The Path to a Major Comeback with a Bullish Signal
While the cryptocurrency market has been experiencing a difficult period since the beginning of the year, one particular coin seems to be standing out: Hyperliquid (HYPE). The token is showing strong bullish signals, indicating a potential major comeback in the coming weeks.
After reaching its all-time high of $35.02 on December 21 last year, the price of HYPE entered a downtrend, forming a technical pattern called a “falling wedge.” However, things seem to be changing today.
The token is currently on the verge of breaking out of this pattern, crossing key moving averages such as the 20-day exponential moving average, the 9-day simple moving average, and the 50-day simple moving average. Additionally, the RSI is currently at 63.51, indicating that the bullish momentum is picking up.
A Key Level to Watch Closely for HYPE
If HYPE manages to stay above the $18 threshold, the next major target is the psychological level of $20. This is a zone that has served as support several times between January and February before the price retreated in early March.
Once this $20 level is breached, the next resistance level would be around $26, where the upper trendline of the falling wedge formation meets the local low formed in mid-February.
If the breakout of the falling wedge is confirmed, with a sustained hold above $18 on significant volumes, a longer-term target of $35 then becomes conceivable – a return to the all-time high.
A Bearish Scenario Not to Overlook
Of course, the bullish scenario would only be invalidated if HYPE fails to maintain itself above the $18 support zone, especially on high selling volumes. A drop below the 50-day simple moving average and the 20-day exponential moving average could pave the way for a retest of $17.30, or even a return to the bottom of the falling wedge, around $12-13.
But considering the current technical signals, everything indicates that the HYPE token is indeed on the path to a major comeback, with this bullish signal around $20 as a key milestone to watch in the coming weeks.
