DEX Adoption, HIP-3 Drive HYPE $200, Rivals Threaten Hyper Liquid Dominance
Decentralized Perpetual Exchange HyperLiquid 2025 is among crypto's breakout projects, but competitors' lucrative reward systems are vying to attract investors.
Cantor Fitzgerald predicts that Hypeliquid's HYPE (HYPE) token will rise to $200 by 2035. Hyunsu Jung, CEO of HYPE treasury company Hyperion Defy, argued that the lawsuit would be fueled by the Hyperliquid Reform Proposal 3 (HIP-3).
“We see HIP-3 as the key driver of Hyperliquid's next phase of growth and a key enabler of the evaluation framework provided by Cantor,” Jung told Cointelegraph.
Perpetual swaps are futures derivative contracts that track the price of an asset but do not have an expiration date. Contracts maintain their value with the underlying assets through a funding mechanism that transfers payments between long and short position holders.
The market share of Eternal Futures DEXs rose from 2.1% to 11.7% in January 2023, according to a report by data aggregator CoinGecko.
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Cantor Fitzgerald predicts a HYPE token price of $200 in 2035
A research note by Cantor Fitzgerald in early December predicted that the increasing use of decentralized trading venues would push the HYPE token to over $200 in the next 10 years.
In 2035, “We make the argument that HYPE should trade at 50x, as all payments are returned to token holders through purchases.”
“Using this method, we see a way for the HYPE to cover $200.”
The company predicts that the token's value will grow at a 15% compound annual growth rate (CAGR), while the relief fund will buy about 291 million HYPE tokens, reducing the total supply to 666 million tokens.
AF is an onchain component that uses 99% of protocol transaction fees to buy back HYPE tokens, artificially boosting demand for the token.
An optimistic forecast puts CEXs annual market share at about 1% of DEXs, which equates to a trading volume of $600 billion.
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Emerging competitors are the biggest threat to Hyperliquid.
Emerging rival DEXs remain the biggest threat to Hyperliquid's forecast growth, particularly the upcoming token generation event (TGE) of Liter DEX.
“In the short-term, competition from other perpetual DEXs poses a risk, especially as new entrants such as Liter use token generation events as leverage to capture market share,” Jung said.
The Ethereum-rollup-based DEX, Lighter, a product farming system based on a zero-fee transaction model and a unique point, has reported a daily trading volume of more than $8 billion.
Leiter's award-winning farming system fueled broad trade speculation for revenue TGE, said to occur by the end of 2025. While the platform has yet to officially announce the token, Liter Points will be traded for $12 on over-the-counter markets starting December 20, according to Weather Agriculture account LegendTrade.
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