BlockBeats news, June 1: Hyperliquid's native token HYPE has risen over 30% in the past five days, briefly surpassing $74 and setting a new all-time high. Analysis indicates that HYPE has broken out of a classic bull pennant pattern, with an upside target of $105, representing approximately 45% upside from current levels.
Technical analysis shows that HYPE formed a flagpole structure after a rapid rally in late May, followed by consolidation within a triangular range, and recently broke above the upper boundary on increased volume. Based on the bullish flag pattern, the target price is approximately $105.30, potentially achievable between June and July.
Derivatives market data also signals bullish sentiment. Data shows that open interest on Hyperliquid has risen to a record high of $3.5 billion, a significant increase from approximately $1.4 billion at the start of the year. Meanwhile, funding rates remain consistently positive, indicating that bullish sentiment continues to dominate the market.
Since May 20, the total short liquidations for HYPE have amounted to approximately $126 million, significantly higher than the $68.85 million in long liquidations, indicating a pronounced short squeeze during the price rally. If the upward trend continues, it could further drive short covering and accelerate price appreciation.
On the fundamental side, according to DefiLlama data, Hyperliquid generated $57.9 million in protocol revenue over the past 30 days, surpassing Ethereum to become the second-largest blockchain revenue network after Solana. The protocol allocates 99% of its fee revenue to the 'Assistance Fund' for open-market repurchases of HYPE, regarded as a key mechanism for supporting token value.
Additionally, the U.S. Commodity Futures Trading Commission (CFTC) recently publicly acknowledged the role of perpetual contracts in price discovery and risk management, creating positive expectations for Hyperliquid, whose core business revolves around perpetual contract trading. Meanwhile, since its listing on May 12, the HYPE ETF launched in the U.S. market has attracted approximately $122 million in net inflows, indicating growing institutional demand for HYPE exposure.