Hyperliquid records strong user growth, HYPE could rise back to the $45 mark.

Hyperliquid (HYPE) is experiencing a period of explosive growth, with an average daily trading volume soaring from under 100 million USD to an impressive 3 – 5 billion USD in just one year, according to CoinGlass's semi-annual cryptocurrency derivatives market report.

Currently, Hyperliquid holds over 80% of the perpetual contract market share in the DeFi space – a figure that demonstrates the platform's outstanding influence.

With its increasingly consolidated dominant position, is the HYPE token preparing for a strong price surge? Let's explore through the technical signals on the chart to find out.

HYPE technical analysis

The price of HYPE has surged from the 50-day simple moving average (SMA) at $37.08 on Tuesday, indicating that demand has emerged at lower price levels.

Daily HYPE/USDT Chart | Source: TradingViewThe 20-day Exponential Moving Average (EMA) is gradually sloping upwards at $38.43, along with the Relative Strength Index (RSI) staying above average, indicating that the bulls have a slight advantage. The HYPE/USDT pair could rise to the important resistance zone at $41.23. If it surpasses this level, the price could break out to $44 and further to $45.80.

On the contrary, the 50-day SMA will be the support level to watch. If this level is broken, the HYPE/USDT pair may drop to $35.33 and then to $30.69.

The HYPE/USDT chart on the 4-hour time frame | Source: TradingViewOn the 4-hour time frame, the HYPE/USDT pair is fluctuating in the accumulation range from $36.82 to $41.23. The moving averages are quite flat, while the RSI is oscillating around the average level – indicating that no side has really gained a clear advantage.

If the price stays above the moving averages, the pair could rise to $40 and then to $41.23. A breakout above the $41.23 level will be a signal that the bulls have completely overpowered the bears, paving the way for a strong rally to $44.

On the contrary, if the price falls below the moving averages and maintains its downward momentum, the pair could reverse towards the strong support area at $36.82.

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