Hyperliquid (HYPE) continues to extend its losses, trading below $54.80 at the time of writing on Wednesday after falling over 8% so far this week. Weakening institutional demand supports this correction, and a deteriorating technical outlook suggests deeper losses ahead.
Weakening institutional demand
Institutional demand shows weakening signs. SoSoValue data shows that US-listed spot HYPE ETFs recorded outflows of $1.24 million on Tuesday, marking four consecutive days of withdrawals. If these outflows continue and intensify through the week, HYPE could extend its correction.
Derivatives data shows a slight bearish tilt. CoinGlass’ long-to-short ratio for HYPE read 0.95 on Wednesday, nearing its lowest levels in over a month. A ratio below 1 indicates bearish sentiment, as traders bet that asset prices will fall.
Hyperliquid Price Forecast: Momentum indicators show bearish bias
Hyperliquid price trades at $54.80 on Wednesday, holding a soft bearish tone after slipping below the mid-range Exponential Moving Averages (EMAs). Price sits above the 200-day EMA at $50.80, but remains capped beneath the 100-day EMA at $57.26, keeping the broader structure under pressure.
The Relative Strength Index (RSI) near 35 indicates weak downside momentum. At the same time, the Moving Average Convergence Divergence (MACD) remains negative, suggesting rallies are likely to face selling pressure as the pair trades below clustered resistance overhead.
On the topside, initial resistance is seen at the 100-day EMA and the 50% retracement around $57.30–$57.40, with the 50-day EMA near $61.28 as the next barrier, ahead of the 38.2% Fibonacci retracement at $65.07.
On the downside, immediate support emerges at the 200-day EMA around $50.80, followed by the 61.8% Fibonacci retracement level at $49.75; a break below this band would expose deeper retracement supports at $38.85 and $24.96, where buyers could attempt to stabilize the broader pullback.
(The technical analysis of this story was written with the help of an AI tool. Know more.)
