Key Takeaways
- HYPE is in the final stages of wave 5.
- RSI divergence signals a potential local top forming.
- The next target zones lie at $40.91 and $44.64.
Hyperliquid (HYPE) has experienced a powerful bullish impulse, breaking above previous resistance zones and reaching a new all-time high.
The momentum is strong, but chart analysis signals on higher and lower time frames suggest caution may be warranted in the short term.
With wave structures showing the asset nearing the end of its current bullish cycle, traders are now watching for signs of a correction or final leg toward new highs.
This analysis dissects both macro and micro charts to evaluate sustainability and next potential moves.
HYPE Price Analysis
The 4-hour chart illustrates a textbook Elliott Wave cycle: an initial five-wave advance followed by a W-X-Y correction bottoming in early April near $9.45.
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Since then, HYPE has launched a new upward impulse, with the current price nearing the final leg of wave five around $36.
The rally from $28 to $35.44 is steep and parabolic, suggesting wave five may be reaching exhaustion.
An increase of around 40% was seen from an ascending channel consolidation (wave four) when the price was $25.50.
The price only slightly surpassed its previous all-time high but still made a new one.
The Relative Strength Index (RSI) in this time frame is extremely overbought and showing slight bearish divergence, meaning the price is climbing while the RSI prints lower highs.
This often precedes a local top or corrective move. The last impulsive wave is extended, and while it may overshoot, the divergence warns of reduced bullish fuel.
The breakout above $28.38, a prior resistance-turned-support, confirms the uptrend.
Caution is warranted if the price begins to consolidate or reject near $36–$38.
HYPE Price Prediction
The 1-hour chart zooms in on wave five of the current impulsive sequence. It shows wave three nearing completion at current levels, aligning with the 1.0 Fib extension from prior subwaves.
A lower degree wave four correction may soon follow, targeting the 0.618 ($32.79) or even 0.5 ($30.46) retracement levels.
These levels align with former resistance and breakout zones, making them strong areas of interest for buyers.
Fibonacci extensions from the bottom of wave two show price reaching the 1.0 level at $34.88. This leaves room for another advancement to the 1.618 extension at $40.91.
However, at least in the short term, we could see the price consolidating in a lower-degree wave four, before it can advance further.
We also see a small RSI divergence developing on this lower time frame, echoing the four-hour signal and strengthening the probability of a cooldown.
If wave four unfolds as expected, HYPE could stage a final push toward $40.91 (1.618 extension) or the more aggressive $44.64 (2.0 Fib), completing the macro wave five.
Failure to hold above $32.79 would signal a deeper retracement, possibly revisiting the breakout point at $28.38. This would still be a healthy correction within a larger bullish trend, but could delay the final high.
Aggressive traders may look to re-enter on wave four support levels, while conservative ones may wait for confirmation of structure resumption.
Key Levels to Watch
Support: $32.79, $30.46, $28.38.
Resistance: $36.00, $40.91, $44.64
Disclaimer:
The information provided in this article is for informational purposes only. It is not intended to be, nor should it be construed as, financial advice. We do not make any warranties regarding the completeness, reliability, or accuracy of this information. All investments involve risk, and past performance does not guarantee future results. We recommend consulting a financial advisor before making any investment decisions.
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