Key Takeaways
Why is HYPE surging?
Hype is experiencing a surge in TVL, with an 87% MoM DEX volume spike and institutional support from Circle, leading to FOMO and significant capital inflows.
What’s the technical picture?
Hyperliquid has shown a Monthly ROI of over 30%, with three consecutive higher lows since $37 and consistent higher highs, making $57 a minor obstacle.
Hyperliquid [HYPE] is reaching new all-time highs due to a combination of factors. On September 17, HYPE surged by 6.15%, breaking the previous $57 resistance level. Despite a slight correction, the altcoin is now approaching the $60 mark.
On-chain data shows that HYPE’s TVL has reached a record $2.7 billion, with an increase of nearly $300 million in September alone. This growth far surpasses that of XRP during the same period.
From a technical perspective, HYPE has attracted over 20 times the capital of XRPL, indicating significant capital inflows and a thriving ecosystem that is driving this breakout. Hyperliquid is emerging as a strong competitor in the L1 space.
The increasing liquidity in Hyperliquid is attracting significant attention.
Circle, the team behind USDC, has become a stakeholder in HYPE, and recently HYPE launched native USDC + CCTP V2 on HyperEVM. This demonstrates rapid scalability of real use cases and the accumulation of serious liquidity.
As a result, HYPE’s DEX volume has surged by 87% MoM to $1.3 billion, while Ethereum’s [ETH] volume has declined by 42% in the same period, indicating increased trader activity on Hyperliquid.
HYPE’s ROI outshining the field
Q3 is shaping up to be Hyperliquid’s cycle, with strong performance reflected in its ROI.
HYPE has achieved a monthly ROI of over 30%, its best performance since May. This is 5 times higher than ETH’s performance, highlighting the increasing FOMO surrounding Hyperliquid. The price action has also been consistently positive.
Since hitting a low of $37 in early August, HYPE has formed three higher lows, each followed by a higher high, establishing a bullish trend. The $57 resistance level now appears more like a minor hurdle than a significant barrier.
In summary, the on-chain liquidity in HYPE is directly impacting its chart performance.
This is significant because even long-term holders are not selling off, but rather seeking further upside potential. The strong on-chain metrics support Hyperliquid’s position, keeping FOMO high and the demand strong for higher price levels.