The post potential failed auction zone for a reversal ? appeared on BitcoinEthereumNews.com.

Hyperliquid is is currently testing a critical resistance at the range high following an impulsive rally. However, fading volume and hesitation in price action suggest a potential failed auction and reversal could be forming. Recent price action on Hyperliquid (HYPE) has shown a structured bullish rise from the range low all the way to the range high. This rally only began after price broke below the range low, triggering a failed auction scenario, a setup that typically occurs when sellers are exhausted and price quickly reclaims lost ground, leading to sharp upside pressure. Now, with the rally nearing the top of the range, questions emerge on whether the momentum will continue, or reverse. Key technical points Price action rallied from a failed auction at the range low Volume has not supported the continuation above resistance Range high acts as a technical sell zone if rejection confirms Hyperliquid USDT (4H) chart Source: TradingView The rally from the lows was impulsive, and the reclaim of the range low marked a shift in buyer aggression. The failed auction setup served as a major reversal cue, when the market broke below a key level only to reclaim it and run higher. This behavior is often associated with seller exhaustion and can kick off new bullish sequences. That was evident here as the price climbed with strength, targeting the range high. But what makes the current level so critical is the lack of volume follow-through as price tapped into the range high resistance. While price structure has remained bullish, the declining volume suggests the market may not have enough strength to push beyond this zone. In previous bullish continuations, volume typically confirms the move. However, this time it’s absent. This hesitation at the range high increases the probability of a potential pullback, especially if price…

---

Filed under: News - @ April 25, 2025 2:25 am