Deng Tong, Golden Finance
On August 27, 2025, HYPE briefly touched $50, hitting a new all-time high, and as of press time was at $50.932, with a 24-hour increase of 15.55%.
What is driving HYPE's meteoric rise? How high can HYPE go in the future?
I. What factors have driven HYPE's rise?
1. Whale Activity
On August 27, according to on-chain analyst Ai Yi's monitoring, address 0xFF0…24FbF withdrew 10 million USDC from Coinbase in the past hour and then recharged to buy $9 million worth of HYPE on Hyperliquid.
On August 27, according to OnchainLens monitoring, a certain whale deposited $8.06 million USDC into Hyperliquid and purchased 169,259 HYPE at a price of $47.6.
On August 27, according to Lookonchain monitoring, in the past 12 hours, two whales purchased 358,279 HYPE ($18.23 million).
Galaxy Digital also holds a bullish position in HYPE. On August 25, Galaxy Digital founder and CEO Mike Novogratz responded to Syncracy Capital co-founder Ryan Watkins' tweet about 'the past 24 hours of Hyperliquid's BTC spot trading volume exceeding the sum of Coinbase and Bybit' saying, 'Impressive work. Full disclosure, we hold a bullish position in HYPE tokens.'
According to on-chain analyst Onchain Lens monitoring, from August 20 to 25, a certain whale deposited about $4.26 million into HyperLiquid, purchasing 96,976 HYPE tokens at a price of $43.84 each.
On August 4, according to crypto analyst MLM monitoring, Paradigm may hold 19,134,900.46 HYPE, valued at approximately $765.4 million; estimated average price is $16.46, with a total cost of about $315 million.
2. Hyperliquid sets new highs in spot trading volume
Hyperliquid has maintained strong momentum since May. At that time, its trading volume of $256 billion first surpassed Robinhood's $192 billion.
In June, Hyperliquid led with $231 billion, while Robinhood was at $193 billion.
In July, Hyperliquid's spot and perpetual contract trading volume reached $330.8 billion, far exceeding Robinhood's $237.8 billion, by a margin of 39%.
On August 25, thanks to surging BTC and ETH deposits and trades through Hyperunit, Hyperliquid set a new record for 24-hour spot trading volume, reaching $3.4 billion. This made Hyperliquid the second-largest exchange by spot Bitcoin trading volume, with Bitcoin trades alone reaching $1.5 billion. This trading milestone proves Hyperliquid's capability to handle institutional-grade order flow, enhancing its market appeal.
High spot trading volume brings tangible benefits to HYPE holders — its tokens are regularly repurchased using trading fee income through auxiliary funds, linking platform usage directly to the long-term value of HYPE.
3. Multiple companies establish HYPE reserves
On July 13, Nasdaq-listed clean energy electric vehicle charging technology company Nuvve announced the issuance of 5,029,403 shares of common stock, with a public offering price of $0.95 per share, raising approximately $4.8 million. Lucid Capital Markets served as the book manager for this issuance. Nuvve stated that it will use these funds to purchase and establish Hyperliquid's native token HYPE to build a reserve of HYPE tokens. The company previously disclosed that management has decided to establish a digital financial strategy and plans to use 30% of idle funds to purchase Bitcoin.
On June 20, U.S. publicly listed company Everything Blockchain Inc. (EBZT) announced plans to invest $10 million into five major blockchain networks: Solana (SOL), XRP, Sui (SUI), Bittensor (TAO), and Hyperliquid (HYPE) to create a multi-token staking vault aimed at institutional adoption trends.
On June 18, clinical-stage ophthalmic biopharmaceutical company Eyenovia announced it would invest $50 million to initiate a reserve strategy for Hyperliquid (HYPE).
On June 12, Canadian publicly listed company Tony G Co-Investment Holdings Ltd. announced that as part of its long-term digital asset strategy, it has completed the acquisition of Hyperliquid ecosystem native asset HYPE tokens, purchasing a total of 10,387.685 HYPE tokens at an average purchase price of $42.24 per token, for a total transaction amount of $438,828.46.
4. High-performance L1 supports Hyperliquid's operation
Hyperliquid's Layer 1 is designed for high-performance perpetual contract order book exchanges, utilizing a custom consensus algorithm called HyperBFT, which fully chains the margin and matching engine state. Hyperliquid is responsive, with a median latency of 0.2 seconds (99th percentile at 0.9 seconds); it boasts high throughput, processing 200,000 transactions per second; and can handle over $10 billion in daily trading volume. Hyperliquid's platform is highly attractive to high-frequency traders and DeFi developers, and thus HYPE, deeply intertwined with Hyperliquid, will inevitably rise.
II. How high will HYPE go in the future?
As early as May 23, BitMEX co-founder Arthur Hayes had already expressed confidence in HYPE's trend, posting on social media that HYPE's market cap in this bull market may surpass SOL, asking the community: 'What do you think fam?'
On August 25, Arthur Hayes expressed optimism about HYPE again, predicting it will rise 126 times in the next three years. Hayes believes that Hyperliquid's future is closely tied to the expansion of stablecoins, describing Hyperliquid's strategy of integrating stablecoin liquidity and optimizing cross-chain settlement as the 'main driving force' for future growth.
Hayes predicts that by 2028, the global supply of stablecoins could reach $10 trillion, with Hyperliquid capturing 26.4% of that market. He explains that such a level of adoption will fundamentally change the economics of exchanges. Hyperliquid currently has a daily trading volume of $11.9 billion, which could soar to $2.63 trillion, leading to an annual fee income of $25.8 billion based on a standard commission rate of 0.03%, potentially increasing HYPE's value by 126 times in the next three years.
On the daily chart, HYPE is consolidating near the middle band of the Bollinger Bands, indicating that the price has a certain level of stability, but as the Bollinger Bands begin to tighten, the possibility of a bullish breakout seems to be forming.
Moving average analysis shows a clear bullish trend. From the 10-day exponential moving average (EMA) ($44.16) to the 200-day simple moving average (SMA) ($29.32), all key indicators currently show buy signals, confirming the upward trend.
III. Summary
With market sentiment, whale capital, technical support, and other factors at play, HYPE has broken the widespread view that 'DeFi cannot replace CEX' with new highs. HYPE has become the focus of the market's attention. However, whether HYPE can achieve a 126-fold increase in three years as predicted by Hayes remains to be seen. Changes in the macro-financial environment, overall volatility in the crypto market, regulatory policy formulation, and competition among exchanges are all factors that affect HYPE's price, and investors need to approach it with caution.
