- $HYPE faces resistance at previous support, with EMAs signaling a critical test.
- Bulls must defend $40 to avoid a deeper correction; an EMA breakout could spark a rally.
- Market sentiment varies, with potential for upside if Uptober trends hold.
$HYPE at a Pivotal Market Crossroads
Hyperliquid’s native token, $HYPE, is at a pivotal juncture, according to a recent analysis by crypto influencer Lark Davis. The token, currently trading at $46.205 with a 2.66% dip, has seen its previous support level transform into resistance, a shift highlighted by the 20-day and 50-day Exponential Moving Averages (EMA) at $48.168 and $47.470, respectively. This technical reversal suggests a challenging period ahead, with the price dipping below these key indicators. Davis warns that bulls must step up to defend the $40 level to prevent a deeper correction, a sentiment echoed by the market’s recent consolidation near the 0.386 Fibonacci retracement.
Breakout or Breakdown Ahead for $HYPE
The chart reveals a broader uptrend, with a rising trendline supporting the price since early 2025. However, the current pullback tests investor conviction, especially as $HYPE hovers near critical support zones. A clean breakout above the EMAs could signal a bullish resurgence, potentially pushing the price toward higher resistance levels like $50 or beyond.
Conversely, failure to hold $40 might trigger a sharper decline, aligning with bearish sentiments if market momentum wanes. Community reactions on X range from cautious optimism—citing potential upside from DEX and NFT activity—to bold predictions of $100 in a bull run, though these remain speculative.
$HYPE’s Performance Could Shape Uptober Trend
For traders, this moment offers a strategic opportunity. Watching for a decisive EMA breakout with strong volume could be the green light for longs, while setting stop-losses below $40 is prudent to mitigate risk. As October, often dubbed “Uptober,” unfolds, $HYPE’s performance could set the tone for altcoin trends. Stay tuned as this battle between bulls and bears unfolds.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. CoinCryptoNewz is not responsible for any losses incurred. Readers should do their own research before making financial decisions.