HYPE price continued its recovery this week, helped by the ongoing crypto market rally and the recently launched prediction marketplace. Hyperliquid token was trading at $44 on Wednesday, its highest point since April 19 this year. It has jumped by 115% from its lowest level this year.
Hyperliquid launches Polymarket competitor
HYPE price has done well this week as the team launched Outcomes, its Polymarket competitor. According to its website, the only bet on the platform is on where Bitcoin will be in a certain time. In the future, however, Hyperliquid aims to add more products to the platform.
Analysts believe that, based on its track record, Hyperliquid has a chance to continue growing its market share in the coming years, a move the will disrupt the existing platforms.
The launch happened as Hyperliquid continued growing its market share in the perpetual futures trading, where it has become the biggest name. Its popularity has jumped during the US-Iran war, where it became the best place to trade crude oil futures.
As a result, the volume has continued soaring in the past few months. Data compiled by DeFi Llama shows that the network handled perpetual futures contracts worth over $183 billion in the last 30 days.
Aster, the second biggest name in the industry, handled over $55 billion in volume. edgeX network handled $50 billion, while Lighter and Gvrt processed transactions worth $49 billion and $48 billion, respectively. Hyperliquid is also handling more transactions than popular centralized platforms like Deribit.
These numbers are important as they have helped it make substantial sums of money in fees, which it then uses to burn the tokens and execute token burns. It made over $214 million in the first quarter, down from $286 million in the fourth quarter and $354 million a quarter earlier.
The next important catalyst for the HYPE token is that some large companies like Grayscale, Bitwise, and 21Shares are about to launch their spot ETF. These funds will make it possible for American institutional investors to invest in the token.
Data shows that HYPE’s futures open interest has continued rising this week. It jumped to over $1.75 billion on Wednesday, its highest point since April 19. This is a good metric as it shows that demand among investors is rising.
HYPE price technical analysis
Hyperliquid price chart | Source: TradingView
The daily timeframe chart shows that the HYPE token has rebounded in the past few months, moving from a low of $20 to the current $43. It has formed an ascending channel and has just moved above the lower side.
The token has also moved to the Strong, Pivot, Reverse level of the Murrey Math Lines tool. Also, it jumped to the 61.8% Fibonacci retracement level..
The coin remains above the 50-day and 100-day Exponential Moving Averages (EMA), a sign that bulls remain in control.
Therefore, the most likely HYPE price forecast is bullish, with the initial target being at the psychological level of $50. The challenge, however, is that the token has formed a rising wedge pattern, which normally leads to a pullback.
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