Hyperliquid has made a notable recovery after dipping below its range low, signaling potential bullish momentum. This analysis outlines the key price levels to monitor and possible scenarios for future movement.

Hyperliquid’s Price Action: Key Levels to Watch

Recently, Hyperliquid demonstrated significant signs of a trend reversal after deviating below its critical range low of $9.34. The price quickly reclaimed the range, followed by a bullish retest at this level, aligning perfectly with the 0.618 Fibonacci retracement. This technical development suggests that higher prices could be on the horizon as long as the deviation low holds steady.

Key Highlights:

  • Price deviated below $9.34 but successfully reclaimed the range, signaling a failed auction.
  • A bullish retest at the range low coincided with the 0.618 Fibonacci retracement level.
  • Current consolidation could lead to a breakout toward $18.50, the top of the range and another significant resistance level.

Understanding the Range Deviation

Hyperliquid’s price action established a swing low at $9.34 before reclaiming the previous range. This deviation, often referred to as a “failed auction,” occurs when sellers are unable to push the market further down, trapping them below the range. This creates a technical signal for potential bullish momentum.

The reclaim was further validated by two consecutive bullish engulfing candles, which demonstrated renewed buying interest and pushed the price back into the range’s point of control—a zone where the highest trading volume has occurred. This suggests that market participants are re-entering positions with confidence.

Current Consolidation and Future Targets

At present, Hyperliquid’s price is consolidating in the middle of its range, forming a textbook bull flag or shallow pullback pattern. If this consolidation resolves to the upside, the next major target lies at $18.50, the range high. This level also corresponds to another 0.618 Fibonacci resistance, reinforcing its importance.

“As long as the $9.34 deviation low holds, the bullish structure remains intact.”

However, traders should remain cautious. A breakdown below $9.34 would invalidate the current bullish setup and could lead to a downside move. Monitoring price action and volume near key levels is essential for confirming the direction.

Tips for Traders:

  • Wait for confirmation: Enter trades only after a breakout above local resistance with strong volume support.
  • Use risk management: Set stop-loss orders below $9.34 to minimize exposure in case of a breakdown.
  • Focus on Fibonacci levels: Watch for reactions at the 0.618 retracement levels, as they often act as pivot points in price action.

Hyperliquid’s current setup offers an attractive opportunity for short-term swing traders, but patience is key. Waiting for confirmation not only improves trade entries but also helps reduce unnecessary risks.

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