Hyperliquid (HYPE) Price Falls 6% Despite HyperEVM Launch: What’s Next?

Hyperliquid (HYPE) price has dropped more than 6% in the last 24 hours, despite the launch of HyperEVM, which aims to expand the platform’s DeFi capabilities. The integration of Ethereum Virtual Machine (EVM) functionality is expected to bring programmability to Hyperliquid’s trading ecosystem.

However, technical indicators show signs of weakness, with momentum fading and bearish signals emerging. Whether HyperEVM can drive renewed buying pressure or if the ongoing downtrend continues will be critical in determining HYPE price next major move.

Hyperliquid Rolls Out HyperEVM, as It Continues To Make Millions of Dollars Per Day

Hyperliquid has launched HyperEVM, marking a major step toward integrating smart contract functionality into its high-speed financial system. The upgrade brings Ethereum Virtual Machine (EVM) compatibility, allowing for decentralized applications while maintaining the platform’s trading experience.

The initial mainnet release includes security backed by HyperBFT consensus, seamless transfers between native HYPE and HyperEVM HYPE, and a canonical WHYPE system contract to facilitate DeFi activity.

Selected Protocols and Chains Revenue. Last 24 hours, Last 7 Days, Last 30 Days, and Last Year. Source: DefiLlama.

Hyperliquid continues to solidify its position as one of the most relevant players in crypto right now, ranking among the top 20 highest-earning applications in the past week.

The platform generated over $8.5 million in revenue in the last seven days, surpassing notable projects like Ethena and Marinade, while closing in on Maker, BullX, and Ethereum.

Hyperliquid Indicators Suggest Bullish Pressure Is Not Dominant

HYPE DMI shows that its ADX has dropped to 10.6, down from 18.9 four days ago, signaling a weakening trend. An ADX reading below 20 typically suggests a lack of strong directional momentum, meaning the current market movement lacks conviction.

Meanwhile, +DI (23.3) remains slightly above -DI (21.4), indicating that bullish pressure is still present but not dominant.

HYPE DMI. Source: TradingView.

However, with short-term EMA lines trending downward despite being above long-term EMAs, the market could be at risk of further weakness. If the short-term EMAs continue declining, a bearish crossover could form, reinforcing downside pressure.

HYPE’s RSI has also dropped significantly, falling to 33.1 from 68 in just four days, reflecting a rapid loss of bullish momentum. While the current reading remains above the 30 threshold for oversold conditions, the sharp decline suggests that sellers have been in control.

HYPE RSI. Source: TradingView.

If RSI continues falling, HYPE price could enter oversold territory, potentially triggering a bounce if buyers step in. However, if bearish momentum persists, it may signal further downside before any meaningful recovery occurs.

The combination of weakening trend strength and falling RSI suggests that HYPE is in a fragile position, with traders watching closely for signs of stabilization or further decline.

HYPE Price Prediction: Will Hyperliquid Rise Above $30?

HYPE’s EMA lines indicate that a death cross could be forming soon, as short-term EMAs are trending downward and approaching a crossover below long-term EMAs.

This is typically a bearish signal that suggests weakening momentum and the potential for further downside. If the downtrend continues, HYPE price could test support at $22.5. If that level fails, the price may drop further to $20 or even $18.89, marking the first time it has fallen below $20 since late January.

A confirmed death cross would reinforce selling pressure, making a recovery more difficult in the short term.

HYPE Price Analysis. Source: TradingView.

However, if the launch of HyperEVM sparks renewed buying interest, Hyperliquid could regain bullish momentum and push toward $27.4 as the first major resistance.

A breakout above that level could lead to a test of $28.3, and if sustained bullish momentum follows, HYPE price could rise past $30, a level not seen since December 2024.

The market’s reaction to HyperEVM’s launch will be key in determining whether HYPE breaks out of its current downtrend or continues facing pressure.