Connect with us

Crypto World

Can Washington advocacy help HYPE recover from its 2026 losses?

Published

on

Hyperliquid price has been trading under a descending trendline resistance since early February.

Hyperliquid price rebounded 6% on Friday shortly after the decentralized perpetual futures exchange revealed the launch of a new advocacy group in Washington. This fresh catalyst has investors questioning whether HYPE can finally recover from its losses throughout the year.

Summary

  • Hyperliquid price rose 6% following the launch of the Hyperliquid Policy Center in the U.S.
  • An upcoming token unlock and weakening on-chain stats could negate any short-term recovery attempts.
  • HYPE price action has remained below a key descending trendline resistance since early February.

According to data from crypto.news, Hyperliquid (HYPE) price rebounded over 6% on Friday morning during Asian trading hours before settling around $29.23 at the time of writing. 

HYPE’s price saw a notable uptick following the launch of the Hyperliquid Policy Center in Washington, D.C. This new advocacy and research nonprofit is dedicated to securing regulatory clarity for decentralized finance, specifically targeting on-chain derivatives and perpetual futures.

Advertisement

To jumpstart the initiative, the Hyper Foundation, the ecosystem’s independent growth arm, committed 1 million HYPE tokens, valued at approximately $29 million, as reported earlier by crypto.news.

As Hyperliquid takes on a leading role in framing the regulatory landscape for the decentralized industry, it is likely to benefit from the exposure and visibility, which could support long term adoption.

However, the impact of such a strategic move on HYPE’s long-term price action may be undercut as the project’s on-chain stats still point to weakness.

Advertisement

Data from DeFiLlama show that the total value locked in the network has dropped from $4.7 billion recorded on to $4.2 billion at the time of writing. At the same time, the weekly revenue generated by DeFi protocols on the network has slumped 55% to $11.83 million since Feb. 9.

Such a drop in TVL and revenue can be interpreted as a fundamental erosion of network utility and engagement, which inevitably dampens investor demand.

Looking ahead, another major headwind for Hyperliquid price is a 9.92 million token unlock set for March 6. 

At press time, the upcoming unlock was worth around $291 million and represented 2.72% of the total circulating supply. Token unlocks can drive prices lower, especially if there’s not enough demand from new buyers to absorb the liquidity.

Advertisement

The latest recovery also follows a difficult period where the token fell over 25% from its yearly high of $37.84.

On the daily chart, Hyperliquid price has been trading under a descending trendline that has served as a dynamic resistance level since early February, suggesting that bears continue to dominate the market by capping any recovery attempts by bulls.

Hyperliquid price has been trading under a descending trendline resistance since early February.
Hyperliquid price has been trading under a descending trendline resistance since early February — Feb. 20 | Source: crypto.news

The ongoing bearish market, driven by Bitcoin’s failure to retain key support levels, has also added to investor caution and hurt HYPE price.

The Aroon indicator largely remains in support of a continuation of the bearish trend, with the Aroon Down at 92.86%, which means selling pressure still stands at an extreme level. 

Meanwhile, the Relative Strength Index metric has formed a falling channel slipping below neutral territory, a sign that momentum remains weak.

Advertisement

For now, the key support for Hyperliquid price lies at $28, which aligns with the 38.2% Fibonacci retracement level, where bulls could lodge a defense and spark a healthy correction. However, a breach below this level could embolden bears to push for lower prices toward $21, the next key support level on the Fibonacci extension.

Disclosure: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only.

Advertisement

Source link

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Crypto World

XRP price risks $1.30 breakdown amid thinning liquidity

Published

on

XRP price outlook: Thinning order books raise risk of breakdown below  $1.30 support - 1

XRP price is hovering near $1.42 as thinning liquidity and repeated tests of the $1.30 support level raise the risk of a breakdown.

Summary

  • XRP is down 25% in 30 days and remains below major resistance.
  • On-chain data shows declining USD and XRP liquidity, increasing fragility.
  • $1.30 is the critical support level to watch.

XRP traded at $1.42 at press time, down 0.7% in the last 24 hours. Over the past week, price has ranged between $1.35 and $1.64, with sellers capping rebounds near the upper end of that band.

The recent correction has been sharp. After a 25% decline over the last 30 days, XRP (XRP) is now 61% below its July 2025 peak of $3.65. As lower highs continue to form on the daily chart, the overall structure remains weak.

Advertisement

In derivatives markets, positioning is relatively stable. CoinGlass data shows futures volume up 0.96% to $3.75 billion, while open interest slipped 0.43% to $2.36 billion. That mix suggests traders are active but not aggressively increasing leverage.

Liquidity compression adds fragility

A Feb. 20 analysis by CryptoQuant contributor The Alchemist 9 reviewed three indicators: Binance exchange inflows, USD liquidity (MAG-XRP), and XRP liquidity (MAG-XRP).

During a previous rally phase, exchange inflows spiked sharply. Large inflows usually mean tokens are moving onto exchanges, which can signal potential sell pressure. In that instance, the spike occurred before a period of strong volatility and a major price expansion.

Advertisement

USD liquidity measures the capital depth supporting XRP markets. When XRP rallied, USD liquidity expanded and helped sustain the move. Recently, liquidity has been declining. With less capital depth in the order book, the price becomes more sensitive to sudden selling.

XRP liquidity tracks token-side availability. Before the earlier breakout, XRP liquidity compressed significantly. That reduction in active supply aligned with the start of the upward move. Now, XRP liquidity is trending lower again, resembling those earlier pre-expansion conditions.

