The 21-year-old's arm was raised after less than two rounds as he left the ring with the IBO international title following a brutal knockout win over his Leeds rival.
Price's undefeated record stood at 5-0 prior to the contest at Headingley while Hussain was the more experienced fighter with 16 wins and one loss in 17 professional bouts.
In a decorated amateur career Price won Youth Olympic gold, was a two-time European Champion and won seven national titles. The Leeds' fighter's last outing was just last month as he secured a points win over Claudio Grande at Matchroom HQ's Fight Camp.
Hussain's last outing was over a year ago in February 2020, with the Covid-19 pandemic impacting his activity. The Headingley contest was not his first title fight, however, as he was previously secured the featherweight Central Area title with victory over George Brennan in 2018.
Price had the crowd on their feet at the end of the first round as he sent Hussain to the canvas with a sensational shot as the bell sounded.
The referee gave Hussain a standing-eight count before allowing him to proceed back to his corner.
Price was receiving encouragement from ringside from former world champion Tony Bellew, who would later stand to applaud as Price claimed the knockout victory.
Early in the second round, Price sustained a cut above his left eye with Hussain also covered in blood in as the fighters produced a thrilling battle.
Hussain was knocked to the floor for a second time in the fight before surviving the count but moments later the referee stepped in to end the fight as Price unloaded a barrage of punches on his opponent to claim the victory.