Hyperliquid tests critical resistance at $42.24 as trend decision nears

Hyperliquid has rallied into a high-confluence resistance zone around $42.24. Whether this level holds or breaks will define the trend direction for the days and weeks ahead.

Hyperliquid (HYPER) is now facing a pivotal moment as it tests a multi-confluence resistance level that may decide whether price continues higher or confirms a lower high in a developing bearish structure. The $42.24 zone, previously support, has now flipped into resistance and includes key technical confluences such as the value area high, the 0.618 Fibonacci retracement, and the VWAP SR from the all-time high. The reaction at this level will determine if bulls can reclaim momentum or if sellers will resume control.

Key technical points

• Major Resistance: $42.24 level with value area high, 0.618 Fib, and VWAP SR confluence.
• Bearish Breakdown Target: $32 value area low and liquidity zone.
• Market Decision Point: Reclaiming or rejecting this level will define the next trend phase.

HYPERLIQUID/USD (6H) Chart, Source: TradingView

Hyperliquid’s recent rally brought it directly into a technical confluence zone at $42.24. This level previously acted as strong support before being lost in the prior downtrend. Now, price is retesting it from below, with additional resistance provided by the 0.618 Fibonacci retracement and the VWAP SR drawn from the asset’s all-time high.

This makes $42.24 a make-or-break level. If bulls can reclaim and close above this level, the bearish structure will be invalidated, and Hyperliquid could target higher price zones. However, if this region fails to be reclaimed, it will likely confirm a bearish retest, establishing a lower high and opening the door to further downside.

In the case of a rejection, price is expected to rotate toward the value area low and the 0.618 retracement of the current move. This support zone is located near $32, which also aligns with the primary liquidity pool from prior sessions. A move into this area would take out local liquidity and may set the stage for a reversion bounce, but it would also reinforce the bearish outlook if support is lost.

Currently, price has not reached the $32 target, and the rejection from $42.24 has not yet been confirmed. The next few daily closes will be crucial. Holding above or below the $42.24 resistance will define whether Hyperliquid enters a deeper correction or regains strength for further upside.

The resolution of this zone will also likely set the tone for trend continuation or reversal over the coming weeks. A decisive breakout or breakdown from here will have long-term implications for Hyperliquid’s chart structure.

What to expect in the coming price action

If Hyperliquid fails to reclaim $42.24, a rotation toward $32 is likely. If bulls manage to break and hold above resistance, momentum may resume with the continuation to new all time highs.