- HYPE price continued its strong rally on Thursday.
- Hyperliquid is seeing a surge in volume despite the ongoing crypto consolidation.
- The HYPE burn rate and buybacks will likely continue rising as fees rise.
HYPE price continued its recent rally, reaching its highest point in over a month as its network activity soared. Hyperliquid token spiked to $36.35, up substantially from the year-to-date low of $20. This recovery may accelerate in the foreseeable future as the crude oil futures activity pushes volume much higher.
HYPE Price Jumps Amid Soaring Hyperliquid Volume
Data shows that Hyperliquid has become one of the top beneficiaries of the ongoing war in the Middle East because of the oil futures it offers. Together with Polymarket, it has become an important platform for people to capitalize on soaring crude oil prices, especially on weekends when other markets are closed.
According to DeFi Llama, the volume handled on its platform has jumped to over $178 billion in the last 30 days. This amount is much more than what other companies like Coinbase, Kraken, Lighter, and edgeX are handling. For example, Aster handled over $77 billion while EdgeX handled $70 bilion in the same period.
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This volume may continue in the coming days as crude oil prices jump back to $100 after Iraq suspended some of its oil activities. As a result, Brent and West Texas Intermediate (WTI) bounced to $100 and $98, respectively, on Thursday morning.
The rising volume has led to a surge in Hyperliquid fees, which, in turn, will drive more token burns and buybacks. Hyperliquid made $70 million in February, down from $76 million in January. This decline was notable, as its volume dropped slightly in February amid tumbling crypto prices. Hyperliquid has made $24 million this month.
The ongoing fee recovery will likely continue because of the recent vote to launch a prediction marketplace with leverage features. This is happening because prediction platforms like Polymarket and Kalshi handle billions of dollars in monthly volume.
Hyperliquid Token Price Technical Analysis
The daily timeframe chart shows that the HYPE price has performed well over the past few months, rising from a low of $20 in January to the current $36.
It formed a giant falling wedge pattern, composed of two descending, converging trendlines. A wedge is a highly common bullish reversal sign in technical analysis.
The coin has remained above the Supertrend indicator, while the Relative Strength Index (RSI) and the MACD are trending up. This rally is a sign that the ongoing recovery is gaining momentum.
Therefore, the coin will likely continue rising in the near term as bulls target the initial resistance level at $38. A move above that price will lead to more gains in the near term, potentially to the psychologically critical level of $50.
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