Hyperliquid's HYPE Token Hits All-Time High of $37, Up 285% From April Lows

Hyperliquid's HYPE token reached a record high of $37 on Friday, May 23, continuing a strong uptrend that began on April 4 when the token bottomed at $9.

Hyperliquid's (HYPE) token hit a new all-time high of $37 on Friday, continuing a strong rally that began on April 4 when the token bottomed at $9.

The token was trading at $35.50 at press time.

The surge has brought HYPE's market capitalization to $11.2 billion. Its fully diluted valuation now stands at $35.70 billion.

The price increase comes as Hyperliquid is seeing growing activity across its platform. DeFi Llama data shows the platform's seven-day volume jumped 51% to $67.7 billion.

This makes it the most active player in decentralized finance. By comparison, PancakeSwap processed $40.2 billion in transactions during the same period. Uniswap, meanwhile, handled $25.26 billion.

Hyperliquid has now processed perpetual futures trades worth over $1.53 trillion. This is far ahead of Jupiter, which comes second with $309 billion in perpetual futures volume.

Platform Fees Hit Record Levels

The increased volume has also driven fees to new highs. DeFi Llama data shows Hyperliquid's weekly fees hit a record of $17 million.

The platform's fees have been rising for four consecutive weeks.

The recent surge in volume and fees comes amid the broader crypto market rally. Bitcoin price hit a new peak on Thursday, sparking gains among altcoins.

Perpetual futures have become a popular product in the crypto industry. These products are similar to stock market futures but don't have expiry dates. They allow traders to use leverage and amplify returns.

Major crypto companies are also expanding into this sector. Coinbase recently announced the acquisition of Deribit to boost its presence in perpetual futures trading.

Technical Patterns Suggest More Gains For HYPE Price

Technical analysis suggests there is potential for further gains in HYPE price.

The eight-hour chart shows the token has formed a cup-and-handle pattern. This pattern includes a horizontal support level, a rounded bottom, and a consolidation phase, which is also known as the "cup" portion of the pattern.

The cup pattern had a depth of about 67%. Measuring the same distance from its upper side gives a target price of $47. This represents around 35% upside from current levels.

Such a move would bring HYPE's market cap to almost $15 billion. The pattern also closely resembles Solana's early 2021 breakout structure.

In January 2021, Solana broke out from a long consolidation phase. The breakout sparked a vertical rally that saw SOL /USD jump from $4.90 to around $19 in less than two months. This marked a 291% surge.

HYPE's daily chart shows a similar bullish structure following its 270% rebound from April lows. On May 23, HYPE broke above its 1.0 Fibonacci retracement level at $35.88.

The relative strength index for HYPE has entered deeply overbought territory above 84. This mirrors Solana's RSI profile during its 2021 breakout.

If HYPE continues following this pattern, the 1.618 Fibonacci extension level near $51.68 appears to be the next target. The 4.618 level at around $128 could mark the peak of this potential rally, representing a 240% move from the recent breakout zone.

Popular analyst Ansem adds that Hyperliquid's vision closely resembles what Solana and FTX aimed to build during their early partnership. However, unlike FTX's centralized structure, Hyperliquid operates fully onchain.