Hyperliquid price reenters bullish wedge pattern, will it break out?
Hyperliquid price stabilized over the weekend after reclaiming a key bullish chart structure, while growing institutional adoption narratives continued supporting investor sentiment around the decentralized derivatives protocol. According to data from crypto.news, Hyperliquid ($HYPE) price was trading around $45 at press time on May 18 after briefly rallying above the $46 level earlier in the session. The token has now recovered more than 100% from its January lows near $22 as demand surrounding decentralized perpetual trading infrastructure continued strengthening. Despite the recent recovery, Hyperliquid faced heightened volatility over the past two weeks following reports that CME Group and Intercontinental Exchange urged U.S. regulators to scrutinize the protocol over potential market manipulation and sanctions compliance risks. The concerns reportedly centered around the growing influence of decentralized offshore trading platforms within the perpetual futures market and whether existing compliance frameworks remain sufficient as trading volumes continue expanding rapidly. The regulatory scrutiny narrative contributed to a sharp correction in Hyperliquid price earlier this month as some traders reduced exposure amid fears that increased oversight could temporarily weigh on sentiment surrounding decentralized derivatives platforms. However, bulls have since regained control as institutional demand for Hyperliquid-linked investment products continued to accelerate. One of the biggest catalysts supporting sentiment remains the recent