Hyperliquid: A Forecast to Drop to $22.71 by December 19, 2025

By: crypto insight|2025/12/16 07:30:13
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Key Takeaways:

  • Hyperliquid’s current trading price of $28.99 is anticipated to decrease significantly by 23.30% over the next five days, reaching a predicted value of $22.71.
  • The cryptocurrency market is experiencing a phase of Extreme Fear, as reflected by the Fear & Greed index value of 23, impacting investor sentiment toward Hyperliquid.
  • Technical indicators show a predominantly bearish sentiment for Hyperliquid, with 81% of the signaling tools predicting a downturn.
  • Despite short-term bearish trends, Hyperliquid has demonstrated a 36.86% increase over the past year, suggesting a complex market dynamic.

WEEX Crypto News, 2025-12-16 07:23:18

In the diverse and sometimes volatile universe of cryptocurrency, keeping track of market trends, forecasts, and investor sentiment is essential for informed decision-making. This week’s focus is Hyperliquid, a digital asset currently facing bearish predictions, as analysts anticipate a significant drop in its market price. As we navigate these choppy waters, it’s crucial to understand the dynamics driving this forecast.

Current Market Dynamics and Hyperliquid’s Position

As of now, Hyperliquid is being traded at $28.99. There is a bearish prediction pushing its expected value down to $22.71 by December 19, 2025. This dramatic forecast suggests a reduction of approximately 23.30% within a mere five-day window. Understanding why and how this decline is predicted necessitates a look into broader market trends and specific performance indicators influencing Hyperliquid.

Currently, the total cryptocurrency market cap stands at $2.94 trillion, exhibiting a decrease of 2.68%. Meanwhile, Bitcoin continues to have a significant hold on the market with a dominance level of 58.62%. Within this context, Bitcoin is trading at $86,206 with a slight decline of 2.53%. Similarly, the S&P 500 is at 6,816.34, presenting a decrease of 0.16%, whereas gold has seen a marginal increase, priced at $4,305.34.

These numbers are pivotal as they set the tone for market sentiment. Inside these broader economic movements, Hyperliquid’s price trajectory has remained intriguing to investors and analysts alike. Recently, Hyperliquid has performed well against major cryptocurrencies, marking a 3.30% growth against the US Dollar and stronger performances against Bitcoin and Ethereum, with gains of 3.84% and 3.65%, respectively.

Sentiment Analysis and Technical Indicators

The cryptocurrency sector often ebbs and flows based on investor sentiment, and Hyperliquid is no exception. However, despite the recent gains, the underlying sentiment surrounding Hyperliquid remains starkly bearish. The Fear & Greed index, an essential tool for gauging investor sentiment, currently reads 23, denoting an atmosphere of Extreme Fear. This sentiment is crucial as it influences investor behavior and trading volumes, often leading to sharp price fluctuations.

Investors use numerous indicators to predict market trends, among which moving averages and oscillators are key. These indicators paint a more detailed picture of Hyperliquid’s current and future market position. Below, we explore the significance of these technical tools in predicting Hyperliquid’s movement.

Moving Averages: A Deeper Insight

The Daily Simple and Exponential Moving Averages exhibit consistent sell signals for Hyperliquid, suggesting a bearish outlook in the short to medium term:

  • MA3, MA5, MA10, MA21, and MA50 prices consistently present a sell option, echoing signals that suggest potential bearish momentum.
  • The 50-day Simple Moving Average (SMA 50) captures trends over a slightly longer term, showing that Hyperliquid is trading above this trendline, which, curiously, sends a contrasting bullish signal across a longer timeframe.
  • Significantly, Hyperliquid is also trading above the 200-day Simple Moving Average, reinforcing a complex market sentiment that’s not wholly bear-centric.

Market Oscillators and Their Signals

Oscillators, which provide further technical insight, display a mixed sentiment but with a potential tilt towards buying in specific metrics:

  • Indicators like the RSI and MACD hold a neutral position, indicating no immediate overbought or oversold condition for Hyperliquid.
  • Meanwhile, others like Stoch RSI and Stochastic Fast suggest a possible buying opportunity, hinting at price bottoms where potential gains could be pursued.
  • Yet, indicators as varied as the Awesome Oscillator and Momentum indicators hold neutral stances, underscoring the complexity of Hyperliquid’s current market position.

