Hyperliquid Price Forecast: HYPE eyes record high amid SEC’s Innovation Exemption, confidential perpetuals

Hyperliquid (HYPE) is trading in the green on Friday, extending gains toward $90 after an 8% rise the previous day. The grant of an “Innovation Exemption” by the US Securities and Exchange Commission for tokenized stock trading on Thursday and the launch of confidential perpetuals by Near Protocol on Hyperliquid act as bullish catalysts for the Decentralized Exchange (DEX). The technical outlook for HYPE is bullish as the price approaches a record high with constructive momentum.

Hyperliquid utility boosts with Innovation Exemption and private trading feature

The US SEC granted an “Innovation Exemption” on Thursday, allowing Tokenized Securities Venues (TSVs) such as DEXs and other Layer-1 platforms to trade tokenized National Market System (NMS) stock using permissioned liquidity pools or Automated Market Makers (AMMs). In the case of Hyperliquid, its HIP-3 protocol offers perpetual contracts of tokenized stocks by trade.xyz.

The exemption is likely to boost HIP-3 volume on Hyperliquid, which recorded $16.06 billion in volume last week, significantly down from $36.65 billion in late July. In addition, the HIP-3 daily Open Interest (OI) stood at $4.00 billion last week, up from $3.82 billion the previous week, projecting increased inflows but reduced activity. This setup suggests that amid the chatter about the SEC’s exemption, institutional inflows into Hyperliquid led to a buildup of potential future activity rather than immediate trading.

On the other hand, Near Protocol (NEAR) launched the confidential perpetuals feature on Hyperliquid, allowing users to trade on Hyperliquid without publicly revealing who holds the positions. The feature mainly restricts observers from identifying the account behind an on-chain position. Hyperliquid will act as the trading engine for users creating positions on Near perps, providing the order book, matching, over 50 markets, and up to 40x leverage.

Technical outlook: Is Hyperliquid ready to hit $100?

Hyperliquid trades near $88.00 on Friday, extending its 8% advance from the previous day. HYPE shows nearly 15% gains so far this week, inching closer to the record high of $89.61 set on September 6.

The DEX token maintains a bullish bias as the price holds well above the 50-, 100-, and 200-day Exponential Moving Averages (EMAs) at $74.95, $68.21, and $59.25, respectively, indicating a firm uptrend.

From a technical perspective, the Fibonacci retracement of the $76.93-$51.20 downswing shows HYPE bouncing off the $76.93 anchor and reclaiming the 127.2% extension level at $83.93. A confirmed breakout above its record high of $89.61 could target the 161.8% Fibonacci extension level at $92.83, followed by the 2.272% extension level at $109.66.

Momentum is constructive rather than euphoric, with the Relative Strength Index (RSI) holding around 62 on the daily chart and further room to the upside before reaching the overbought zone. Meanwhile, the Moving Average Convergence Divergence (MACD) approaches the signal line, signaling a bullish crossover as the negative histograms contract, hinting that upside momentum has been improving.

On the downside, initial support is seen at the upper Fibonacci anchor at $76.93, reinforced by the 50-day EMA at $74.95 just beneath. Deeper pullbacks would likely find buying interest at the 78.6% and 50% retracement levels at $71.42 and $64.06, respectively.

(The technical analysis of this story was written with the help of an AI tool. Know more.)