HYPE breaks below key support, is $35 the last line of defense for the bulls?

Recently, Hyperliquid's trend has clearly weakened. After failing to break through $44.71, the price further fell below the key support at $39.74, and market sentiment began to cool down.
However, despite the price correction, large funds in the market have not exited.
This week, a whale wallet bought another 151k HYPE tokens, worth about $6.09 million, and directly staked them. Previously, this address had already staked over 350k HYPE tokens, indicating a clear preference for long-term holding rather than short-term arbitrage.
Meanwhile, exchange funds continue to flow out net. The latest data shows a single-day net outflow of about $2.24 million, meaning more and more HYPE tokens are being transferred out of trading platforms, and circulating market chips are decreasing.
From a technical perspective, around $35 has become the most important support zone currently. On the daily chart, HYPE is still trading within an upward channel, but the short-term trend has already become noticeably weak.
The RSI indicator has also fallen back from the previously strong zone to around 40, indicating that buying momentum is weakening.
However, top traders in the derivatives market still lean bullish; currently, the long-short ratio remains above 1.13, with long positions accounting for about 53%.
In simple terms, the core logic of the market is very clear now:
If the $35 support holds, HYPE still has a chance to challenge the pressure levels at $39.74 and even $44.71;
But if $35 is effectively broken, short-term sentiment could further turn bearish.
Currently, the whale accumulation, continuous staking, and exchange outflows still suggest that long-term market confidence has not been completely lost.