- HYPE surged to $35.15 with an 85.91% 30-day gain, as onchain metrics like open interest and TVL hit record highs.
- Hyperliquid Labs engaged the CFTC, backing DeFi alignment with U.S. market rules and calling for transparent regulation.
- A whale lost $23.5M shorting HYPE amid the rally, as technicals show strong momentum but signal overbought conditions.
On May 23, decentralized trading protocol Hyperliquid recorded a 15.29% surge at press time, setting a new all-time high. HYPE is trading at $35.15, a 31.87% gain over the past week and an 85.91% rise in 30 days.
Its market cap reached $11.77 billion, up by 15.75%, while 24 hour trading volume rose by 47.51% to $490.66 million. The protocol also had record highs in onchain activity, including open interest, TVL, and trading fees. Hyperliquid Labs attributed the network’s momentum to increasing onchain transparency and user engagement.
Onchain Metrics Reach Record Highs
According to Hyperliquid Labs, the protocol recorded $8.9 billion in open interest, $5.4 million in 24-hour fees, and $3.2 billion in TVL. These figures show a major increase in user activity across the Hyperliquid blockchain.
The platform’s contributors submitted two comment letters to the U.S. Commodity Futures Trading Commission (CFTC) regarding perpetual derivatives and 24/7 markets. The firm’s comments emphasized that decentralized finance (DeFi) can align with U.S. market integrity and user protection standards.
By contributing to regulatory discussions, Hyperliquid Labs aims to support DeFi growth within a compliant market. Their letters also encouraged ongoing dialogue with regulators, noting the values of open and transparent market structures.
Whale Exit Leads to $23.5M Loss Amid HYPE’s Price Rally
Amid the rally, there have been notable liquidations. According to Lookonchain, a whale wallet labeled 0x20B1 closed out all HYPE short positions. The trader had deposited $30.5 million in USDC since April 29 to short HYPE with 5 times leverage.
Following the capitulation, only $6.98 million remained in the address. This indicates a realized loss of approximately $23.5 million. The liquidation coincided with the token’s price breakout, indicating a shift in market sentiment and position imbalance.
Technical Indicators Suggest Strong Momentum
Technical indicators confirm the bullish trend. The daily candle closed at $35.15, with a high of $36.10 and low of $32.88. Trading volume is at 412.51K, supporting the upward move with strong activity.
The RSI is at 83.11, placing the asset deep in overbought levels. The MACD line is at 3.179, well above the signal line at 2.492, while the histogram measured 0.687. These indicators collectively suggest upward momentum, though the elevated RSI points to potential consolidation ahead.
On the upside, if HYPE maintains support above $32, the price could consolidate and aim for $38–40 in the short term. However a drop below $32 might push the token toward the $28–30 zone, aligning with past consolidation levels.
Hyperliquid’s latest performance combines strong onchain metrics, regulatory engagement, and technical strength. The recent whale exit shows risks tied to leverage during extreme volatility, while indicators suggest that short term cooling may follow the sharp rally.
