Hyperliquid Price Eyes $40 Breakout as Oil Trading Frenzy Fuels HYPE Rally

• Hyperliquid price has rallied from $29.7 to $38 within a week, registering a 28% surge.
• Geopolitical-driven oil trading frenzy in Hyperliquid’s platform continue to boost fee revenue and buy-back expectations 
• Iran’s newly appointed Supreme Leader, Mojtaba Khamenei, has made several pointed declarations emphasizing resistance to U.S. involvement.

HYPE, the native token of decentralized perpetuals exchange, Hyperliquid jumped roughly 3% on Thursday, to reach a trading value of $37.2. While a majority of major cryptocurrencies struggle amid the renewed geopolitical tension and surging oil prices, the Hyperliquid price is benefiting from the oil trading frenzy. Bullish narrative from influential figures like Arthur Hayes and Daniel Cheung further reinforces the market sentiment for technical breakout in this asset.

Geopolitical Friction Boosts Hyperliquid RWA Derivatives Activity to Record Levels

The crypto market has experienced a shy recovery this week amid the renewed geopolitical tension in the middle-east. However, the one cryptocurrency that emerged tall among others following a flood in training volume tied to its tokenized oil perpetuals contracts.

Hyperliquid reported on X that real-world asset (RWA) derivatives activity on its platform set multiple new highs during the last 2 weeks. Open interest was greater than $1.3 billion and trading volume over the past weekend was greater than $1.4 billion. The decentralized exchange is responsible for continuous trading of commodities such as oil and metals, indices, etc., even when conventional exchanges are closed. This enables the formation of prices for these instruments around the clock.

BitMEX co-founder Arthur Hayes recently explained in his analysis why HYPE Price could rise to $150 by mid-2026. He pegged the projection to the platform potentially recovering previous high annualized revenue levels of ~$1.4 billion, while continuing expansion in permissionless perpetual markets.

Separately, Syncracy Capital co-founder Daniel Cheung drew some parallels between where HYPE is trading now – near $35 – and where Solana was trading around $20 ahead of its previous major upswing. He singled out Hyperliquid as the leading blockchain that is currently creating trading volume and bringing new members to the crypto space due to constant access to the market.

The decentralized exchange has attracted more and more attention in recent months, with debates centering on its role in the trading of derivatives beyond speculative meme assets. 

Hyperliquid Price Inches Away From Major Breakout 

By press time, the Hyperliquid price is currently trading at $37.3 and records its 24-hours trading volume at $410 million.

This increased activity is paired with persistent disruptions to the Strait of Hormuz, where geopolitical tensions – such as attacks on commercial ships, recent mine deployments, and Iranian force threats – have drastically decreased the volume of maritime traffic.

With sustained buying, the Hyperliquid price is heading to $40 region which coincides with the resistance trendline of a rising wedge pattern. Since late-January, the coin price has been resonating within the two ascending trendlines of the wedge pattern, driving a shallow recovery trend in this asset.

Therefore, a potential breakout from the $40 resistance could accelerate the bullish momentum in HYPE and push the price for next significant resistance at $50.

On the contrary, if sellers continue to defend the overhead trendline, the Hyperliquid price could struggle to drive a clean breakout or revert lower to regain recovery momentum.