HYPE Burn and ICE Deal Put $95 Resistance in Focus
Hyperliquid burned 49.87 million HYPE on October 29, equivalent to about 5% of its 1 billion maximum supply. On the same day, Intercontinental Exchange (ICE), parent of the New York Stock Exchange, announced a strategic investment in Trade[XYZ], which plans to offer regulated, round-the-clock perpetual futures for US users using Hyperliquid technology. Investor Stanley Druckenmiller endorsed the deal.
The news helped HYPE rise about 25% in three days and briefly approach $98, lifting its market value to $21.78 billion and putting it in the top 10. It has since pulled back to around $88.61. Hyperliquid also reported $1.38 billion in lifetime revenue, $16.5 million in holder payouts over seven days, and about $7.87 billion in open interest.
The technical picture remains tilted toward buyers: HYPE is above its 50-day and 200-day moving averages, while RSI is near 61 and MACD remains above its signal line. The key resistance is $95.27; a break could open a move toward $101. Support is near $84.59, followed by $75.58. A drop below the first support could signal that the post-news rally is unwinding. High leverage and broader market stress remain risks.
Bullish
The news is bullish overall because it combines a material supply reduction with a high-profile institutional link. Burning about 5% of HYPE’s maximum supply may reduce potential sell-side supply, while ICE’s investment in a project using Hyperliquid technology adds visibility and suggests a possible route into regulated US derivatives markets. Strong protocol revenue, holder payouts, and substantial open interest also support the fundamental case.
In the short term, the market response will depend on whether buyers can reclaim the $95.27 resistance. A confirmed break could encourage momentum traders to target the area near $101. HYPE’s RSI around 61 and positive MACD indicate constructive momentum without an already extreme RSI reading. However, the pullback from nearly $98 shows that traders are taking profits, and a failure to break resistance could keep the token range-bound. A close below support near $84.59 would weaken the setup and could expose $75.58.
Similar supply burns and institutional announcements have often triggered sharp initial rallies in crypto markets, but those moves can fade when expectations are priced in or broader risk appetite deteriorates. The article also notes market stress following a large Binance-related hack and high leverage on Hyperliquid, both of which could amplify liquidations and volatility. Over the longer term, sustained demand will depend less on the headline and burn alone than on whether the ICE-linked initiative advances, attracts users, and supports continuing protocol activity and revenue. Thus, the near-term bias is bullish, but confirmation at resistance and the durability of adoption remain important.