HYPE has increased by 60% but they warn that hyper liquid growth parameters cannot be contained

Main Receptors:

HYPE rallied 60% to $34.90, fueled by institutional investors piling in from Hyperliquid Strategies and reducing selling after placing openers.

Liquidations of more than $20 million and ARK Invest's bullish report fueled speculation despite flat perpetual volumes.

Hyperliquid ( HYPE ) rose to $34.90 on Wednesday, up from $21.80 two days ago. The 60 percent rally triggered more than $20 million in liquidity in leveraged positions, leading to an estimated additional gain of $40 million. The move comes as the publicly-listed company added HYPE to its balance sheet after a report focused on its digital asset stock and reduced selling pressure following the stock's big open.

X user lucannon727 raised suspicions that his firm HyperLiquid Strategies (PURR US) is switching flows from market maker FlowDesk. This comes after users marked the 3.6 million HYPE stock that started on December 12, 2025. Affiliate addresses hold their HYPE tokens a few hours after receiving them through Anchorage Storage Solutions.

The analysis also mentions another 460,000 HYPE transmitted from OKX and Bybit on Tuesday and subsequently accumulated through Anchorage, which is consistent with the working methods of Hyperliquid Strategies. PURR, a Nasdaq-listed digital assets treasury company, was formed with Rorschach, a SPAC sponsored by venture capital firms Paradigm and Atlas Merchant Capital.

Has Hyperliquid Copied Binance?

Some market participants attributed the HYPE price gains to increased hyperliquid onchain activity, although synthetic perpetual volumes and fees showed no significant changes. Similarly, open interest in Hyperliquid reached $8.5 billion on Tuesday, flat from a week ago. In addition to the movement in silver contracts, there is much evidence of a significant shift in the use of hyperliquids.

Hyperliquid's official X label reported high open demand on Monday, fueled by an influx of synthetic products. The information was reposted by Hyperliquid CEO Jeff Yan, who said that the liquidity of Hyperliquid's Bitcoin Futures exceeded that of Binance. The analysis included a snapshot of BTC Perpetual futures order books compared to Binance and Hyperliquid.

Yan's analysis suggests that HyperLiquid has become the epicenter of “crypto value discovery,” although this estimate puts Binance's aggregate BTC futures open interest at $12.3 billion. The centralized exchange offers monthly contracts and settled contracts in both BTC and Tether (USDT). In fact, Binance BTC open interest is five times higher than Hyperliquid's.

Capital is determined to continue the previous HYPE selling push, especially after the fund manager reportedly sold 297,000 HYPEs according to X user murda0x. The last big opening from Continue Capital happened on January 21st, with a total of 1.47 million HYPE. Another 1.5 million HYPE was recently unlocked by a wallet called “Tornado Cash cluster”.

Related: CertiK Connects $63M in Tornado Cash to $282M Wallet Deal

The ARK Investment Research report released on January 22 has probably played a major role in capturing investor interest. The report described HyperLiquid as “one of the most profitable companies in the world” using decentralized finance (DeFi) derivatives to compete directly with traditional exchanges. Analysts noted that blockchain networks are moving into financial assets because of their utility.

Failure of HYPE to sustain levels above $34 on Wednesday is not necessarily a death sentence, but the likelihood is that recent one-time events, such as inflows from a digital asset back-up firm, will reduce selling pressure. While Hypeliquid's long-term fundamentals remain strong, there is no definitive evidence that $40 is the next logical level for HYPE Token.