The phrase is often used in sports or contests to describe being close to winning. Despite their loss last week, they're still in the hunt for the playoffs.
Pro Tip 2/3
Active Pursuit
It implies active involvement, not just a possibility or potential. He's in the hunt for the lead role, attending every audition he can.
Pro Tip 3/3
Current Progress
The phrase suggests being in a favorable position but not at the final goal. Halfway through the season, they are very much in the hunt.