Highlights: HYPE is in rebound after bouncing off the $27.80 support Rally off this support puts $35 in focus Upcoming US rate cuts could send HYPE higher  Hyperliquid (HYPE) is back in the green after days in the red. Recently, Hyperliquid has been underperforming the broader market and faced a correction from over $50 to under $30. However, today’s price action is an indicator that the worst may be over for HYPE. At the time of writing, Hyperliquid was trading at $29.33, up by 5.36% in the day.  However, HYPE trading volumes have dropped intraday. They currently stand at $330.7 million, down by 10.56%. This is a positive indicator as it means that holders are not selling the intraday pump and expect the price to keep pushing higher. However, it also means that the new investors are still watching HYPE from the sidelines, waiting for a more confirmed uptrend.  Token Unlocks Driving Bearish Sentiment Around HYPE One of the factors that is driving investor caution is the recent token unlocks that have added a significant amount to Hyperliquid’s supply. This has triggered fears that the market price could get diluted over time. It is the main reason why Hyperliquid has experienced the correction it has faced recently. However, now that the price is starting to show signs of a rebound, demand could come back strongly. That’s because it signals to investors that demand is strong, and could absorb all the excess supply in the market, and send the price higher. Given that Hyperliquid already has a solid product that is generating real revenues, the unlocks may not have much of an impact long term. This makes the recent price correction a dip that could be bought up quickly once the broader market starts sending bullish signals.  Growing Competition Adding to Hyperliquid Selling Pressure At the same time, investors may be shying away from Hyperliquid due to the growing competition. When it first shot to prominence, Hyperliquid was pretty much the only major on-chain decentralized exchange of its kind. Today, there are many others like it, and this has shrunk its share of the market considerably. Is $HYPE cooked?The short answer is yes, and unless there won't be a structural change in the ecosystem, the chart will continue to go down only. It's not just a bearish sentiment becaue of the general crypto downtrend, but a more deeper change:– tough and real competition for… pic.twitter.com/G4fIFV1e5W — JackyGekko (@JackyGekko) December 9, 2025 The result is that some analysts fear Hyperliquid may be unable to retest its recent all-time highs any time soon. Fear around such a possibility is compounded by the fact that insiders have recently been selling Hyperliquid. This has created the impression that even those with insider knowledge of HYPE’s prospects do not have confidence in its long-term prospects. Despite these fear-driving factors, there is a lot that could contribute to a HYPE rebound to new highs in the short term.  Whales Starting to Buy HYPE Ahead of US Rate Cuts The first one is the fact that whales are starting to take an interest in Hyperlquid. Data shows that two wallets loaded up on $4.2 million worth of HYPE token. The Hyperliquid exchange also continues to generate impressive revenues. It recently generated $2 million in only 24 hours, an indicator that demand is strong. This could play a significant role in drawing in investors to HYPE long-term. This, at a time when the US is about to inject liquidity into the markets through a rate cut, could send cryptocurrencies with strong underlying fundamentals like HYPE higher in the foreseeable future. The Fed announces its rate decision at 2PM ET today. A 25bps cut won’t move much on its own, everyone expects it. But Powell's press conference at 2:30PM is most important. – Dovish tone or liquidity signals can lift markets. – Neutral tone keeps things uncertain. – Hawkish… pic.twitter.com/pkBZwBze6H — House of AI (@houseofai_swan) December 10, 2025 Technical Analysis – HYPE Bounces Off Major Support In the last 48 hours, HYPE has bounced off the $27.80 support twice, and now bulls are taking control. This is an indicator that the recent selloff is over and that only more upside could be coming for HYPE. Source: TradingView If bulls sustain momentum, the first target would be the $30.67 resistance. Pushing through this resistance could send HYPE to prices as high as $35 in the short term. On the other hand, if bears regain control, the price could drop back to the $27.80 support. Of these scenarios, the odds are higher for more gains due to the upcoming US rate cut. eToro Platform Best Crypto Exchange Over 90 top cryptos to trade Regulated by top-tier entities User-friendly trading app 30+ million users 9.9 Visit eToro eToro is a multi-asset investment platform. The value of your investments may go up or down. Your capital is at risk. Don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment, and you should not expect to be protected if something goes wrong. Highlights: HYPE is in rebound after bouncing off the $27.80 support Rally off this support puts $35 in focus Upcoming US rate cuts could send HYPE higher  Hyperliquid (HYPE) is back in the green after days in the red. Recently, Hyperliquid has been underperforming the broader market and faced a correction from over $50 to under $30. However, today’s price action is an indicator that the worst may be over for HYPE. At the time of writing, Hyperliquid was trading at $29.33, up by 5.36% in the day.  