Hyperliquid’s Recent Performance and Price Prediction

Over the past 30 days, Hyperliquid has experienced a negative trend, losing 22.18%. This downturn aligns with a loss noticed over a three-month span, where Hyperliquid plummeted by a staggering 45.54%. Despite these negative realignments, the coin has achieved a remarkable 36.86% gain over the last year. Such mixed performances underscore the inherent volatility and unpredictability of the cryptocurrency market.

Adding a historical perspective, Hyperliquid peaked at an all-time high of $59.31 on September 18, 2025. Comparing that to current levels and the projected drop to $22.71, the volatility evident over the short term becomes even more pronounced. It’s important to reiterate that these projections, although based on available data and technical analyses, are speculative insights within a largely unpredictable market.

Navigating the Bearish Market Sentiment

The current deliberation, heavily emphasizing a bearish sentiment, throws a spotlight on five bullish indicators balanced against twenty-one bearish indicators. Such overwhelming pessimism among forecasting tools indicates an 81% likelihood of a downtrend, a figure that should prompt caution among investors.

In this context, the Fear & Greed index can’t be overlooked. A reading in the domain of Extreme Fear often signifies potential undervaluation within the market, offering buying opportunities for strategic conservative investors. Yet, this optimism should be tempered with caution, recognizing the inherent risks and the volatile nature of digital currencies.

Strategic Considerations Moving Forward

As we progress beyond December 19, 2025, it becomes imperative for traders and investors to pay close attention to the oscillations within Hyperliquid’s market. This includes monitoring support levels closely outlined at $28.52, $27.38, and $26.81, alongside resistance thresholds at $30.24, $30.81, and $31.95.

The cryptocurrency realm, including Hyperliquid, can share characteristics with traditional markets—demand shifts, geopolitical climates, and technological advancements can drive volatility. Therefore, understanding these diverse components is critical for safeguarding prospective investments.

Through this exhaustive examination, Hyperliquid emerges not as a standalone asset but as part of a larger framework, interconnected with wider market dynamics, sentiment indexes, and investor expectations. Continuous analysis and strategic foresight remain indispensable to navigating this unpredictable yet fundamentally promising landscape.

FAQ

What factors are contributing to the bearish sentiment around Hyperliquid?

Numerous technical indicators and market analyses point to a bearish outlook with tools such as moving averages and the Fear & Greed index signaling caution due to negative market sentiment.

How reliable are the Hyperliquid price predictions?

While based on historical data and technical analysis, cryptocurrency predictions, including for Hyperliquid, are inherently speculative and subject to market volatility.

Can the Fear & Greed index be used to make investment decisions?

The Fear & Greed index can provide insight into market sentiment but should not be used as the sole basis for investment decisions, as broader market dynamics must also be considered.

What are the key levels I should watch for trading Hyperliquid?

Key support levels are around $28.52, $27.38, and $26.81, and resistance levels are $30.24, $30.81, and $31.95, which are critical for making informed trading decisions.

How has Hyperliquid performed in the past year?

Over the past year, Hyperliquid has shown a positive growth trajectory with a 36.86% increase, despite short-term volatility.

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Over the past 24 hours, the crypto market has shown strong momentum across multiple dimensions. The mainstream discussion has focused on Coinbase's official entry into the prediction market through the acquisition of The Clearing Company, as well as the intense controversy within the AAVE community regarding token incentives and governance rights.


In terms of ecosystem development, Solana has introduced the innovative Kora fee layer aimed at reducing user transaction costs; meanwhile, the Perp DEX competition has intensified, with the showdown between Hyperliquid and Lighter sparking widespread community discussion on the future of decentralized derivatives.


I. Mainstream Topics


1. Coinbase Acquires The Clearing Company, Officially Entering Prediction Market


This week, Coinbase announced the acquisition of The Clearing Company, marking another significant move to deepen its presence in this field after last week's announcement of launching a prediction market on its platform.


The Clearing Company's founder, Toni Gemayel, and the team will join Coinbase to jointly drive the development of the prediction market business.


Coinbase's Product Lead, Shan Aggarwal, stated that the growth of the prediction market is still in its early stages and predicts that 2026 will be the breakout year for this field.


The community has reacted positively to this, generally believing that Coinbase's entry will bring significant traffic and compliance advantages to the prediction market. However, this has also sparked discussions about the industry's competitive landscape.


Jai Bhavnani, Founder of Rivalry, commented that for startups, if their product model proves to be successful, industry giants like Coinbase have ample reason to replicate it.