At present, exchange inflows are moderate, but both USD and XRP liquidity are contracting. This creates a thinner market structure. In thin conditions, breaks of support or resistance often trigger sharper moves.

These metrics do not predict direction on their own, but they highlight rising volatility risk.

Advertisement

XRP price technical analysis

The $1.30 level is the key short-term support. It marks the lower boundary of recent consolidation. Price has repeatedly tested this range.

While rebounds followed, repeated touches often weaken demand. A daily close below $1.30 may lead to accelerated selling in a thin market.

XRP price outlook: Thinning order books raise risk of breakdown below  $1.30 support - 1
XRP daily chart. Credit: crypto.news

Lower highs are still visible in the daily structure. The 50-day moving average serves as trend resistance, and XRP is trading below it. Bollinger Bands are tightening, showing price compression. This often precedes a strong move once support or resistance breaks.

The relative strength index is hovering between 35 and 45, reflecting limited bullish momentum. With attempts to push above 50 having failed, there is no clear bullish divergence at this stage.

If $1.30 holds and price reclaims $1.40 to $1.45, momentum could improve, opening room toward $1.50 to $1.60. If $1.30 breaks on a daily close, the next downside targets sit near $1.20 to $1.25, followed by $1.10 to $1.15 if selling pressure intensifies.

Advertisement

Source link

Continue Reading

Crypto World

Polymarket acquires prediction market API startup Dome

Published

on

Polymarket acquires prediction market API startup Dome

Polymarket has acquired Dome, a Y Combinator-backed startup that is building a unified API solution for developers to access and build across multiple prediction market platforms.

Summary

  • Polymarket has acquired Y Combinator-backed startup Dome.
  • Dome offers a unified API for cross-platform prediction market access.
  • It has raised $500,000 from Y Combinator and $4.7 million in seed funding.

The acquisition was confirmed by both companies in a Feb. 19 post on X, though neither side shared details about Dome’s future roadmap within Polymarket or how the team will be integrated. The financial terms of the deal were not disclosed.

According to details from Y Combinator, Dome was part of its Fall 2025 cohort and is developing a unified API for prediction markets through a single integration layer, where “developers can access live and historical data.”

Advertisement

“Dome makes it simple to trade, embed market data into products, and deploy strategies across multiple platforms through one interface,” it said.

Dome raised $500,000 from Y Combinator and secured a further $4.7 million in seed funding, according to details shared on the X profile of co-founder Kunal Roy, who, alongside Kurush Dubash, previously served as founding engineers at Alchemy.

“We’re obsessed with prediction markets and want to have the biggest impact in the space. There’s no better place to do that than Polymarket.” Dubash wrote on X.

Advertisement

Besides QCEX, a derivatives exchange and clearinghouse licensed by the U.S. Commodity Futures Trading Commission, which Polymarket acquired in a bid to re-enter the country, Dome marks the company’s first official acquisition focused on developer infrastructure.

Since it was greenlighted by the commission to operate an intermediated trading platform, Polymarket has secured multiple major partnerships with media brands like Yahoo Finance and Google Finance, alongside sports organizations such as Major League Soccer and the National Hockey League.

Last month, the company partnered with Parcl to launch a prediction market tied to real estate trends. It has also expanded onto the Solana blockchain through an integration with Jupiter and was recently added to the MetaMask mobile app, widening its retail distribution.

Advertisement

Source link

Continue Reading

Crypto World

Bitcoin May See Upside After AI Stocks Become ‘Silly Big’

Published

on

Cryptocurrencies, Bitcoin Price, AI

Bitcoin’s next major leg up could hinge on artificial intelligence stocks becoming excessively overvalued in the eyes of investors, according to macroeconomist Lyn Alden.

“It could be that the AI stocks eventually just peak, they get so silly big that they can’t get realistically much higher,” Alden told Natalie Brunell on the Coin Stories podcast published to YouTube on Thursday.

When an asset’s price rises to a level where further gains are harder to justify, capital often moves into other opportunities with more potential upside.

Cryptocurrencies, Bitcoin Price, AI
Lyn Alden spoke to Natalie Brunell on the Coin Stories podcast. Source: Natalie Brunell/YouTube

With Bitcoin (BTC) down almost 46% from its October all-time high of $126,100, Alden suggests it could be a beneficiary of that rotation.

Nvidia may be the “most important stock” in US, says exec

Some financial analysts are questioning whether the largest AI stocks will keep up their momentum in 2026. Albion Financial Group chief investment officer Jason Ware recently told Fox Business that he expects GPU chipmaker Nvidia (NVDA), the largest company on the Nasdaq stock exchange by market capitalization, to have “another great quarter,” but asked whether it will “be good enough.”

Advertisement

“We all know they are the most concentrated, obvious winner in the AI build out. Can that growth continue in a way that supports the stock moving higher?”

Nvidia’s (NVDA) stock price is up 35.48% over the past 12 months, according to Google Finance, and Ware said that it is “probably the most important company and most important stock in America in the market.” 

The rise of investor interest in AI means that Bitcoin is now “competing for capital” in a way it never has before, Bitcoin developer Mark Carallo said on Thursday.

Bitcoin only needs a “marginal amount” of new demand

However, Alden said Bitcoin wouldn’t need a significant wave of capital to move higher. “It only takes a marginal amount of new demand to come in,” Alden said, adding that long-term holders essentially “put the floor in” as short-term traders rotate out.