The HYPE game – Why this token’s next move could shock the market!

• HYPE faces a significant provide wall with shorts positioning for a reversal
• SUI misplaced its eleventh spot as HYPE added $6.86 billion in market cap inside a month

It seems to be like Hyperliquid [HYPE] is on a tear proper now, pulling in capital from nearly in every single place. Nevertheless, in line with AMBCrypto, with a 110% month-over-month ROI, this transfer isn’t simply explosive. As an alternative, it’s strategic.

Sui [SUI] has change into the newest casualty, shedding its eleventh spot in market cap to HYPE, with the latter including a staggering $6.86 billion in valuation over the previous month alone. For perspective, that’s roughly equal to PEPE’s total market cap.

Now, HYPE could also be tapping into a significant provide wall. Opportunistic shorts are loading up, eyeing a reversal. Therefore, the query – Will the quick strain cool issues down or may it as a substitute spark the following explosive leg up?

Betting in opposition to the pattern – Sensible transfer or dangerous guess?

Coinglass data (4H) revealed that 60.7% of accounts throughout exchanges have been betting bearish. In different phrases, shorts could also be circling. 

That matches proper into AMBCrypto’s take. With HYPE simply 4.44% from a recent all-time excessive, merchants are leaping in, smelling a basic reversal setup. Technically talking, this transfer may really feel like textbook timing.

And, the warning indicators are flashing too. On the time of writing, HYPE’s RSI was hovering at 85, screaming “overbought.” All whereas the value already slipped 2.58% intraday, tapping a low of $37.53.

Supply: TradingView (HYPE/USDT)

Now, that’s the type of warmth that invitations quick curiosity, and perhaps even sparks some profit-taking. Living proof? A once-dormant whale simply made an influence transfer. 

In accordance with Lookonchain, the pockets scooped up 1.45 million HYPE between 7 December 2024 and 9 January 2025, at a mean price foundation of $18.39 – Totaling a $26.58 million capital outlay.

Quick ahead to this week – The whale offloaded 395k HYPE at $36.69, producing $14.51 million in returns. Nevertheless, that’s simply the beginning. Notably, 1.05 million HYPE remains to be on deck, valued at $40.5 million.

Not like earlier quick makes an attempt, this wave of quick positioning aligns with actual whale distribution. In flip, making it really feel much less speculative and extra tactical. If that pattern holds, the bears may truly be enjoying it sensible this time.

Why FOMO is HYPE’s biggest catalyst

In a bull market, each liquidity occasion turns into another person’s entry level. Proper now, it seems to be like HYPE bulls could also be enjoying by that rulebook with conviction.

Proper after one whale’s multi-million greenback exit triggered jitters of a attainable high, the tables flipped quick. 

In truth, Lookonchain information flagged three new deep-pocketed players leaping in, scooping up 137,921 HYPE tokens value a mixed $5.33 million. Their common buy-in? A assured $38.50.

Positive, short-term volatility may kick in as sensible cash locks in positive factors. Nevertheless, the FOMO remains to be very a lot alive – and that’s HYPE’s largest edge.

The shorts may assume the coast is evident, however with heavy accumulation stacking close to resistance, any quick squeeze may ignite a strong breakout. In different phrases, a brand new all-time excessive is perhaps inside attain.