Hyperliquid Price News: Will HYPE Reach $50 After Launching Tether Gold?

The popular decentralized platform has been experiencing a strong wave of positive momentum in the past month as its native asset has booked a 53% gain during this period.

On a year-to-date basis, HYPE is the best-performing token of the top 10 with gains of 72.3%.

Recently, Hyperliquid announced the launch of a product that will likely attract further trading volumes to its platform.

Traders can now operate with Tether Gold (XAUt) through Hyperliquid’s proprietary trading platform. XAUt is issued by the company behind the world’s most popular stablecoin – USDT.

Tether Gold is a tokenized version of the precious metal backed by actual gold reserves under the custody of the issuing company. It also gives the holder ownership over the asset.

However, in the case of XAUt0, the synthetic asset that is now accessible to traders via Hyperliquid, this instrument will only be used for speculative purposes.

Hyperliquid Has Made a Lot of Progress in Two Years

Hyperliquid has become a popular alternative among traders as it operates in a separate blockchain created specifically to power its trading platform for perpetual futures and spot transactions.

This allows the protocol to tailor its design and infrastructure to suit the needs of this platform. Hyperliquid’s fees are quite competitive compared to centralized exchanges (CEXs) and supporters believe that its design is pioneering a new wave of trading solutions that will be fully decentralized and more transparent to users.

Hyperliquid is already the top decentralized exchange (DEX) by trading volumes in the derivatives market according to data from CoinMarketCap with 24-hour volumes of $7.42 billion.

This figure still pales in comparison to the $60 billion traded per day via Binance and the $20 billion transacted through other futures trading platforms like OKX and Bybit.

However, for a project that has only been running for two years, it has made significant progress in stealing market share from these well-established crypto companies.

The Rally Should Continue Until We Break Below $40

In a previous HYPE price prediction, we mentioned that the $40 level would provide the riskiest entry possible for late buyers as the rally was already showing some signs of exhaustion.

 

This turned out to be a good call for those who took the risk as they have now booked a 10%+ gain as a result.

However, our favorite entry has not yet been touched yet. The $28 level continues to be the most attractive level to get in on HYPE if a pullback occurs as this was a key resistance during the token’s steep climb to its current levels.

HYPE managed to stay above $40 in the past few days and climbed to its current price after a liquidity grab last Friday trapped bears and flushed them out during that same day. Trading volumes were quite high during that session and confirmed the bear trap.

Meanwhile, the Relative Strength Index (RSI) has managed to stay near or at overbought levels for quite a while as buying pressure and investors’ interest in HYPE remains strong.

At this point, it won’t be a good idea to bet against the winning horse unless there are some strong signs that point to a bearish breakout.

Another attempt to break below the $40 level may pull that off as long as the daily session closes below that mark. A retest would be expected if that happens and that would be the best moment to enter once the reversal is confirmed. For now, HYPE seems determined to capture the $50 level.