Hyperliquid Price Approaches Historic High After Explosive Rally This Week

Key Insights:

• Hyperliquid (HYPE) crypto price has pulled off 40% gain since Sunday and now sits in the overbought territory.
• Hyperliquid secures the majority share of the crypto market fees.
• HYPE has reportedly surpassed SOL in terms of fully diluted valuation.

Hyperliquid price has pulled a solid lead ahead of the competition as most of the top coins attempt to regain bullish composure. The week is not yet over, but HYPE crypto is already the biggest weekly gainer this week.

Hyperliquid (HYPE) price jumped from as low as $41.3 at its lowest price this week on Sunday. It has since surged as high as $58.9 in the last 24 hours. A 40% gain during which it achieved 5 consecutive green candles.

The Hyperliquid price rally was also noteworthy because it came close to its historic ATH achieved in September last year. The same historic top zone could potentially act as a resistance zone.

The HYPE crypto price was already in the overbought territory at the time of observation. This suggests that profit-taking may yield some sell pressure in the near future.

What Is Really Driving The Hyperliquid Price Rally?

Hyperliquid positioned itself to gain an edge as one of the leading DEXes especially in the derivatives market. However, it also aligned itself with key narratives such as RWAs.

While these factors played a role in boosting HYPE crypto price, things might be about to kick into high gear. This latest rally was not a fluke but rather the culmination of multiple favorable factors.

For example, it is now over a week since the 21Shares Hyperliquid ETF launched. Moreover, it has so far experienced steady daily inflows, with the total assets under management clocking over $30 million.

Speaking of institutional appeal, Goldman Sachs, one of the biggest global financial institutions, revealed its investment in Hyperliquid Digital Asset Treasury.

The HYPE crypto also benefited from a recently disclosed Coinbase USDH deal, which will reportedly provide a 20% to 25% revenue boost.

Hyperliquid might be planning to boost the value of HYPE crypto too. Recent reports revealed plans to use 99% of its more than $50 million revenue for its crypto buy-backs.

Hyperliquid Is Outpacing Its Competition On Key Metrics

It is worth noting that Hyperliquid currently controls more than 43% of the fees generated from the crypto market. This means it generates more revenue from crypto fees than the top brass in the game, including Ethereum and Solana.

Based on the recent data, Hyperliquid seems to be positioning for a more solid grip on the market. This may not just be on the crypto market but also on the RWAs segment.

Meanwhile, recent reports stated that the SEC was planning to greenlight the “innovation exception” on 24/7 tokenized stocks trading. If this goes through, then Hyperliquid price may benefit immensely.

This is because Hyperliquid happens to be one of the top crypto rails supporting RWAs, including tokenized stocks. But what exactly does this mean for HYPE crypto price in the short and long-term?

The fact that it was retesting a major historic level while in overbought territory meant a higher retracement probability. This is the likely outcome in the short term, given that the overall market conditions have yet to improve.

The long-term outlook may offer more growth potential based on the current developments mentioned above. However, the extent of that growth remains unknown.

Coingecko recently noted that HYPE crypto has surpassed SOL in terms of fully diluted valuation (FDV).

The CoinGecko analysis suggested that Hyperliquid crypto price would be worth about $209 if it matched Solana’s market cap. This suggests that there could still be significantly more upside for the HYPE crypto price in the long term.

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