liquidation price of $20.49, as previously reported by Lookonchain.

The token's fundamentals also gain traction from Hyperliquid Strategies, a digital asset treasury firm, which recently filed with the SEC to raise $1 billion—partly to accumulate HYPE tokens, according to CoinDesk. The company plans to stake its growing HYPE holdings, currently including 12.6 million tokens and $305 million in cash, to generate ongoing rewards. This institutional interest, coupled with rising open interest ($1.97 billion as of October 27) and elevated chain fees ($2 million in 24 hours), signals strengthening demand, per FXStreet.

Technical analysts project HYPE could test its September 18 high of $59.46 if it clears $51.15 resistance, the FXStreet analysis notes. A breakdown below the 50-day EMA at $43.54, however, could reignite short-term volatility. The RSI (61) and MACD crossover remain bullish, though corrections are not ruled out.

Market participants are closely watching Huang's strategy, given his history of large, leveraged bets. His principal in the address has grown from $460,000 on October 23 to $1.92 million, reflecting active risk management rather than speculative all-in moves, Coinotag reported. Meanwhile, Hyperliquid's ecosystem—backed by both retail and institutional players—appears poised for expansion, with the Treasury Department's HYPE purchases adding to on-chain liquidity, according to CoinDesk.