Key Insights
- •Hyperliquid (HYPE) token broke below a major support zone identified by analyst Ali.
- •The breakdown suggests increased downside momentum in the short term.
- •The next technical target highlighted is the $24 level.
Hyperliquid’s HYPE token has breached a critical support level around $30, sliding 8.9% in the past 24 hours to $28.35 as of December 7, 2025. Analysts are now watching $24 as the next potential floor amid a broader market cooldown that saw trading volume drop 22% to $246.65 million.
Crypto analyst Ali Martinez highlighted the downside in a December 7 X post, sharing a 1-hour chart showing HYPE’s break below the descending triangle base near $30, opening the path to $24 if momentum holds. Launched in late 2024 as Hyperliquid’s native token, HYPE has surged 641.8% from its $3.81 all-time low but faces its first major test since the September 18 peak of $59.30, with circulating supply at 270 million tokens and market cap at $7.67 billion per CoinGecko data.
For Hyperliquid, the layer-1 perp DEX boasting $2.15 billion TVL and $835,775 in daily fees, this pressure tests resilience after a $314 million token unlock on November 29, but on-chain metrics like RSI at 28.88 signal oversold conditions ripe for a rebound if $26.5 holds.
Hyperliquid’s Recent Momentum: From ATH to Support Test
Hyperliquid launched HYPE in November 2024 with a selective airdrop to 94,000 users averaging $45,000-$50,000 each — one of crypto’s most generous distributions, per CoinMarketCap’s November 29 recap. The token rocketed 94.1% year-to-date, hitting $59.30 on September 18 amid DeFi hype, but corrected to $20.24 in late December 2024 before climbing back. By early December 2025, HYPE traded at $33.52, up 14% weekly despite a 1.8% daily dip, outperforming Bitcoin’s flatline.
Martinez’s December 7 post featured a candlestick chart marking the $30 breach: "Hyperliquid $HYPE is breaking through a key support level, opening the door to $24." The descending triangle pattern, formed since the $40 rejection in late November, signals bearish continuation if volume sustains. The current 24-hour turnover at $246.65 million, down 22% from prior peaks, per CoinGecko.
Replies amplified the alert. CryptoHornHairs (@CryptoHornHairs) posted: "HYPE only has $14m of sell orders before it hits $30... What happens next?" CryptoPatel (@CryptoPatel) added: "HYPE looking pretty nice with a double bottom + higher high... $30 by EOW would be ideal," but noted consolidation risk.
HYPE Technical Analysis: $24 as the Line in the Sand for Hyperliquid
HYPE’s chart tells a cautionary tale. The token retests a lost support now acting as resistance near $30-$31, aligning with a head-and-shoulders neckline. RSI at 28.88 screams oversold — below 30 territory — while MACD histogram contracts, hinting at further downside if $26.5 fails, CoinCodex December 7 data shows.
Conversely, a reclaim above $32.22 (pivot resistance) eyes $35.70 short-term forecast. Volatility sits at 8.87% over 30 days, with 43% green days, typical for a perp DEX token. On-chain whispers resilience. Hyperliquid’s codebase upgrades via HIP-3 enable permissionless perps, deployed October 13, boosting utility.
Whale deposits like a $13 million USDC influx signal conviction, per earlier Dune dashboards, though the November 29 unlock of 9.92 million HYPE ($314 million at peak) added selling pressure. Community sentiment splits: X searches for “Hyperliquid HYPE breach” December 7 yielded 80 posts, 55% bearish on $24 risks, 45% bullish citing $44-$50 December targets from falling wedge breakouts, per aggregated replies.
HYPE faces a pivotal week. Technical analysis flags $38 resistance for $44-$50 by month-end, but a $30 crack eyes $24 closely into 2026. With 13/30 green days and Fear & Greed at 13 (extreme fear), oversold RSI suggests bounce potential.