HYPE forming bullish pattern with 55% upside potential, analysis suggests

The Hyperliquid token (HYPE) is forming a bullish "cup and handle" pattern, with a potential upside of up to 55%, Cointelegraph reported. Market analysis indicates that a breakout above the key resistance zone of $45–$47 could pave the way for a rise to the $71–$72 range. This outlook is supported by on-chain data showing significant accumulation. An address suspected to be linked to a16z has acquired a total of 2.11 million HYPE (approximately $90.87 million) over the past month. Notably, this address purchased an additional 372,000 HYPE (worth around $16.91 million) within the last three hours. Market sentiment is reportedly being bolstered by expectations of growing institutional demand, driven by factors such as a potential U.S. spot HYPE ETF, infrastructure support for USDC from Coinbase and Circle, and anticipation of the U.S. CLARITY Act. Trader Pentoshi predicted that a more regulation-friendly environment could increase Hyperliquid's revenue five to tenfold due to inflows from hedge funds and asset managers.