Why is Hyperliquid price down today?

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Hyperliquid slides 10.10% to $59 today

Highlights

Coinbase's appointment as USDC treasury deployer on Hyperliquid enables up to $200 million annually for HYPE token buybacks, strengthening protocol revenue.
HYPE entered the top ten cryptocurrencies by market cap, with cumulative buybacks surpassing $2 billion in 2025 and buyback mechanisms contributing nearly half of all crypto token repurchases this year.
HYPE/USD trades below key short-term levels amid intraday weakness and volatility, with next week’s expected range at $56.90–$62.28 and a 75% probability of price stabilization or upward movement as momentum indicators remain mixed but generally bullish medium-term.

Buyback surge and ETF listings fuel adoption despite heavy sell pressure

Coinbase was appointed as the USDC treasury deployer on the Hyperliquid platform, implementing the AQAv2 framework and enabling annual protocol revenue increases of up to $200 million routed toward HYPE token buybacks. Institutional adoption expanded with ETFs launched by Bitwise and 21Shares, while HYPE entered the top 10 cryptocurrencies by market capitalization and cumulative buybacks surpassed $2 billion in 2025. Buyback mechanisms accounted for nearly half of all crypto token buybacks this year, accompanied by increased retail and derivatives interest, though price action has remained under broader selling pressure.

Anton Kharitonov, expert at Traders Union, notes persistent short-term selling pressure on Hyperliquid (HYPE) despite recent buybacks and institutional interest. He sees a concerning intraday drop of 10.10% and highlights volatility that is not fully confirmed by momentum signals. Kharitonov is skeptical of the sustainability of buyback-driven rallies, pointing out that current support may not hold if sellers dominate. He warns that the price being near daily lows signals continued weakness. "The heavy reliance on token buybacks could quickly become a vulnerability if overall market sentiment worsens or external liquidity dries up," Kharitonov says.

Viktoras Karapetjanc, expert at Traders Union, highlights the robust institutional adoption and growing macro recognition for HYPE following its Coinbase partnership and ETF launches. He sees the buyback program and protocol revenue expansion as key catalysts supporting the token’s bullish structure and long-term adoption. Karapetjanc is confident that current price action is a technical adjustment within a larger upward trend. The analyst expects further growth as cumulative buybacks and market integration intensify. "With HYPE now a top 10 crypto by market cap and inflows increasing, I believe the upward trajectory is far from over," Karapetjanc states.

Divergent momentum and dynamic support heighten caution amid intraday drop

HYPE/USD is trading at $59, placing it below its 20-day simple moving average ($62.82) yet well above the 50-day ($50.46) and the 200-day ($36.28). This signals short-term selling pressure, but medium- and long-term trends remain bullish, with Ichimoku’s Kijun at $56.99 likely acting as dynamic support; resistance appears near the 20-day moving average or the round $60 level.

Momentum is mixed, with the Moving Average Convergence Divergence (MACD) showing strong buy and the Average Directional Index (ADX) still bullish, but daily overbought/oversold readings are less clear. The Relative Strength Index (RSI) signals buy, while Stochastic RSI and the Commodity Channel Index (CCI) hover near neutral levels or modestly oversold. Bull/Bear Power (BBP) indicates buyers have dominated on the daily frame but in overbought territory, hinting at a potential shift. The Awesome Oscillator (AO) is neutral and price action reflects strong intraday weakness, dropping $6.63 or 10.10% after a downside gap of about $1.80 at the open. Price is near the intraday low with daily volatility at 8.51%, indicating heavy pressure after the open. The broad divergence among momentum signals suggests caution is warranted, as the intraday decline is not fully confirmed by longer-term momentum readings.

Earlier, analysts noted that Hyperliquid’s long-term outlook remained constructive due to its robust buyback mechanisms and growing institutional integration, even as short-term momentum skewed bearish. The latest market developments reinforce this thesis, with new buyback initiatives and expanded ETF presence underpinning a bullish setup, making the $56.90 support level a critical area to monitor for potential stabilization or further downside risk.

Source of Data: HYPE Price Analysis by TU

The analysis is based on a proprietary model combining technical, on-chain, and expert data. Not investment advice. See methodology

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