The Hyperliquid (HYPE) token is capturing market attention once again, not just for its recent price action, but for the tug-of-war playing out between major crypto whales—and the increasingly influential role of retail traders. Despite a slight 0.25% price gain in the last 24 hours, HYPE has managed to sustain its upward momentum after recently achieving a 13.31% monthly high. Now, all eyes are on whether retail participants can keep the rally alive as two heavyweight traders take opposite sides of the market.

Recent analysis from Coinglass has revealed that two major whales are locked in a high-stakes standoff. One whale, clearly optimistic about HYPE’s potential, has opened a long position worth over $15 million at an entry price of $11.93. As of now, that position is significantly in profit, supported by the token’s climb to $18. The opposing whale, however, has bet against HYPE, entering a short position worth $12.8 million at a higher price point of $14.21. This bearish bet has since slipped into the red, facing a growing unrealized loss as HYPE edges higher.

Despite the evident divergence in these whale positions, the ultimate direction of HYPE may not be determined by these deep-pocketed traders. Instead, retail derivative traders appear to be driving the current sentiment, and their collective behavior could dictate the token’s next big move. Market volume has grown substantially in the past day, up 5.73%, with total trading activity nearing $275 million. This indicates increasing participation, particularly from retail investors who are actively opening long positions, signaling broad confidence in further price gains.

Additional on-chain and market data support this narrative. The volume-weighted funding rate for HYPE has remained positive since April 20, meaning traders are paying to maintain long positions—usually a sign of bullish conviction in the market. Open interest has also surged, hitting levels last seen in late February when the total number of active contracts surpassed $560 million. A significant portion of this interest continues to come from those betting on upward movement, reinforcing the trend.

Liquidation data further illustrates the imbalance between bullish and bearish expectations. In the last 12 hours, short sellers have suffered the brunt of forced liquidations, accounting for over $37,000 of the $42,000 total. Long traders, by contrast, have only lost a small fraction in comparison. These liquidations reflect the pressure being placed on those wagering against HYPE’s continued rise, and suggest that unless the trend reverses soon, the bearish positions may become unsustainable.

The funding rate, currently at 0.0099%, adds another layer of insight. Long traders are now paying a premium to short sellers, indicating a strong demand to stay in bullish positions. While this could sometimes point to overheating in the market, in this context it reinforces the idea that momentum is clearly favoring those expecting further price increases.

In summary, while whales may be the headline grabbers, it’s the retail traders who are currently steering the ship. Their collective bets on HYPE’s rally, backed by strong market signals and growing momentum, could soon tip the balance entirely in favor of the bulls. As the tug-of-war continues, one thing is clear: retail influence in the crypto market is stronger than ever—and HYPE may be the latest proof.