The cryptocurrency market was hit hard by the recent $6.3 billion Binance hack, yet Hyperliquid’s native token defied the broader pullback and posted a nearly 10% gain over the past week.
However, one popular analyst warned that the asset could soon nosedive by double digits, while a key factor supports the bearish scenario.
Drop Below $60 Incoming?
As of press time, HYPE is changing hands just below $85, down from the local peak of about $96 recorded before the Binance incident. Nonetheless, it remains firmly in the green on both the weekly and fortnightly timeframes.
According to Ali Martinez, though, the asset is forming a potential head-and-shoulders top on the 12-hour chart, pointing to a possible 22% correction. He went even further, suggesting that a sustained close below the $76-$78 neckline could be followed by a crash toward a 10-week low of $59.
The analyst believes a recovery above the right shoulder’s high of the structure, at near $90, would weaken the bearish setup. “The pattern isn’t confirmed until Hyperliquid breaks support. A bounce from $76–$78 could keep the formation from playing out,” he added.
FOUR | Crypto Spaces also presented a pessimistic view. The analyst warned that the recent weakness has tilted the balance in favor of the bears, arguing that a drop below $77 could trigger a collapse toward $60.
Token Talk, for their part, claimed HYPE has reached a critical juncture, identifying the $76-$77 range as a key support zone bulls need to defend.
“If we keep bouncing between these levels, cool. But if support finally gives up, I don’t think the downside is going to be pretty,” they stated.
The Red Signal
According to CoinGlass, HYPE has recorded positive exchange netflows for six consecutive days, indicating that more tokens have been moved to centralized platforms than withdrawn to self-custody wallets. This development is typically interpreted as bearish since it increases immediate selling pressure.
Exchange netflows have been a hot topic lately. Somewhat expected, the $6.3 billion Binance hack undermined the credibility of the world’s leading crypto exchange and led to massive outflows. Once withdrawals were restored, users pulled nearly $4.65 billion from the platform in under 10 hours, far exceeding the roughly $1 billion in deposits recorded over the same period.
Latest data shows that Binance’s netflows for the last seven days have reached almost -$12 billion, while some of its competitors saw significant inflows and increased their market share. OKX, for instance, attracted roughly $360 million in net flows over the past week, while Bybit recorded approximately $140 million.
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