Hyperliquid’s native token HYPE has recovered from the $20 to $21 support zone and is now trading around $36 to $37, putting the market back in front of the $37.5 to $38 resistance band. The rebound has come with stronger activity in both spot and derivatives markets, a sign that traders are returning as price structure improves.
Higher lows have been forming since January
Earlier price action suggested HYPE may have built a base near $20. From September through December, the token stayed under selling pressure and drifted lower. That pattern started to change in January when buyers returned near the lower range. Since then, the chart has produced a sequence of higher lows and gradual attempts at higher highs. The recovery has not been explosive. It has been steady, and that makes the current test more important.
$38 and the area above $40 now frame the next move
The first level traders are watching is the $37.5 to $38 zone. Price was rejected there recently, so the market is now revisiting an area that already capped upside once. If HYPE clears that band and holds above it, the next major barrier sits around $40 to $41, which aligns with the 0.5 Fibonacci retracement level.
Above that, another resistance area appears near $44.5. That level lines up with the 0.618 Fibonacci retracement and an earlier area of price activity. These zones now define whether the rebound can keep extending or whether momentum fades into consolidation.
Momentum indicators remain strong, but overbought conditions are visible
Technical indicators show buying pressure has strengthened in recent sessions. The Donchian Channel has price moving along the upper boundary, a pattern often associated with strong upward momentum. At the same time, the Stochastic RSI has climbed to around 96. That reading can point to a short pause or a mild pullback before the trend tries to continue higher.
Open interest and exchange inflows both point to renewed participation
Participation data has improved as the rally develops. Open interest previously surged above $2.5 billion during an earlier advance, then dropped sharply in October as leveraged positions were closed. Since then it has stabilized in a $1.2 billion to $1.6 billion range and has recently moved back up to about $1.47 billion.
Spot-market flow data is also showing higher exchange inflows during the recovery. That shift suggests traders have resumed adding exposure to HYPE as the token pushes into a key resistance area. What happens around $38, and then around $40 to $41, now matters most for the next short-term direction.