HYPE dips 30% on monthly chart, sparking potential rebound interest Targeting $37

Key Insights:

• HYPE drops 30% on the monthly chart, rebounds 8% in 24h with rising trading volume.
• Large short positions continue despite partial liquidation, showing growing bearish pressure near $33.50.
• Traders eye $29 as strong support level, expecting potential move toward $37 resistance zone.

​​Hypeliquid (HYPE) has seen a 30% drop on its monthly chart, raising questions about a possible short-term recovery. Traders are now watching closely as the price shows signs of strength following this deep correction.

The asset is currently trading at $34.72, up 8.04% in the last 24 hours. Traders and holders are now watching key levels for any sign of price recovery.

Traders Monitor Key Support at $29, Targeting $37 

According to market analysts, Crypto Bully points to the $29 zone as a key support level. If this area holds, it could lead to a move towards $37. The $29 level has emerged as a strong area of support following this month’s downturn. Traders are now monitoring the price to see if it continues to push higher.

Despite a steep monthly decline, traders are not yet showing signs of panic. Many are viewing the pullback as a temporary phase. Market sentiment may shift if current levels persist over the next few days. 

HYPE’s 24-hour trading volume has surged to $525 million, showing increased participation. Large short positions have also become part of the discussion.

Short Interest Builds as Price Approaches Critical Levels

Meanwhile, a trader has taken a large short position on $HYPE, adding pressure to the current price. Based on MLM, the trader shorted 2.1 million HYPE, worth around $67.1 million, using $6.9 million in margin. His liquidation range is now close to the $33.50 mark.

Despite being liquidated for $8.45 million in HYPE, the trader is still holding a large short position. This continued activity shows that short-side pressure remains, although price is now trading above its liquidation range. It is unclear how long this strategy will continue.

Community Remains Focused on Long-Term Vision

Moreover, Long-term holders have not changed their outlook on the project. The team behind Hyperliquid continues to promote patience. An update from Hyperliquid Daily noted, “If those core reasons remain as valid as ever, then this price dip isn’t a setback, it’s a rare chance to stack more at a discount.”

Hyperliquid is built as a high-speed decentralized exchange for perpetual trading. Despite short-term volatility, many holders believe in the technology and the project’s long-term roadmap. Current prices are being viewed by some in the community as a discount opportunity.