Recent volatility in the crypto market has pushed the hyperliquid price into a vulnerable zone, where fading demand and key support levels now define the short-term risk profile.
Summary
Hyperliquid market structure turns decisively bearish
The Hyperliquid chart has now confirmed a clear bearish structure, with consecutive lower highs and lower lows dominating recent sessions. This pattern signals sustained downside pressure and aligns with the weakness seen since the asset lost its point of control. Moreover, the failure to stage a meaningful rebound has kept sentiment fragile.
That said, the breakdown of the point of control has pushed the coin price back toward the $29 value area low, a critical zone within the current trading range. Since losing that key level, Hyperliquid has not reclaimed any major resistance and instead continues to oscillate near the bottom of the range, underscoring seller control.
Key support and resistance levels at $29 and $19
The $29 region is a pivotal support resistance zone. It carries psychological importance and coincides with the low-value area of the existing range. Historically, such levels can attract accumulation and spark short squeezes. However, recent order flow suggests accumulation at $29 has been limited, leaving the floor increasingly fragile as pressure mounts.
Moreover, one of the clearest warning signs on the price chart is how frequently intraday moves have probed the $29 low without generating a strong, sustained bounce. A decisive daily close below $29 would mark a structural breakdown, opening the door to a deeper move. In that case, the next major downside correction target sits around $19, which acts as the higher time frame support.
Volume analysis confirms fading bullish conviction
Volume has played a central role in the current weakness. Bullish inflows have faded steadily, and recent sessions show no convincing spike in demand near the $29 zone. This ongoing volume analysis points to a lack of aggressive dip buying, despite the asset trading near a key support level. As a result, sellers retain the upper hand.
Historically, Hyperliquid has only staged meaningful recoveries when strong volume entered near major supports. However, the current tape shows subdued participation from buyers, with rallies quickly sold into. This behavior reinforces the risk that a loss of $29 could lead to an impulsive slide toward the $19 region without much initial resistance.
Fundamental catalysts fail to lift sentiment
On the fundamental side, broader interest in the project has not yet translated into a positive crypto price response. Paxos recently selected Plume, Hyperliquid, and Aptos as the primary networks for the launch of the USDGO stablecoin on its platform. The announcement, made in 2024, highlights Hyperliquid’s integration in a key stablecoin infrastructure initiative.
However, this usdgo stablecoin impact has so far been muted in the secondary market. Hyperliquid has also addressed recent criticism that it prioritizes revenue over trader needs, issuing clarifications intended to reassure users. That said, these public statements have not altered the immediate trajectory of the asset, as intraday token price action remains weak.
Short-term price outlook and risk levels
Traders monitoring the hyperliquid price face a market where technical signals outweigh fundamentals in the near term. The persistent lower highs and lower lows, combined with the proximity to $29, keep the short-term bias firmly to the downside. Moreover, the absence of a sharp increase in buying interest suggests caution is warranted for momentum traders.
If $29 fails on a closing basis, downside acceleration toward $19 becomes more likely, as stops and forced liquidations could amplify selling pressure. Conversely, a strong defensive reaction from buyers at $29, supported by surging volume, would be needed to invalidate the current negative market outlook and rebuild confidence in any sustainable recovery.
What to expect next for traders
Looking ahead, the primary focus remains on how price behaves around the $29 level in the coming sessions. A clean reclaim of lost structure with expanding volume could offer a more constructive price today setup for short-term participants. However, until that occurs, traders may continue to view rallies into resistance as opportunities to reduce risk.
In summary, losing $29 on a confirmed close would likely send the asset quickly toward the $19 support, while a decisive defense of this zone could delay further downside. For now, the structure favors bears, and any bullish reversal will require a visible shift in demand and volume dynamics.
What to expect next for traders
Looking ahead, the primary focus remains on how price behaves around the $29 level in the coming sessions. A clean reclaim of lost structure with expanding volume could offer a more constructive price today setup for short-term participants. However, until that occurs, traders may continue to view rallies into resistance as opportunities to reduce risk.
In summary, losing $29 on a confirmed close would likely send the asset quickly toward the $19 support, while a decisive defense of this zone could delay further downside. For now, the structure favors bears, and any bullish reversal will require a visible shift in demand and volume dynamics.
