$HYPE 4 In 24 hours, it surged in volume and then a long bearish candle got dumped. It was smashed straight from 88.381 down to 84.7โone candlestick dropped 4.1%.
That bearish candleโs trading volume exceeded 2 million contracts, and the traded value was 175 million. Itโs three times the volume of the previous few candlesticks. This isnโt something retail traders can smash through.
Hyperliquid is a decentralized perpetual contracts exchange. It uses an on-chain order book and doesnโt rely on AMM. Among the projects in the DEX sector right now, itโs one of the most steady. But stability doesnโt mean it wonโt fall.
The chart signals are very clear. The bulls tried to break out around 88, but they were knocked back. This wasnโt a slow pullbackโit was pressed down. The 24h drop is 2.48%, and the traded value is 574 million. Volume is concentrated in the down-leg, while it shrinks in the rebound leg. A typical short-dominant structure.
Market sentiment is cautious. The funding rate is 0.005%, basically zero. This suggests the longs donโt dare add positions, and shorts also havenโt rushed in on a large scale. The market is waiting for direction. But given that big-volume long bearish candle, the most likely outcome of what theyโre waiting for is a breakdown to the downside.
Whale activity shows up in both price and volume. After the wick at 88.381, the very next thing is three consecutive bearish candles. There wasnโt a meaningful rebound in between. The largest bearish candleโs body fell from 87.8 to 85.1, with volume of 2.02 million contracts. This kind of move indicates someone is unloading in size at the high. Itโs not a testโitโs decisive selling.
The volume-price structure is off. When the rebound reached 87.8, the volume was only 850kโless than 40% of the volume during the selloff phase. A low-volume rebound means thereโs no new money stepping in to take the bids. The bulls are waiting for others to lift the price, but no one is coming. This structure canโt hold.
The candlestick details are even more direct. On the 4h chart candle at 88.381, the upper wick is more than twice the length of the body. It closed at 85.13, opening at 87.82โan almost textbook shooting star variant. The following two small candles tried to bounce, but the high only reached 85.75, never even touching the midpoint of that big bearish candle. The shorts fully control the market.
Support to watch is 84.7. This is the 24h low and also the tip of that high-volume long wick candle. If it breaks, then 84.4 to 84.5 is the upper edge of the sideways range from a few days agoโthere could be some support there. But judging by this type of selloff, itโs questionable.
Resistance is at 88.3. In the near term, itโs unlikely to get tested again. 86.5 is the first rebound resistance; above 87 is where the real sentiment reversal level is.
Niniโs plan: Current price is 85.02. Bias is bearish. If 84.7 holds, it may range between 84.7 and 86.5 for a few days. If it doesnโt hold, thereโs more downside room below 84. No rush to bottom-pickโwait for a volume-backed selloff-stops signal first. If you need a customized strategy, you can find Nini.
#HYPE #DeFi #PerpDEX