Hyperliquid (HYPEUSDT) Bounces from Key Support, Bulls and Bears Battle for Control

HYPE/USDT Price Analysis – September 1st

Hyperliquid shows a market at a critical crossroads. After a significant rejection from the key $50 resistance level, HYPE has pulled back to a crucial support zone. A battle is now underway between sellers aiming to press their advantage. On the other hand long-term buyers are defending the established uptrend, leading to a period of consolidation and indecision.

Hyperliquid Key Levels

Support Levels: $40.80, $36.70
Resistance Levels: $46.31, $50.00

Hyperliquid Long-Term Trend: Bullish (Daily Chart)

The long-term trend for Hyperliquid remains structurally bullish, characterized by a series of higher highs and higher lows since the second quarter. However, the powerful psychological and technical resistance at the $50 mark has proven to be a formidable barrier, leading to a potential double top pattern after failures in both July and late August. This latest rejection initiated the current corrective phase.

Currently trading at $44.40, the price has found support at a confluence of levels: the horizontal support at $40.84 and the lower Bollinger Band. The bounce from this lower band is a classic mean-reversion signal, suggesting a potential move back towards the middle of the range. The Relative Strength Index (RSI), at a neutral 50.63, perfectly captures the current state of equilibrium.

Hyperliquid Short-Term Trend: Bearish (4-Hour Chart)

The 4-hour chart, with the price at $44.44, illustrates how the recent sharp downtrend has stalled and transitioned into a consolidation phase. The Bollinger Bands, which were expanding during the sell-off, are now contracting, signaling a decrease in volatility as the market searches for direction.

The middle Bollinger Band (the 20-period moving average) has become the key line in the sand. The price is currently wrestling with this level, which represents the fight for short-term control.

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