Hyperliquid’s HYPE token has returned to a key price area following another sharp correction, while staking activity on the network has continued to rise. Net staking flows for HYPE recently increased by 40%, bringing total staked HYPE to about 436 million tokens and reducing the amount of liquid supply available for trading.

The token has retested the $52 to $58 demand zone, an area that buyers defended during earlier pullbacks. Market participants are now watching whether HYPE can remain above the $52 level, with the next major resistance area cited near $64 if demand strengthens.

Staking Activity Points to Longer-Term Holder Participation

HYPE resumed a deeper correction after a brief pause earlier this month, sending the token back toward one of the strongest demand zones shown on the chart. Despite the price weakness, some long-term holders have continued to lock tokens rather than reduce exposure.

One major participant recently staked 1.49 million HYPE, valued at roughly $88.2 million. The tokens were spread across eight separate wallets instead of being held in a single address. Blockchain data also showed that those wallets had held HYPE for about nine months before the tokens were staked.

The extended holding period indicates that the staking action came from wallets that had already maintained exposure through previous market conditions. Hyperliquid’s broader staking data also showed a 40% increase in net staking flows, with total staked HYPE now near 436 million tokens.

The increase reflects greater participation from holders seeking staking rewards rather than immediate liquidity. In token markets, staking flows are often watched alongside exchange liquidity because they can show whether holders are keeping assets available for trading or committing them on-chain. Higher staking can reduce the circulating supply available across exchanges, which may affect price dynamics if buying demand increases. However, staking growth alone does not ensure sustained price appreciation, and broader market demand would still need to improve for a stronger recovery to develop.

The timing of the staking increase has drawn attention because it has occurred as HYPE revisits a major demand area. The combination of reduced liquid supply and a retest of support has made the current price range an important level for traders tracking the token’s next move.

HYPE Tests Support Near $52

Daily price action continues to show that HYPE is holding within a longer-term structure despite recent weakness. The token has moved back into the $52 to $58 demand area, where buyers previously stepped in during earlier corrections.

Another technical factor is also located inside the same zone. The 200-day exponential moving average currently sits near $57.09, close to the upper portion of the demand range. HYPE remains below its 20-day and 50-day moving averages, but longer-term support has continued to hold so far.

A successful defense of the $52 to $58 region could indicate continued accumulation by patient investors while short-term traders remain cautious. In that scenario, available supply may be absorbed gradually as holders continue staking or maintaining positions.

A decisive move below $52 would weaken the current bullish structure and could increase selling pressure while delaying recovery attempts. For that reason, the $52 level remains a key area to monitor in the coming sessions. If demand strengthens and support remains intact, attention would likely turn toward the next resistance area near $64.