Hyperliquid (HYPE) traded above $44.00 on Wednesday, extending its rally for a sixth straight session as a rise in derivatives and growth in platform usage bolstered strong sentiment around the exchange rate symbol.
The latest meeting comes as business confidence is slowly returning to the mainstream crypto market, increasing transparency and user participation across the Hyperliquid ecosystem.
Hyperliquid is seeing a rise in the demand for trading and platform services
CoinGlass data show HYPE futures Open Interest (OI) rose to $1.75 billion on Wednesday from $1.62 billion the previous day, reflecting an increase in positions and new funds entering the market.
A large increase in Open Interest indicates that traders are increasingly willing to add more as the bullish trend continues.
At the same time, DeFiLlama data showing the Total Value Locked (TVL) on Hyperliquid has increased by more than 2% in the last 24 hours to reach $ 1.556 billion, indicating a strong entry into the protocol.
The growth of TVL is linked to the rise of users and control of the platform’s startups, as more money goes into the money-making programs that are built on the ecosystem.
Hyperliquid continues to be among the most powerful DeFi systems in terms of investment.
Apart from stablecoin protocols, Hyperliquid currently leads the sector in seven-day revenue with $11.58 million, which shows the stability of the business and the importance of the platform.
Technical outlook: HYPE wants to go above $50
Technically, Hyperliquid maintains a bullish pattern as prices continue to trade well above the 50-day, 100-day, and 200-day Exponential Moving Averages (EMAs), all of which continue to slide and encourage strong upside.
Momentum indicators also support the bullish trend. The Moving Average Convergence Divergence (MACD) remains in positive territory on the 4-hour chart, indicating bullishness, while the Relative Strength Index (RSI) hovers near 74, indicating overbought.
On the downside, the next resistance level is the R1 Pivot Point near $45.52. A definite break above this barrier would result in a significant downward resistance near the $50.00 conceptual level.
A sustained close above the $50 region could trigger a strong continuation phase and open the door to a long-term rally.
On the downside, immediate support is near the rising trend line around $40.00, followed by the 50-day EMA near $39.76.
Additional downside protection is seen at the 100-day EMA near $37.45 and the 200-day EMA near $36.45 as the stock market declines and initiates a deeper correction.
