Will Hyperliquid's HYPE Experience a 50% Drop? An Analysis of the Bearish Trends
A critical look at potential downturns for Hyperliquid's HYPE token as analysts speculate on future price movements.
HYPE, the cryptocurrency associated with the decentralized exchange Hyperliquid, captured significant attention this summer, peaking at a staggering $60 around mid-September. Yet, its value has sharply declined since that high point, with one notable analyst suggesting that a further drop could be imminent.
Major Crash Anticipated?
Ali Martinez, a prominent voice on X, assessed HYPE’s market trends and proposed that the charts might be illustrating a classic head-and-shoulders formation. He indicated that a drop to $36 would solidify this pattern, possibly leading to a drop as low as $20.
“Hyperliquid $HYPE could be forming a head and shoulders pattern. If confirmed, it projects a move to $20.” — Ali (@ali_charts) November 3, 2025
As of now, HYPE trades near $41, which implies that a downturn of this magnitude would represent a 50% decrease. A bearish sentiment has also been echoed by another analyst known as Altcoin Sherpa, who observed a lackluster performance and announced intentions to reduce their investment following the recent downward trend.
“Looks like some twap out, slow efficient selling. Not sure what’s going on, but going to just wait for more clarity,” they stated on the social media platform.
Bullish Outlooks
Conversely, several analysts view the price’s current state as an optimal buying chance. Ahmed stated intentions to begin accumulating HYPE tokens again, while Crypto Tony expressed a similar pledge, conditioned on a price drop to $38.40. Optimism remains with Corgil, who noted that the cryptocurrency is “one announcement away” from breaking its previous all-time high before the significant token unlock event expected in November.
However, concerns linger as industry insiders warn that hundreds of millions of dollars in HYPE will be available for sale soon, potentially flooding the market and affecting prices.
“Everyone with an inch of a brain knows Hyperliquid team will re-lock or come up with something else that would challenge ‘typical’ crypto-project playbook,” assumed Corgil.
In the midst of volatility, one enigmatic trader known for high-stakes bets recently opened a long position on HYPE at 10x leverage, raising eyebrows and assumptions that they might possess undisclosed insights about the token’s future.
