$HYPE Dips as Ethereum Rallies and Hyperliquid Hits $19B – Is a Rebound Ahead?

The native token of Hyperliquid, $HYPE, is trading lower even as its parent platform records historic growth and Ethereum continues its sharp rally.

At the time of writing, HYPE is down 3.3% in the past 24 hours and 1.1% over the past seven days. It’s currently priced at $45.13, roughly 8.5% below its all-time high of $49.75, reached earlier this week.

Trading volume remains elevated, hitting over $570 million in the last 24 hours, a 13.4% increase from the day before.

Hyperliquid Hits Record Perps Volume as Ethereum’s Surge Overshadows $HYPE Token

Ethereum’s explosive rally is reshaping capital flows across the crypto market. Now trading at $3,609, ETH has surged 43% in the past 30 days and has broken above $3,280 for the first time since February, just 9.6% shy of its all-time high of $4,891 set in 2021.                                                                                                                                                                                                                                                                                                 

This sharp climb appears to be pulling liquidity from smaller altcoins, with the $HYPE token seeing a downside after a strong two-month rally that saw it climb by 80%. On-chain analysts cite profit-taking as the primary driver of the recent correction.                                                                                                                                                                                                                                                                                                                        

Technical indicators confirm a loss of momentum. The token’s daily RSI has dropped from a peak of 73 (overbought) to 60.6, suggesting that buyers are cooling off.

Despite the price dip in $HYPE, the Hyperliquid ecosystem is experiencing unprecedented activity. On July 16, the platform recorded a new all-time high in daily perpetual volume of $18.99 billion, showing the massive pivot of traders to the new platform.                                                                                                                                                                                                                                                                                                        

Open interest also surged to a record $13.8 billion, with Ethereum leading the charge. ETH accounted for $5.92 billion in volume, surpassing Bitcoin at $5.11 billion, while ETH open interest hit a historic $2.84 billion, fueled by bullish traders chasing upside on the current rally.

Adding to the bullish signs for the platform, Hyperliquid also posted an all-time high in daily revenue of $5.06 million, according to DeFiLlama.

Source: Defiliama

Over the past 30 days, Hyperliquid has processed more than $243 billion in perpetual volume. The platform’s DEX volume over the same period reached nearly $10 billion. Annualized revenue now sits around $828 million, with the same figure distributed to holders. Annualized fees total approximately $890 million, reflecting steady growth across the platform.

Adding to the momentum is the increasing institutional confidence in the token. In early June, Tony G Co-Investment Holdings deployed $438K into $HYPE, becoming the first public company to add it to its treasury.

On June 18, Nasdaq-listed Eyenovia became the first US publicly traded company to establish a dedicated HYPE treasury reserve, raising $50 million through a private placement to accumulate over 1 million $HYPE tokens.

Also recently, Nasdaq-listed biotech firm Sonnet BioTherapeutics announced plans to launch a digital asset treasury built around the $HYPE token. The deal includes a planned treasury of 12.6 million $HYPE tokens, valued at $583 million at the time of the agreement, along with $305 million in cash for future purchases, bringing the total valuation to $888 million.

While Ethereum’s strength has pulled attention and liquidity away from altcoins like $HYPE, the Hyperliquid platform itself is thriving. The key question is whether $HYPE can regain momentum amid Ethereum’s dominance.

$HYPE Price Action Shows Consolidation as Bulls and Bears Jockey for Control—$60 Breakout Soon

The price of HYPE has entered a phase of consolidation following a sharp rally, reflecting what analysts describe as a healthy pause after steep gains driven in part by momentum across the broader Ethereum ecosystem.

On Monday, $HYPE retreated from the key psychological resistance near $50. Despite the pullback, the uptrend remains intact as the price continues to respect the lower boundary of its ascending channel.

Source: TradingView

The asset recently rebounded from support around $38.80 and has since formed a continuation pattern, suggesting the possibility of a fresh push higher if resistance levels are cleared.

Technical indicators remain broadly supportive of further upside. The 20-day exponential moving average (EMA) stands at $42.93, while the 50-day simple moving average (SMA) sits near $38.86.

Both averages are still trending upward, and the RSI remains close to overbought levels, typically a sign of strong buying interest. A decisive rebound from the $45.80 zone would confirm this level as support, increasing the likelihood of another attempt to break through the $50 mark.

If bulls succeed in pushing the price above that threshold, $HYPE could target the $60 level next.

However, failure to hold above $45.55, a Fibonacci support level, may indicate a deeper correction toward $42.89. A sustained move below $38.80 would invalidate the bullish bias and raise the risk of a broader retracement.

Short-term price action on the 4-hour chart indicates a battle for control near the 20-EMA, with the RSI hovering just above neutral territory. This suggests neither side has gained a clear edge in the immediate term.

Analysts are watching for a breakout above the continuation pattern as a potential trigger for renewed upside. Conversely, a close below the 50-day SMA could tilt short-term momentum in favor of the bears and open the door to a move toward $41.