Altcoins News

Story: HYPE Token Jumps 80% While Hyperliquid’s Derivatives Volume Cools Off

By Dan Saada

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Market Share Dominance Masks Broader Weakness. Hyperliquid leads the pack among decentralized perpetual exchanges with 72% market share.

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HIP-3 Framework Explodes While HyperEVM Stumbles. Not everything's declining. The HIP-3 framework, which lets third parties launch their own…

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Hyperliquid's native token just posted an 80% gain over the past three months. Bitcoin managed 10% in that same stretch. Pretty wild when you look at what's happening underneath.

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The numbers tell a weird story. Crypto analyst Michael Nadeau points out the market's paying more for each dollar of revenue the platform brings in.

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Hyperliquid's perpetual decentralized exchange pulled in $153.8 million in fees over the last 90 days. That's down 13% from the previous quarter, though it's still up 12.

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Capital flows paint an even messier picture. Right now, $3.36 billion sits bridged into Hyperliquid. That's down 44% from the peak.

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Active addresses did tick up 6.6% quarter-over-quarter, averaging 46,000 per day. So there's some user growth happening.

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Not everything's declining. The HIP-3 framework, which lets third parties launch their own perpetual DEXs on top of Hyperliquid's infrastructure, saw volumes jump 973%…

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But the HyperEVM side tells a different story. Revenue there dropped 33% quarter-over-quarter to $1.84 million. Active addresses fell too.

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Stablecoin supply on HyperEVM did climb to $1.83 billion, mostly because of USDC inflows. That's one bright spot in an otherwise murky segment.

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See also: Bitcoin shows rare bullish signals despite cautious sentiment in derivatives

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Token dynamics show buybacks outpacing new issuance over the past 90 days. That creates net deflation for HYPE, which theoretically supports price. The buyback yield dropped to 2.

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The valuation versus fundamentals gap keeps widening. HYPE's price is climbing way faster than the platform's actual usage and revenue.

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Some segments are expanding while others contract. The HIP-3 volumes surging 973% show real developer interest in building on Hyperliquid's infrastructure.

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The capital outflows are harder to ignore. When $730 million leaves in 90 days, with $500 million of that in just a few weeks, something's spooked holders.

The Currency Analytics

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