Hyperliquid(HYPE) price prediction: $42 may become the "golden buy the dip zone"! After the big pump in AST volume, can HYPE return to $55?

Despite the recent severe challenges faced by the HYPE Token from competitor ASTER (with ASTER's Perptual Futures daily trading volume surpassing $130 billion on September 24, far exceeding Hyperliquid), leading to cautious market sentiment and triggering selling pressure, analysts still mark the price range around $42 as the “golden buy the dip zone.” Technical Analysis shows that HYPE is currently in the fourth 20% pullback cycle within three months, which historically is usually a consolidation before new highs. At the same time, key fundamental indicators like daily active users on the platform continue to hit historical highs, demonstrating strong user retention and ecosystem stickiness, indicating that the current weak HYPE price prediction may stem from an overreaction to competition rather than a deterioration of fundamentals.

ASTER volume surges, HYPE market faces fierce competition

The decentralized Perptual Futures market has recently seen intensified competition, and HYPE (the Token of Hyperliquid) is facing strong pressure from ASTER.

· Volume Surpassed: According to reports, the ASTER DEX daily perpetual futures trading volume on September 24 exceeded $130 billion, significantly surpassing the trading metrics of Hyperliquid, marking a milestone transformation that reshapes market perception.

· Competitive Advantage: The rise of ASTER is attributed to its deep integration with Trust Wallet, which provides direct access to Perptual Futures for 100 million users. Coupled with the support of CZ's YZiLabs, ASTER poses an effective challenge to Hyperliquid in terms of market share.

· Market sentiment is cautious: This narrative quickly transformed into selling pressure, with voices of pessimism emerging on social media saying “Hyperliquid is done”, causing market sentiment towards HYPE to become cautious.

Fundamental indicators are solid: User growth and institutional confidence serve as the main support

Despite facing competition and price pullbacks, the core fundamental indicators of HYPE remain solid, suggesting that the current price weakness may be an overreaction by the market to external competition.

· Active users reach a new high: The HYPE platform continues to maintain an advantage in several key metrics, especially with daily active users consistently hitting historical highs and daily new users showing healthy growth. This stands in stark contrast to the weakening price of the token, indicating that user stickiness and confidence in the platform have not diminished.

· Institutional Accumulation Continues: Institutional confidence remains strong. HYLQ Strategy Corp continues to accumulate despite facing market pessimism, purchasing an additional 5,000 HYPE tokens at an average price of $45.32, bringing its total holdings to 53,961 tokens.

· Strong capital inflow: Platform inflow analysis shows that capital continues to maintain net inflow, with the cumulative total reaching $60 billion, while the recent outflow is negligible compared to the overall platform growth. This indicates that the competitive position of HYPE remains solid.

Technical Analysis: $42 is the “golden buy the dip zone”, breaking through or returning to $55

The technical pattern indicates that HYPE is currently in a critical consolidation phase, with around 42 being key to determining its next move.

· Periodic Pullback: The chart structure of HYPE shows a fixed pattern: over the past three months, every time it reaches a new all-time high, it experiences a pullback of about 20%. Currently, it has fallen 25% from the peak of $61.65, slightly deeper than historical norms, but still within the consolidation range.

· Key support level: Fibonacci pullback analysis shows that $42.898 is exactly at the 0.5 pullback level, which closely aligns with the “golden buy the dip zone” marked by analysts. The 0.618 pullback level at $46.178 provides immediate support. Additionally, since the low in June at $30, HYPE has been trading within a clearly defined ascending channel, with the current support level coinciding with the lower boundary of that channel, maintaining an overall bullish framework.

· Potential Rebound: The momentum indicator RSI is in the 40-50 range, indicating oversold but not at extreme levels. The next key for HYPE is to maintain the support zone of $40-42. Successfully consolidating above this level will pave the way for its rebound and aim for the resistance level of $55-60. If it falls below $40, it may trigger a deeper pullback, targeting a drop to the $28-30 range.

Conclusion

HYPE is undergoing a market sentiment test driven by competition, but the consistency of its fundamental indicators and historical price trends provides a solid argument for bullish investors. The “golden buy the dip zone” of $42 is the key battleground for both bulls and bears. As long as HYPE can maintain this core technical support and continue to sustain its daily active users growth momentum, the current excessive panic selling of the surging ASTER volume may become an excellent buying opportunity. Investors should closely monitor the support effects in the $40-42 region, as this will be a decisive factor in determining whether HYPE can restart its rebound cycle and return to previous highs.

Disclaimer: This article is for informational purposes only and does not constitute any investment advice. The cryptocurrency market is highly volatile, and investors should make cautious decisions.