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Hyperliquid Price Prediction: HYPE Eyes $100 as Momentum Builds Up

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Highlights:

  • HYPE is making new highs above $50, and with accelerated momentum
  • HYPE’s next target could be $100 if the momentum continues
  • Rally driven by growing adoption and risk-on sentiment across the market 

Hyperliquid (HYPE) has made a strong rebound today, outperforming most top 100 cryptocurrencies as the market makes a positive turnaround. In the last 24 hours, Hyperliquid has gained 15% to trade at $51. However, trading volumes have dropped in the day, down by 9.61% to stand at $338.32 million. This is an indicator that while the price has pumped, investors are still cautious about taking long positions in HYPE at the moment. 

This is a reflection of the prevailing uncertainty since Bitcoin’s rebound in the day is weak. As such, traders may be waiting for a stronger rally in the price of Bitcoin to confirm an altcoin rally. On a more positive note, the decline in Hyperliquid’s trading volumes is an indicator that holders are not taking profits despite HYPE’s pump that has put its price close to $50. 

Hyperliquid’s Rising Adoption Likely to Push HYPE to New Highs

Outside of the trading volumes, HYPE’s growing adoption as the preferred futures trading volumes is likely to keep the momentum going into the future. Data indicates that for the last 3 months, Hyperliquid has outperformed Robinhood, a top trading platform in volumes in the US. In July alone, Hyperliquid handled volumes to the tune of $330.8 billion. This is an indicator that Hyperliquid is increasingly bringing the competition to centralized exchanges and winning.

As investors increasingly gravitate towards Hyperliquid, HYPE’s value stands to gain in value as well. It explains why even in the recent cryptocurrency market correction that started over the weekend, HYPE held its value better than most altcoins. While most altcoins’ value is driven by HYPE and overall Bitcoin direction, Hyperliquid has a fundamental value to it that gives it a price floor regardless of market conditions. 

Institutional Capital Adding Bullish Momentum to HYPE

At the same time, the HYPE token is drawing in a lot of institutional capital. The cryptocurrency market is undergoing a structural shift, and institutional money is increasingly driving market direction. HYPE is one of the altcoins that is increasingly drawing in this capital, and this explains its increasing strength in recent months. For context on how big the demand for HYPE by institutions is, BitGo has made a move that will help deepen the infrastructure necessary for HYPE’s adoption.

They expanded their institutional-grade custody services for the HypeEVM. What this means is that institutions can now interact with HYPE tokens more easily, including the management of hot and cold wallets, and deal securely with Hyperliquid smart contracts. This is a move that could help draw in billions of dollars of institutional capital into HYPE, and the same could reflect in its price action over time. 

Risk-On Assessment Across the Market Favors HYPE

HYPE also stands to benefit from the risk-on sentiment that is taking root in the markets. On Friday, August 22, the Federal Reserve Chairman, Jerome Powell, hinted that they would be cutting interest rates. The markets responded with a strong rally. While profit-taking led to a sluggish weekend, momentum is back, not just in cryptocurrency but also in stocks. As momentum builds up ahead of the rate cut, cryptocurrencies like HYPE that have already shown strong momentum could go parabolic.

Technical Analysis – HYPE Making Higher Lows In A Bullish Channel

Hyperliquid in a strong bull run at the moment, and is making higher lows in a bullish channel. This is an indicator that every slight correction in the price is being bought up. 

HYPE
Source: TradingView

If bulls remain in control, HYPE could be headed to prices as high as $100 in the short term. On the other hand, if there is a correction, HYPE is likely to find strong support at $48.38, before a continuation of the rally.

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