Hyperliquid HYPE Surges 11% Amid Bitcoin Rally

Hyperliquid (HYPE) Surges 11% as Bitcoin Rallies — Is a Breakout Past $40 Finally Here?

Hyperliquid (HYPE) is once again lighting up the crypto charts—following Bitcoin's (BTC) strongest daily rally in over a month. But as the altcoin tests $40 resistance for the third time this June, the question remains: Will this be the breakout that sticks, or just another bull trap in disguise?

Bitcoin Breaks Out, HYPE Follows Suit

On June 9, Bitcoin posted its longest green daily candle in a month, rallying by 4% and lifting market sentiment across the board. Predictably, Hyperliquid (HYPE) was quick to respond, jumping a stunning 11.22% on the day.

BTC Daily Performance (June 9): +4%
HYPE Daily Performance (June 9): +11.22%
HYPE Closing Price: $39.171
Previous High in June: $39.12
New Resistance Test: $40

This marks the second major test of the $40 level in June. Both prior attempts ended in failure, with HYPE tumbling under market-wide selling pressure. But this time, things are looking different.

Technical Structure: Stronger and Sharper

The technical indicators around HYPE are beginning to shift from hopeful to potentially decisive. According to TradingView, Relative Strength Index (RSI) remains well-balanced even on lower timeframes—suggesting the rally is not yet overextended.

Meanwhile, one of the more telling signals comes from Open Interest (OI). On June 9, OI for HYPE surged 11.90%, reaching a new all-time high of $1.69 billion, surpassing even the OI levels seen during the previous two major price rallies.

Open Interest Spike:

Previous High (May 26): $1.39 billion

New Record (June 9): $1.69 billion

Rising Open Interest, especially at key resistance zones, often points to growing speculative positioning and trader conviction. But in crypto, heightened OI can be a double-edged sword—fueling both breakouts and brutal liquidations.

Smart Money Moves: Whale Entry Adds Firepower

Adding fuel to the bullish narrative, on-chain analytics platform Lookonchain flagged a fresh whale accumulation of 126,353 HYPE tokens, acquired at an average cost of $39.10.

“That’s not retail,” one analyst tweeted. “That’s conviction at resistance.”

Large buys near resistance are often seen as high-risk, high-conviction moves by institutions or well-informed investors—suggesting that at least some smart money is positioning for a breakout past $40.

Still, caution is warranted. Past rallies have seen similar whale inflows, only to be followed by swift reversals and long liquidations.

History Repeats? The May 26 Playbook

This isn’t the first time HYPE looked poised for liftoff.

Back on May 26, the token tagged its all-time high at $39.12, backed by a then-record $1.39 billion in OI. The setup looked textbook bullish, but instead of blasting higher, HYPE faced a sharp deleveraging cascade.

Price Reversal: From $39.12 to $31.41 in under 5 days
OI Decline: From $1.39B to $1.19B

This pattern is key: Rising Open Interest and strong price action can lure in traders, but overheating derivatives markets make sharp pullbacks a recurring risk.

Current Sentiment: Mixed, but Warming

While momentum is building, the sentiment among traders remains cautiously optimistic.

Hyperliquid (HYPE) Surges Near All-Time High, $30 Crucial Support

Many are holding back on full-blown FOMO—scarred by previous fakeouts and wary of over-leveraged positions. However, should Bitcoin hold or push past its own resistance, the psychology could shift quickly.

BTC Support Level to Watch: $109K
BTC Breakout Level: $110K+

If Bitcoin confirms strength above $110,000, it's likely that altcoins like HYPE will ride that wave, potentially turning short-term resistance into price discovery.

"HYPE has been glued to BTC," one trader noted. "If BTC clears $110k, HYPE won't be far behind."

Liquidity Risks: Derivatives Market Overhang

Despite bullish indicators, a key risk remains: liquidity is heavily concentrated in derivatives, rather than spot markets. This makes the market vulnerable to sharp unwinds, especially when overly bullish positions become over-leveraged.

In such cases, even a small negative catalyst can trigger forced liquidations, which amplify downward moves and lead to brutal shakeouts.

Technical Outlook: One Candle Away?

Right now, HYPE is on the edge. The technical structure supports a breakout:

RSI remains stable Price is forming higher lows Whale interest is growing Open Interest is climbing BTC is breaking higher

But the caveats are just as important:

Prior breakouts failed near this level Market still reacting to macro conditions Derivatives market overheated FOMO not yet fully engaged (which can delay momentum)

In technical terms, HYPE is just “one candle away” from confirmation. A strong close above $40 with follow-through volume could mark the beginning of price discovery. But without conviction, another rejection could lead to yet another round of profit-taking or liquidation-driven correction.

Bottom Line: Cautiously Bullish with a Tight Stop

The stars are aligning for HYPE, but as always in crypto, momentum can reverse in minutes. While the setup is promising, risk management remains crucial.

Key Levels to Watch:

Resistance: $40 (psychological and technical)
Support: $36.80 (recent consolidation zone)
Bullish Target (on breakout): $45–$48
Bearish Scenario (on rejection): Drop back to $33–$31

Trading Tip: If entering long near $40, tight stop-loss orders and scaled profit-taking are advisable. Alternatively, traders could wait for a clean break and retest of $40 to reduce risk.

Final Thoughts: Will HYPE Finally Enter Price Discovery?

Hyperliquid has flirted with a breakout multiple times in 2025, only to pull back at the final hurdle. This time, though, market structure is more favorable, Open Interest is surging, and smart money is stepping in—just as Bitcoin strengthens.

If BTC continues to hold ground above $109K or clears $110K, HYPE could finally punch through $40 and move into uncharted territory.

But holding that breakout? That’s the real test. And in this market, only sustained conviction, not hype, will carry it forward.