Key Insights:
- HYPE crypto surged 11% as spot inflows pushed the price from $28 to nearly $35.
- $720 million in weekly capital inflows made Hyperliquid the top blockchain for new liquidity, while futures open interest jumped to $1.4 billion.
- Bullish derivatives positioning and strong on-chain growth have traders eyeing Fibonacci targets as high as $57.
Hype crypto investors are in celebratory mode this week as the token extends bullish momentum. Meanwhile, the Middle East flare-ups jacked oil prices to $120 a barrel.
HYPE crypto price surged 11.2% in the past 24 hours, hitting $34.92 from a $28 base. This upside was backed by massive spot inflows that soared to the highest levels in months.
Traders have piled in with over $720 million in net capital over the week according to Artemis data. This made Hyperliquid the top blockchain for inflows. This retail-fueled pump has outpaced the top 50 cryptos, drawing attention as spot volumes reached $177 million daily.
Why is HYPE Crypto Price Rising?
Hyperliquid’s native token, HYPE crypto, surged on 2 March, defying broader market weakness. HYPE was the best performing token among the top 50, followed by JUP (+10% ) and ZEC (+9.3%).
The rally was driven by real utility, not just hype, as traders flocked to the platform amid global chaos. Price has climbed from $28 support, smashing through $35 resistance with conviction.
Sources show the current Middle East tensions may have had a part to play in the spike in Hyperliquid price. The Hyperliquid CL-USDC perpetual contract, which tracks West Texas Intermediate crude oil, overtook Ether token trading on the platform.
This happened as the oil futures jumped more than 30% to nearly $120 a barrel on traditional exchanges on Monday. This came in the aftermath of the rising tensions in the Middle East that have disrupted global supply chains.
The tokenized crude contract reached $107 a barrel during Sunday trading and spiked up to $120 on Monday. As of the time of writing, the Oil price has dropped by 4.65% in 24 hours to trade at $90.36.
Futures Traders Pour $1.41 Billion Into Hyperliquid
Meanwhile, futures traders took advantage of this turn of events to Long HYPE crypto aggressively. Data from CoinGlass shows open interest (OI) ballooned by 12.57% in 24 hours to hit $1.41 billion, showing traders were getting interested in the token.
What’s more, the long/short (L/S) ratio rose to 1.0375 over the past 24 hours.
This ratio measures the number of traders holding long positions versus those in short positions. If greater than 1, it means more traders are long than short.
This data suggests that bullish sentiment dominates among futures traders. Despite the optimistic overall metrics, the L/S ratio on OKX came in at 0.83, meaning OKX traders are heavily shorting HYPE.
Nevertheless, bullish momentum seems to be the prevailing one as the overall L/S ratio remains above 1.
Following the surge, Hyperliquid chain total value locked (TVL) jumped 7.13% to $1.72 billion, as revealed by data from DeFi Llama. Overall perps volume on Hyperliquid L1 jumped 16.91% weekly to $52.83 billion, with stablecoin market cap rising 3.93% to $4.798 billion.
Funding rates stayed neutral around 0.005%, with no overheating signals. This positioned HYPE as the go-to for macro hedging in crypto at the moment.
HYPE Crypto Price Eyes $63% Extended Gains
The 1-day HYPE USDT price shows the asset formed a bottom around $20 on 21 January before beginning its ascent. HYPE crypto price remained relatively stable, despite the market facing extreme sell pressure from geopolitical tensions. It achieved a higher low in the last 48 days.
Higher lows are usually a precursor for higher highs, which is a bullish market structure. Price was firmly above the 50-day simple moving average (SMA), which recently served as support for Hyperliquid to rebound from.
The relative strength index (RSI) is currently at 62.88 and on the way up, signaling increasing bullish momentum. The RSI was almost overbought, but still had some room for more upside.
The Fibonacci retracement tool shows just how high traders can expect the HYPE crypto price to go if bullish momentum sustains. The first level of resistance to beat is the previous high at $38.59.
Beyond that, the natural price action magnets are the 127.2% and 161.8% fib extension levels around $45.38 and $57.16, respectively.
Can Hyperliquid Soar Higher?
Hyperliquid has positioned itself as a beast in DeFi perps, with HYPE crypto benefiting from 97% of fees burned. This deflationary tactic keeps supply tight. Some analysts have predicted rallies to $150 if adoption sticks.
However, with the oil geopolitics currently behind the pump, any cooldown could cap the rally. For now, Hyperliquid has outperformed amid the surge, proving it’s not just another “hype” token.