Hyperliquid Price News: $50 in Sight After Key Level Breakout

Hyperliquid (HYPE) has gone up by 9% in the past 24 hours after breaking past a key resistance at $35, as transaction volumes within its layer-one blockchain made a new all-time high last week.

The native asset of the Hyperliquid L1 is the best-performing token in the top 10 with year-to-date gains of 43.6%, and it is the only one apart from TRX that has yielded positive returns to investors during this period.

Trading volumes in the past day experienced a strong 72% jump to nearly $500 million, a figure that accounts for 5% of the token’s circulating market cap.

This is a clear indication of strong buying pressure following a key level breakout, and could set the stage for a rally toward the $50 area.

On-Chain Data Confirms Spike in Network Usage

Data from DeFi Llama shows that open interest within the Hyperliquid platform has been steadily rising in March, moving from $5.5 billion to $6.3 billion for a 15% jump.

Meanwhile, on-chain data from Artemis indicates that weekly transaction volumes within the Hyperliquid L1 made a new all-time high last week, with more than 11.1 billion transactions processed during this period.

This translates into a 552% increase in network usage, and could be the main reason why HYPE is performing so well this year despite the market’s overly depressed sentiment.

Key Level Breakout at $35 Could Set the Stage for a Move to $50

In our latest Hyperliquid price prediction, we emphasized that a jump above the $33 resistance would likely set off a rally toward $35. This initial 6% set the stage for a much stronger move, and we got a “buy” signal in the daily chart right after it happened.

We have received four consecutive buy signals in the daily chart already, meaning that buying pressure is accelerating. These are “decisional” candles that feature above-average volumes and confirm institutional or whale-level participation.

Today’s confirmed breakout above $35 could trigger a strong move to $50, meaning a total upside potential of 43% for the next few days.

The Relative Strength Index (RSI) shows that positive momentum is also growing rapidly, as the oscillator just surged past 60 (typically a buy signal) while it is approaching overbought territory.

Here’s What Needs to Happen for HYPE to Keep Rallying

Moving to a lower time frame, the 4-hour chart shows that the system spotted three consecutive buy signals that have already yielded a highly attractive risk-reward ratio of 2.6x if the stop loss was set below the previous swing low.

Now, we are hitting the latest sell wall (a strong one) that bulls encountered at around $37.50. We need a clean breakout above this mark to keep the rally going. The ideal scenario would be another “buy” signal during the American session that confirms bulls’ determination to push the price higher.

The fact that HYPE is the top-performing token at the moment could create some FOMO, which could translate into a sustained uptrend.

If the price breaks through the $37.50 ceiling, this would open up an interesting trading opportunity featuring a 5.5x risk-reward ratio if we set the stop loss right below the $35 level – the token’s former resistance.

I like that an order block formed at $36 right before the breakout, as this could further confirm that institutions and deep-pocketed players (or leveraged degens) could be participating and fueling the move.