• HYPE forms an ascending triangle, projecting a breakout target near $46.35.

  • TVL and Open Interest hit all-time highs, signaling growing market confidence.

  • Technical indicators and clean market structure support continued bullish momentum.

Hyperliquid's HYPE is heating up. The token now trades near its all-time high of $39.96. On Tuesday, it reached $39.41, sparking excitement among traders. Over the weekend, HYPE surged 16%. The buzz is real. With fresh capital flowing in, this rally looks far from over. Record Total Value Locked (TVL) and soaring Open Interest point to strong market conviction. Let’s explore what’s driving this explosive move and what could come next.

https://twitter.com/mauricedefi/status/1932428885288726749?t=Pmh_0eZHL3frD3p4VTdvMg&s=19 Technical Setup Signals Breakout Potential

The charts tell a compelling story. HYPE has formed an ascending triangle, a pattern known for bullish outcomes. Higher lows steadily build pressure against resistance near the previous all-time high. This formation suggests a measured move toward $46.35. The target aligns with the 141.40% Fibonacci extension. It stretches from December’s peak of $35.51 to April’s low of $9.32. On-chain data further strengthens the case. Open Interest hit a record $1.69 billion, up from $1.42 billion in just days.

Meanwhile, Total Value Locked on Hyperliquid has reached an all-time high of $1.97 billion. The rising TVL highlights growing platform usage and genuine demand for HYPE-based services. Momentum indicators also lean bullish. The Relative Strength Index (RSI) now reads 68, sitting comfortably above neutral. Moving Average Convergence Divergence (MACD) is approaching a bullish crossover, often a signal of upward momentum.

Market Structure Supports Further Gains

Beyond the charts, the broader market structure appears healthy. Funding rates remain neutral to slightly positive. This balance suggests neither excessive greed nor fear dominates current sentiment. Liquidation risks look minimal. Exchanges show relatively clean liquidation levels, reducing chances of sudden sell-offs. Capital rotation trends add another bullish layer. Investors are shifting funds from older blockchains into the HyperEVM ecosystem. This migration reflects a search for fresh opportunities and narratives.

Some analysts even compare HYPE’s potential to larger tokens like Cardano. If HYPE matched Cardano’s market cap, the token could reach $72.87. This projection offers a glimpse of long-term upside. Institutional interest further fuels optimism. Reports of large spot purchases hint at strong conviction among serious players. Such activity often drives more sustainable rallies. Key resistance now sits at the previous high of $39.96. A breakout could ignite the next leg toward $46.35.

Support lies at $33.01, Saturday’s low. Holding this level would maintain the current bullish structure. In summary, HYPE’s rally stands on solid ground. Record TVL, rising Open Interest, and a strong technical setup suggest more gains ahead. Traders should keep a close eye on the breakout zone. The next move could be fast and powerful.