• Hyperliquid saw a huge price jump after submitting comment letters to the CFTC.
• Charts showed strong buying signs as prices broke through several key levels quickly.
• Smart investors entered early, around $15, before the token hit its highest price ever.

Hyperliquid (HYPE) surged to an all-time high of $36.246 on May 23, 2025, marking a 278% rise from April’s $9.328 low. The move came hours after Hyperliquid Labs shared on X that it had submitted comment letters to the Commodity Futures Trading Commission (CFTC). The letters addressed issues surrounding perpetual derivatives and 24/7 trading. Technical data from TradingView confirmed the rally’s strength with a bullish move and an RSI reading of 83.17.

Regulatory Dialogue Ignites Institutional Confidence

Hyperliquid Labs confirmed it submitted responses to the CFTC’s Requests for Comment on perpetual derivatives and 24/7 trading. The submissions discussed main market issues and focused on getting a clear and forward-thinking set of rules for decentralized finance and cryptocurrency companies. 

The following post is from Hyperliquid Labs

Hyperliquid Labs is committed to the advancement of defi and its promise in delivering a more open, transparent, and efficient financial system for all. As a contributor to the Hyperliquid blockchain, we believe in defi’s ability not…

— Hyperliquid (@HyperliquidX) May 23, 2025

Also, Hyperliquid Labs confirmed that its goal is to develop an efficient DeFi system that unites the world. It claimed that moving away from traditional markets and toward decentralized structures can increase the transparency of markets, lessen major risks, and provide better protection for those using them. 

Technical Chart Patterns Confirm Breakout

The HYPE token displayed textbook bullish signals on TradingView. The chart revealed a rounded bottom formation and an aggressive upward channel breakout. Moreover, HYPE breached major Fibonacci retracement levels: 0.618 ($19.611), 0.5 ($22.787), 0.382 ($25.963), and 0.236 ($29.893), confirming a high level of strength.

Additionally, price action moved through a fair value gap between $29.893 and $32.000. This area now serves as near-term support. Smart money accumulation zones around $15.088 aligned with the 0.786 retracement, confirming institutional interest. Furthermore, HYPE’s RSI of 83.17 means the stock entered into overbought areas, so there are questions about its short-term stability.

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Smart Money Behavior or Just Hype?

Investor sentiment appears linked to Hyperliquid’s alignment with regulatory frameworks and its DeFi infrastructure vision. The trading volume surge and clean structural breakout indicate more than retail speculation.

Advisably, traders should closely watch the support levels at $29.893 and $25.963, just in case of a reversal. This recent ATH shows traders have confidence in Hyperliquid’s future, thanks to its active regulatory work and stable technology.

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