Hyperliquid USD Falls 2.1% to $82.90 as Fed Rate Signals Spark Selloff

Hyperliquid USD fell 2.1% to $82.90 in 24 hours on August 29, extending losses from a $86.66 all-time high set two days earlier. The decline mirrors a 1.56% drop across the entire crypto market after Fed Chair Kevin Warsh signaled openness to further rate hikes at Jackson Hole, tightening liquidity expectations. HYPE’s high-beta nature amplified the macro shock, though the coin remains well above its 50-day average of $62.05.

Why HYPEUSD fell as Fed signals tighter policy

The selloff stems from macro headwinds, not coin-specific weakness. Fed Chair Kevin Warsh’s comments at Jackson Hole sparked a risk-off reaction across crypto, with Bitcoin dropping 1.96% and the broader market cap falling 1.56%. HYPE, as a high-beta asset, moved in lockstep. Arthur Hayes, BitMEX co-founder, also noted on August 29 that Ethereum offered better risk-reward, stating “everybody knows that Hyperliquid is here” and expectations are now higher, triggering profit-taking after the coin’s explosive run.

Technical picture shows overbought conditions cooling

The RSI sits at 68.78, just below the 70 overbought threshold, signaling momentum is fading but not yet reversed. The MACD histogram of 2.61 remains positive, though the signal line at 3.34 is flattening. Price at $82.90 sits well above the Bollinger Band lower support at $42.52 and above the middle band at $64.88, but the ADX at 35.66 confirms a strong downtrend is now in place. Support holds between $78 and $80.

Meyka forecast shows near-term pressure ahead

Meyka’s 1-month forecast of $80.74 implies a 2.6% decline from current levels, while the 12-month forecast of $61.81 suggests 25.4% downside if macro headwinds persist. A scheduled token unlock in September could increase selling pressure if demand doesn’t match new supply. The September 15-16 FOMC meeting will be a key catalyst for direction.

Volume surge and liquidation risk remain elevated

Trading volume hit 863.1 million, up 35% from the 30-day average of 638.8 million, showing active selling. The Money Flow Index at 83.46 signals overbought conditions in capital flows. The Stochastic %K at 89.39 and %D at 90.77 both exceed 80, indicating extreme momentum exhaustion. A daily close below $78 would signal a deeper correction and break the bullish structure intact since the August 27 peak.

Final Thoughts

HYPEUSD’s 2.1% drop reflects macro policy shock and profit-taking after a 322% year-to-date surge, not fundamental weakness. With RSI cooling and support holding at $78-$80, the trend is consolidating. Watch the September FOMC meeting and token unlock for the next catalyst.

FAQs

Disclaimer:

Cryptocurrency markets are highly volatile. This content is for informational purposes only. The Forecast Prediction Model is provided for informational purposes only and should not be considered financial advice. Meyka AI PTY LTD provides market data and sentiment analysis, not financial advice. Always do your own research and consider consulting a licensed financial advisor before making investment decisions.