10x Research: HYPE currently overvalued, traders may consider taking profits and exiting

Odaily Planet Daily News: 10x Research posted on X platform, stating that Bitcoin is still in a bearish trend structure. Although Fed Chair Powell avoided questions about interest rate hikes, leading to a restorative rebound in the market, they believe the ultimate low of this cycle has not yet been reached.

10x Research pointed out that the more noteworthy trend this week is signs of capital rotation. While Bitcoin continues to weaken, a batch of small-cap tokens have risen above their 30-day moving averages, significantly outperforming the broader market. This is typically a signal that capital rotation is beginning.

Additionally, 10x Research believes that the Hyperliquid token HYPE is currently still overvalued and does not recommend holding it. Traders may consider taking profits and exiting, rotating into other assets with better chart setups to position ahead of the next upward move.