Home Altcoins News HYPE Surges 17% as Key Resistance Breaks – $30 Target in Sight

HYPE Surges 17% as Key Resistance Breaks – $30 Target in Sight

HYPE Surge

HYPE, the native token of the decentralized perpetual exchange Hyperliquid, has recently emerged as one of the top performers in the cryptocurrency market, registering a strong 17% price increase in just 24 hours. This impressive rally has seen HYPE break through its 20-day Exponential Moving Average (EMA) at $23.12, a crucial resistance level that had previously kept the price in check. The recent price movement has fueled optimism among traders and analysts, indicating the potential for a continued uptrend and possibly setting the stage for a rally toward $30.

Breaking Through the 20-Day EMA: A Key Turning Point for HYPE

The 20-day EMA is a commonly used indicator in technical analysis to gauge the short-term trend of an asset. It gives more weight to recent price movements, making it a key tool for identifying potential shifts in momentum. When an asset’s price rises above its 20-day EMA, it signals that the current trend may be turning bullish. This is precisely what has happened with HYPE.

Previously, the $23.12 level had acted as a significant resistance point for the token, limiting its upward movement for several days. However, HYPE’s recent surge has flipped this resistance into a support level, suggesting that buyers are stepping in to maintain the price above this threshold. This shift is a positive sign for HYPE’s price action, as it indicates that the bullish momentum could continue in the near future.

Chaikin Money Flow (CMF) Confirms Increased Buying Pressure

In addition to the breakout above the 20-day EMA, HYPE’s Chaikin Money Flow (CMF) indicator is also showing signs of growing bullish sentiment. The CMF measures the flow of money into and out of an asset, with values above zero indicating strong buying pressure and accumulation.

For the past eight days, the CMF had remained in negative territory, suggesting that there was more selling than buying pressure. However, on the latest reading, the CMF has turned positive, signaling a shift from bearish to bullish market sentiment. At the time of writing, the CMF stands at 0.02, indicating that the buying pressure is now outweighing the selling, and demand for the token is increasing.

This positive shift in the CMF is a strong confirmation of the recent rally and suggests that more buyers are entering the market, adding further strength to HYPE’s uptrend. If the buying pressure continues to rise, it could push HYPE toward its next resistance levels.

Price Targets: Can HYPE Reach $30?

With the current momentum in place, HYPE is now targeting key resistance levels that could propel the token toward new highs. The next major resistance point lies at $27.53, a level that could prove challenging to break through. If HYPE can successfully surpass this level, the next target would be $30.37, which it reached in December 2024. A breakout above $30 would be a significant milestone, signaling that the token’s bullish trend is likely to continue further.

However, there is a potential risk if the rally loses steam. If traders begin to take profits, the price could face a pullback. In this case, the key support level to watch is the $23.12 mark, which has now flipped from resistance to support. A drop below this level could signal a weakening of the bullish momentum, and HYPE’s price could fall toward $18.50, the next level of support.

Final Thoughts: A Crucial Moment for HYPE’s Price Action

HYPE’s recent breakout above its 20-day EMA, along with the positive shift in the Chaikin Money Flow indicator, suggests that the token is in a strong position to continue its bullish rally. If the momentum holds and the price can break through key resistance levels, HYPE could potentially reach the $30 mark in the near future.

However, traders should remain cautious, as the possibility of a pullback still exists. Keeping an eye on key support and resistance levels will be crucial for gauging the next move in HYPE’s price action. As always, careful monitoring of market sentiment and trading volumes will provide important clues as to whether the token can maintain its upward trajectory or face a correction in the coming days.

Read more about:
Share on

Sakamoto Nashi

Nashi Sakamoto, a dedicated crypto journalist from the Virgin Islands, brings expert analysis and insight into the ever-evolving world of cryptocurrencies and blockchain technology. Appreciate the work? Send a tip to: 0x4C6D67705aF449f0C0102D4C7C693ad4A64926e9

Crypto newsletter

Get the latest Crypto & Blockchain News in your inbox.

By clicking Subscribe, you agree to our Privacy Policy.

Get the latest updates from our Telegram channel.

Telegram Icon Join Now ×