In the cryptocurrency market, the highly anticipated "Altcoin season" has always been a hot topic in the community. Today, a brief post by Arthur Hayes on social media once again ignited this discussion:
"People often ask me when the altcoin season is coming?
Sometimes it's right in front of you. HYPE"
He posted an image of the Hyperliquid (HYPE) token price breaking through 20 USDT, quickly capturing the market's attention, and this strong hint coincides perfectly with Hyperliquid (HYPE)'s recent remarkable price performance.
Arthur Hayes's "HYPE" Statement
As a heavyweight commentator in the cryptocurrency field, Arthur Hayes's statements always create market ripples. This tweet "Sometimes the altcoin season is right in front of you. HYPE" was widely interpreted as a hint that the altcoin season might be imminent. Let's look back at his previous definition of the altcoin season.
Hayes once emphasized that when Bitcoin's Dominance rises, it's usually a signal of market risk aversion, and BTC should be prioritized. He suggested that massive investment in most Altcoins would be premature before Bitcoin's dominance stabilizes. The "$HYPE" here is more about representing the market's "hype" sentiment expecting an Altcoin rebound, rather than directly pointing to a specific token.
HYPE's Strong Rebound
Coincidentally, before and after Hayes's post, from a data perspective, Hyperliquid has surged over 115% since its low point on April 7th, showing a strong short-term upward trend. Over the past month, its monthly gain has reached 55%.
In terms of technical indicators, the Relative Strength Index (RSI) was close to 64 on April 29th, indicating it has not yet entered the traditional overbought zone. The previous MACD bearish crossover warning also seems to have been alleviated with the breakthrough on May 2nd, suggesting a reduction in short-term bearish pressure.
Multiple Factors Behind HYPE's Rise
Looking at some surface-level positive factors for Hyperliquid (HYPE)'s recent impressive price performance. Over the past month, the derivatives market's open interest has significantly increased by nearly 14%, which is the first positive factor for this DEX.
On the fundamental side, Hyperliquid's recent Validator Update introduced 21 permissionless nodes, significantly enhancing the platform's decentralization and security (addressing some community criticisms). Additionally, the fee structure changes brought by the introduction of the staking mechanism have lowered transaction costs, which is expected to attract more users to trade on the platform, thereby increasing demand for HYPE tokens.
As a high-performance Layer1 platform focusing on low-slippage trading, Hyperliquid benefits from the overall growth of the decentralized perpetual contract market, which provides continuous fundamental support for HYPE's price.
Despite its recent strong performance, Hyperliquid (HYPE) encounters significant resistance levels around $20 and $22, where a large amount of selling pressure is concentrated. Whether it can successfully break through and stabilize will be crucial to determining HYPE's future price trend. Additionally, from a technical support perspective, if HYPE fails to defend the $17 support level, it might trigger a downward movement.
