The native token for Hyperliquid, known as HYPE, witnessed a remarkable 13% increase on May 26, reaching an all-time peak of $39.90 as market momentum shifted dramatically towards the bullish side.
This substantial rise was triggered by a notable whale closing $1 billion in Bitcoin short positions, leveraging 40x on the onchain decentralized exchange, following a $15.87 million loss within just 15 hours, according to data from LookOnChain.
At the time of reporting, HYPE was trading at $38.59, reflecting an impressive gain of 11% over the preceding 24 hours.
Heightened Interest as Whales Engage in Billion-Dollar Trades on Hyperliquid
In recent developments, prominent crypto trader James Wynn executed a significant long position on Bitcoin valued at $1.25 billion on Hyperliquid, also employing a 40x leverage strategy.
However, he later adopted a bearish stance on Bitcoin, transitioning from long to short. On Sunday, Wynn initiated a short position for 1,038.7 BTC, worth $111.8 million, priced at $107,711.1, with a liquidation threshold set at $149,100.
The involvement of high-profile traders like Wynn has amplified attention toward Hyperliquid, as traders are increasingly convinced that early regulatory engagement may bolster the uptrend for HYPE.
One trader expressed on X that while growth appears to have reached a peak, competitors are emerging strongly.
“Despite the backing of numerous giants and influential figures, I believe HYPE may be the prime target for short selling, given its large capacity, solid liquidity, and clear rationale,” he stated.
Additonally, James Wynn withdrew $28 million in USDC from Hyperliquid, reaping a profit of $25.2 million. According to LookOnChain, he executed 38 trades on the platform over the last 75 days, with 17 of those being profitable, resulting in a 45% success rate.
Breach of HyperFND X Account
In a separate incident, Hyperliquid announced that the official X account for HyperFND was hacked on Saturday.
“The integrity of the Hyperliquid blockchain remains intact. We advise against interacting with any links or posts from that account,” the protocol stated on X.
In a subsequent update on Monday, Hyperliquid confirmed that its team had conducted a “comprehensive investigation” with support from X’s security services.
“There has been no breach of internal systems, emails, or related credentials,” the update noted. “Hardware 2FA was secure.”
The community is cautioned to remain cautious and verify any news shared on social media, not only pertaining to Hyperliquid. “If any announcement appears suspicious, avoid engagement,” the team advised.
The post reports a significant 13% surge in HYPE amidst the trading frenzy by crypto whales.