However, HYPE trading volumes have dropped intraday. They currently stand at $330.7 million, down by 10.56%. This is a positive indicator as it means that holders are not selling the intraday pump and expect the price to keep pushing higher. However, it also means that the new investors are still watching HYPE from the sidelines, waiting for a more confirmed uptrend.  Token Unlocks Driving Bearish Sentiment Around HYPE One of the factors that is driving investor caution is the recent token unlocks that have added a significant amount to Hyperliquid’s supply. This has triggered fears that the market price could get diluted over time. It is the main reason why Hyperliquid has experienced the correction it has faced recently. However, now that the price is starting to show signs of a rebound, demand could come back strongly. That’s because it signals to investors that demand is strong, and could absorb all the excess supply in the market, and send the price higher. Given that Hyperliquid already has a solid product that is generating real revenues, the unlocks may not have much of an impact long term. This makes the recent price correction a dip that could be bought up quickly once the broader market starts sending bullish signals.  Growing Competition Adding to Hyperliquid Selling Pressure At the same time, investors may be shying away from Hyperliquid due to the growing competition. When it first shot to prominence, Hyperliquid was pretty much the only major on-chain decentralized exchange of its kind. Today, there are many others like it, and this has shrunk its share of the market considerably. Is $HYPE cooked?The short answer is yes, and unless there won't be a structural change in the ecosystem, the chart will continue to go down only. It's not just a bearish sentiment becaue of the general crypto downtrend, but a more deeper change:– tough and real competition for… pic.twitter.com/G4fIFV1e5W — JackyGekko (@JackyGekko) December 9, 2025 The result is that some analysts fear Hyperliquid may be unable to retest its recent all-time highs any time soon. Fear around such a possibility is compounded by the fact that insiders have recently been selling Hyperliquid. This has created the impression that even those with insider knowledge of HYPE’s prospects do not have confidence in its long-term prospects. Despite these fear-driving factors, there is a lot that could contribute to a HYPE rebound to new highs in the short term.  Whales Starting to Buy HYPE Ahead of US Rate Cuts The first one is the fact that whales are starting to take an interest in Hyperlquid. Data shows that two wallets loaded up on $4.2 million worth of HYPE token. The Hyperliquid exchange also continues to generate impressive revenues. It recently generated $2 million in only 24 hours, an indicator that demand is strong. This could play a significant role in drawing in investors to HYPE long-term. This, at a time when the US is about to inject liquidity into the markets through a rate cut, could send cryptocurrencies with strong underlying fundamentals like HYPE higher in the foreseeable future. The Fed announces its rate decision at 2PM ET today. A 25bps cut won’t move much on its own, everyone expects it. But Powell's press conference at 2:30PM is most important. – Dovish tone or liquidity signals can lift markets. – Neutral tone keeps things uncertain. – Hawkish… pic.twitter.com/pkBZwBze6H — House of AI (@houseofai_swan) December 10, 2025 Technical Analysis – HYPE Bounces Off Major Support In the last 48 hours, HYPE has bounced off the $27.80 support twice, and now bulls are taking control. This is an indicator that the recent selloff is over and that only more upside could be coming for HYPE. Source: TradingView If bulls sustain momentum, the first target would be the $30.67 resistance. Pushing through this resistance could send HYPE to prices as high as $35 in the short term. On the other hand, if bears regain control, the price could drop back to the $27.80 support. Of these scenarios, the odds are higher for more gains due to the upcoming US rate cut. eToro Platform Best Crypto Exchange Over 90 top cryptos to trade Regulated by top-tier entities User-friendly trading app 30+ million users 9.9 Visit eToro eToro is a multi-asset investment platform. The value of your investments may go up or down. Your capital is at risk. Don’t invest unless you’re prepared to lose all the money you invest. This is a high-risk investment, and you should not expect to be protected if something goes wrong.