Key Insights:
- Sonnet’s $1B treasury plan sets the stage for HYPE price surge, with up to 2.6 million HYPE expected for purchase.
- The established double bottom pattern at the $30 level signals a strong upward move for HYPE, targeting $42.96.
- A steady recovery trend for HYPE price is evident, supported by firm higher lows and strong market demand.
The HYPE price has shown significant recovery after a sharp decline, sparking renewed interest from traders and investors. This resurgence follows Sonnet’s merger approval, which promises a major shift in the ecosystem, particularly with its newly approved $1 billion treasury initiative. This move is expected to create substantial demand for HYPE, driving the price further upward in the coming weeks.
At the core of HYPE’s recent price movement lies the formation of a double bottom pattern near the $30 demand block. This technical structure has played a pivotal role in the price’s recovery, resulting in a steady upward rotation. HYPE has consistently rebounded with each approach to the lower end of its trading channel, signaling strong buying pressure. As the price now moves towards the $36.25 barrier, traders anticipate that a break above this level could trigger a rally toward the $42.96 resistance.
Sonnet’s Treasury Plan Boosts Market Confidence
Sonnet’s strategic $1 billion treasury plan has provided a fresh boost to HYPE’s outlook. The plan includes a structured purchase schedule of up to 2.6 million HYPE tokens, which will help anchor the asset’s demand. Additionally, with an initial capital deployment of $265 million, the treasury plan introduces a sense of conviction in the market. This creates strong buying expectations and offers a much-needed buffer against potential market volatility.
Traders are increasingly bullish on HYPE, as the asset now holds above its recovery base and exhibits a clear upward trend. The price action continues to respect the support levels, and each time it nears the lower boundary of the channel, it quickly rebounds. This behavior reflects the growing confidence in HYPE’s price recovery. With further backing from Sonnet’s treasury plan and the increasing demand for HYPE, the price is expected to maintain its bullish trajectory.
Short-Term Outlook and Market Behavior
As the HYPE price maintains its upward momentum, traders remain focused on the short-term structure. The price is currently trading at $33.8 and approaching critical resistance levels. A decisive break above $36.25 would likely pave the way for further gains, with $42.96 and $50 being the next key targets. The overall outlook remains positive, with a strong technical foundation supporting continued growth in the asset.
