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- Hyperliquid (HYPE) has dropped below $70, extending its losses as many crypto market sentiments are reducing risk.
- Retailer participation is slowing, with futures interest rates falling and long-term foreclosures dominating the bond market.
Hyperliquid (HYPE) continued to trade on Wednesday, falling below the $70 level as caution in the cryptocurrency market reduced trading participation.
The indicator has recorded three consecutive days of losses, indicating growing uncertainty among short-term traders. Despite this, institutional investors continue to show confidence, highlighting the differences between traders and experts in the market.
Retailers reduce exposure
Recent data shows a weakening of the importance of HYPE sales. According to CoinGlass, Hyperliquid futures Open interest (OI) it fell by 2% in the last 24 hours to $2.80 billion, indicating that traders are reducing or closing positions altogether.
At the same time, the market recorded $7.09 million in withdrawals, with approximately $6.29 million coming from long positions.
The dominance of long-term closures indicates that strong traders are forced to exit when prices have fallen, reinforcing short-term selling.
Despite the decrease in the position, the investment remains positive at 0.0078%, which indicates that some traders continue to maintain bullish expectations and are ready to pay a premium to have long positions.
Although retail sentiment has weakened, corporate interest continues to provide support.
Data from CoinGlass shows that HYPE exchange traded funds (ETFs) attracted $4.32 million in total entries on Tuesday, following $8.43 million in entries recorded on Monday.
The trend shows that large investors remain optimistic about Hyperliquid’s long-term prospects despite the short-term market volatility.
This difference between gathering organizations and carefully trading places can be an important factor in determining the great movement of the mark.
Hyperliquid price view: Support near $64.75 comes forward
At the time of writing, HYPE is trading around $68, maintaining its bullish outlook despite recent weakness.
The indicator remains well above the 50-day Exponential Moving Average (EMA) at $62.36, which continues to move above the 200-day EMA at $48.40—a good sign of long-term trend.
However, recent resistance from the local resistance movement near $72.75 has increased the possibility of a short-term correction.
Technically, HYPE may continue to follow a rising support line around $64.75, an area supported by the nearby 50-day EMA.
Momentum indicators continue to lean very cautiously but are showing signs of slowing. Moving Average Convergence Divergence (MACD) remains above its signal line, which indicates that the positive trend has not disappeared.
Currently, the Relative Strength Index (RSI) is hovering around 54, indicating a gradual buying power and a return to the neutral zone.
Unless buying activity picks up, the current pullback may continue before a major expansion begins.
The first major support lies near the highs around $64.75, followed by the 50-day EMA at $62.36. A definite break below these levels could signal HYPE’s deep correction, which could lead to the $60 level.
On the upside, the bulls need to recover the $72.73 resistance zone, which is in line with the recent lows. A successful breakout above this level could resume the upward trend and pave the way to the R1 Pivot Point at $77.09, followed by the R2 Pivot Point at $89.14.
Meanwhile, the short-term outlook remains cautious, with the decline in trade demand being moderated by the number of institutions.
