Hyperliquid (HYPE) Price Prediction: Deflationary Model and Technical Breakout Fuel Bullish Outlook

HYPE Hyperliquid price is starting to look like the standout of this market cycle. While most altcoins are still struggling to find momentum, HYPE is pushing ahead, hitting higher price levels.

Hyperliquid’s current price is $36.81, up 8.39% in the last 24 hours. Source: Brave New Coin

The technicals are lining up, and the on-chain activity is just as strong. With volume climbing and key resistance levels flipping to support, participants are now watching closely. If momentum holds, the Hyperliquid price prediction is starting to lean bullish, and the next leg up might already be in motion.

Hyperliquid just crossed a major milestone, with over $1 billion in $HYPE now staked and 40 million tokens locked, according to fresh data from Nansen. That’s not a small number; it signals growing trust and commitment from the HYPE community.

Over $1 billion in HYPE is now staked, showing a long-term commitment. Source: Nansen via X

This level of staking also reinforces the token’s reduced circulating supply, which can be bullish in terms of market dynamics and have an impact on the price. When that much value gets locked, it tightens the supply-demand structure. For now, this shapes a quietly strong foundation for $HYPE as more users seem willing to commit long-term.

While the broader crypto market is still searching for direction, HYPE Hyperliquid price is in a leading mode. KookCapitalLLC flagged HYPE as the strongest coin in the current downturn. While most tokens are still trying to stabilize, HYPE has already pushed through resistance, becoming the first to break out cleanly. The move to $36.97 comes after a steady build of higher lows and increasing momentum on lower timeframes.

HYPE leads the market with a breakout to $36.97. Source: KookCapitalLLC via X

This kind of early breakout in a weak environment reflects the strength and would likely keep Hyperliquid on an extended bullish run as compared to other alts. With over $1B now staked and 40M tokens locked, HYPE is running on both narrative and structure.

Adding to the bullish narrative, HYPE just pulled off another technically significant move, flipping its previous resistance into support, as highlighted by BullishBeast. This change of structure reflects a decisive change in market behavior.

HYPE flips $36 resistance into strong support, setting sights on $40 and $44. Source: BullishBeast via X

It suggests that what was once a sell zone is now being defended by buyers, reinforcing confidence in the breakout and setting the stage for further upside. With $36 holding firm as a base, the next key areas to watch are the $40 and $44 levels. These aren’t far-fetched targets considering the current momentum and tightening supply. The chart structure supports continuation, and with over a billion staked and 40M tokens locked, the fundamentals are also well aligned.

Other than the price action and staking milestones, HYPE’s on-chain performance is turning heads for good reason. According to new data shared by CryptoRus, Hyperliquid captured 74.97% of the total decentralized perpetual exchange volume in May 2025.

Hyperliquid dominates nearly 75% of decentralized perpetual exchange volume. Source: CryptoRus via X

With a peak of $5.98 billion in daily trading volume, the protocol’s dominance is now a headline story. This kind of hyperactivity reflects genuine user demand, sticky liquidity, and strong infrastructure backing it.

Despite being bullish, HYPE community has highlighted another major positive aspect. As token unlocks worth billions hit the market, Hyperliquid once again gets the praise. A recent post by NMTD8 captures the sentiment perfectly: while most tokens face dilution, HYPE Hyperliquid is actively deflationary, reducing its supply by 12.5% to 17.5% annually as revenues grow. No constant unlock pressure, no value leakage, just a model where everything flows back to holders. It’s a rare dynamic in a sea of inflation-heavy tokens and explains why “sell everything, buy HYPE” is gaining traction.

Hyperliquid’s deflationary model cuts supply by up to 17.5% annually, setting it apart from inflation-heavy tokens. Source: NMTD8 via X

With previous resistance at $36 now acting as solid support, and the chart printing a steady series of higher lows, the structure points to continuation. Volume remains strong, and with key levels like $40 and $44 coming into view, the setup leans bullish.