This serves as a reminder to all entrepreneurs in the crypto space that they must build significant moats to withstand competition pressure from these giants.


2. Kalshi Launches Kalshi Research and Integrates BSC Network


Regulated prediction market platform Kalshi launched its research arm, Kalshi Research, this week, aimed at opening its internal data to the academic community and researchers to facilitate exploration of prediction market-related topics.


Its inaugural research report highlights Kalshi's outperformance in predicting inflation compared to Wall Street's traditional models. Kalshi co-founder Luana Lopes Lara commented that the power of prediction markets lies in the valuable data they generate, and it is now time to better utilize this data.


Meanwhile, Kalshi announced its support for the BNB Chain (BSC), allowing users to deposit and withdraw BNB and USDT via the BSC network.


This move is seen as a significant step for Kalshi to open its platform to a broader crypto user base, aiming to unlock access to the world's largest prediction market. Furthermore, Kalshi also revealed plans to host the first Prediction Market Summit in 2026 to further drive industry engagement and development.


3. AAVE Token Incentive Controversy Persists as Founders and Whales Increase Holdings Against the Market Trend


The AAVE community recently engaged in heated debates around an Aave Improvement Proposal (AIP) titled "AAVE Tokenomics Alignment Phase One - Ownership Governance," aiming to transfer ownership and control of the Aave brand from Aave Labs to Aave DAO.


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Another widely circulated article, "Ethereum 2025: From Experiment to Global Infrastructure," provided a comprehensive summary of Ethereum's development over the past year. The article noted that 2025 is a crucial year for Ethereum's transition from an experimental project to global financial infrastructure. Through the Pectra and Fusaka hard forks, Ethereum achieved significant reductions in account abstraction and transaction costs.


Furthermore, the SEC's clarification of Ethereum's "non-securities" nature and the launch of tokenized funds on the Ethereum mainnet by traditional financial giants like JPMorgan marked Ethereum's gaining recognition from mainstream institutions. The article suggested that whether it is the continued growth of DeFi, the thriving L2 ecosystem, or the integration with the AI field, Ethereum's vision as the "world computer" is gradually becoming a reality.


II. Mainstream Ecosystem Updates


1. Solana: Launches Kora Fee Layer and propAMM Data Research


The Solana Foundation engineering team released a fee layer solution called Kora this week.


Kora is a fee relayer and signatory node designed to provide the Solana ecosystem with a more flexible transaction fee payment method. Through Kora, users will be able to achieve gas-free transactions or choose to pay network fees using any stablecoin or SPL token. This innovation is seen as an important step in lowering the barrier of entry for new users and improving Solana network's availability.


Additionally, a deep research report on propAMM (proactive market maker) sparked community interest. The report's data analysis of propAMMs on Solana like HumidiFi indicated that Solana has achieved, or even surpassed, the level of transaction execution quality in traditional finance (TradFi) markets.


For example, on the SOL-USDC trading pair, HumidiFi is able to provide a highly competitive spread for large trades (0.4-1.6 bps), which is already better than the trading slippage of some mid-cap stocks in traditional markets.


Research suggests that propAMM is making the vision of the "Internet Capital Market" a reality, with Solana emerging as the prime venue for all of this to happen.


2. Perp DEX: Hyperliquid vs. Lighter Competition Intensifies


The competition in the perpetual contract DEX (Perp DEX) space is becoming increasingly heated.


In its latest official article, Hyperliquid has positioned its emerging competitor, Lighter, alongside centralized exchanges like Binance, referring to it as a platform utilizing a centralized sequencer. Hyperliquid emphasizes its transparency advantage of being "fully on-chain, operated by a validator network, and with no hidden state."


The community widely interprets this as Hyperliquid declaring "war" on Lighter. The technical differences between the two platforms have also become a focal point of discussion: Hyperliquid focuses on ultimate on-chain transparency, while Lighter emphasizes achieving "verifiable execution" through zero-knowledge proofs to provide users with a Central Limit Order Book (CLOB)-like trading experience.


This battle over the future direction of decentralized derivatives exchanges is expected to peak in 2026.


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Some argue that Lighter does not follow a B-book model that bets against market makers, instead anchoring its prices to the TradFi market, and the high fees may be related to the current liquidity or market maker balance incentives. Providing a more competitive spread for real-world assets (RWA) in the highly volatile crypto market is a key issue Lighter will need to address in the future.


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