Hyperliquid Token Drops 60% from Its High as Validators Get Ready for Burn Vote
Current Price and Market Performance: Hyperliquid's token, HYPE, is trading around $24, down over 60% from its all-time high of $59, with a recent decline of more than 10% in the last 24 hours and nearly 13% over the past week. The trading volume reached $550 million, and its market capitalization is approximately $6.6 billion, making it the 25th-largest cryptocurrency.
Technical Analysis and Market Sentiment: Analysts describe the recent price action as an "extremely bearish pattern," with HYPE breaking through key support levels. The token is currently below the 50% Fibonacci retracement level, indicating resistance at $26, and showing weak buying interest as indicated by an RSI of 37.
Supply Dynamics and Token Burn Proposal: The Hyper Foundation has proposed burning 37 million HYPE tokens, about 13% of the circulating supply, with a vote scheduled by Dec. 21. Additionally, significant deposits of USDC into Hyperliquid suggest potential buying interest, although the market remains under pressure from token unlocks.
Recent Developments in Hyperliquid Strategies: Hyperliquid Strategies, a fund trading on Nasdaq, launched in early December and holds 12.6 million HYPE tokens along with over $300 million in cash. The fund has initiated a $30 million stock buyback program shortly after its public debut.
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Technical Analysis for TOKEN
Technical Sentiment Analysis for TokenFi (TOKEN) As of , TokenFi (TOKEN) is exhibiting a Strong sell technical sentiment. Our proprietary analysis, which aggregates 4 technical signals, shows that 0 indicators are flashing buy, while 4 are indicating sell.
Momentum Indicators: RSI, MACD & Overbought/Oversold Status Currently, the Relative Strength Index (RSI) for TOKEN stands at -, which suggests a Neutral condition. Meanwhile, the MACD (12, 26) indicator is at -, providing a Neutral signal for short-term momentum. Other oscillators like the Stochastic Oscillator at - and the Commodity Channel Index (CCI) at - further confirm a - outlook for the stock.
Support, Resistance & Moving Averages From a structural perspective, TOKEN is trading below its 60-day moving average of $- and below its 200-day long-term moving average of $-. Key price levels to watch include the immediate resistance at $- and strong support at $-. A break above $- could signal a bull continuation, while falling below $- may test the next Fibonacci floor at $-.
TokenFi (TOKEN) Support & Resistance Level
| Name | S3 | S2 | S1 | Pivot Points | R1 | R2 | R3 |
|---|---|---|---|---|---|---|---|
| Classic | 0.000687 | 0.00175 | 0.00257 | 0.00363 | 0.00445 | 0.00551 | 0.00633 |
| Fibonacci | 0.00175 | 0.00247 | 0.00291 | 0.00363 | 0.00435 | 0.00479 | 0.00551 |
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