Hyperliquid becomes crypto’s central narrative as HYPE breaks new records

Hyperliquid is becoming the new leading crypto narrative, promising to become a hub for even more active perpetual futures trading. $HYPE keeps setting new records, briefly breaking above $73.

The recent $HYPE rally still defied the overall indecisive sentiment of the crypto market. Hyperliquid was also seen as potentially becoming one of the most important L1 chains, due to its native ‘killer app’ of perpetual futures trading.

Hyperliquid has already passed Aave and Polymarket in daily fee generation, and sits just behind Pump.fun, based on DeFi Llama data. As the speculative side of crypto token trading slows down, fee-generating protocols become even more important.

The platform has also almost recovered its value locked from October 2025, with around $5.64B in total liquidity. Open interest is recovering more slowly and sits below $10B, down from over $14B in October 2025.

There are multiple factors at play on Hyperliquid, including organic growth, increased interest in stock and commodity perpetual futures, as well as demand for pre-IPO stocks.

Hyperliquid’s mindshare is also up to 1.3% according to Messari’s metric, up by over 64% for the past day. $HYPE is still behind Solana’s mindshare of 7.3%, but has passed other influential assets. The Hyperliquid chain also carries around 66K daily active users, with a significant share of whales and high-profile traders.

Will $HYPE break above $100?

$HYPE is having one of its biggest historical rallies, up over 122% in the past three months. $HYPE almost caught up with the net gains of ZCash (ZEC).

The $HYPE rally is seen as more reliable and supported by fundamentals, compared to meme tokens or other speculative assets. As traders have shifted away from tokens with no real backing, funds have also shifted away from Solana and Ethereum. $HYPE is seen as the next token to represent one of the most powerful networks.

As of June 1, $HYPE traded at $73.42, with its most active appreciation during Asian and early European trading hours. $HYPE has also liquidated a prominent whale, @loracle, erasing $42M in unrealized gains from shorting the token. The question still remains whether $HYPE is truly decoupling from the crypto market or just having a short-term rally.

$HYPE is also taken up by derivative traders, with open interest rising to an all-time peak of $2.66B, based on Coinalyze data. At this stage, short positions dominate with 56% of open interest, though they remain risky for liquidations. As a result of the price rally, $HYPE liquidated over $20M in short positions, showing the price rally was partially due to a short squeeze.

As of June 1, $HYPE liquidation levels showed short positions rose all the way up to $76. On the downside, long positions went as low as $66, showing the asset could backtrack.

What is boosting Hyperliquid’s performance?

Hyperliquid is in focus as one of the venues for pre-IPO trading of SpaceX. The IPO is expected on June 12, with a valuation of up to $1.8B.

HIP-3 has been trading the pre-IPO contracts since May 18, already carrying over $60M in open interest. The HIP-3 platform has made up around 40% of total Hyperliquid volumes, by reflecting the latest trends on the stock market, as well as the price of crude oil.

The SpaceX pre-IPO trading was also highly volatile, resembling the speculative token or even meme market. As of June 1, the pre-IPO shares were traded at $204, with the potential to spark more speculative trading. Hyperliquid was also one of the venues to give an extremely high pre-IPO valuation for SpaceX.

On HIP-3, S&P 500 trading has the highest open interest of over $500M. At the same time, Brent and WTI oil perpetual futures have the highest daily volumes.