HYPE Token Jumps 5% as Hyperliquid Burns $9.22M Amid Oil Futures Trading Boom

TLDR

• The HYPE token gained approximately 5% over a 24-hour period amid heightened trading volume, particularly in oil futures amid Middle East geopolitical tensions
• The Hyperliquid platform recorded $2.8M in fees during a single day and accumulated $13M in fees across the past week
• Token burns totaled $9.22M over a seven-day span, marking a 20.4% jump compared to the previous week
• Market participants have largely dismissed concerns about a $316M token unlock scheduled for this week, anticipating minimal net supply expansion
• BitMEX co-founder Arthur Hayes has publicly indicated HYPE could climb to $150, representing approximately a 5x increase from present levels around $31–$32

The native token of Hyperliquid posted gains of roughly 5% across 24 hours even as the wider cryptocurrency market trended downward. Bitcoin declined 0.7% to reach $66,700 in the same timeframe. The CoinDesk 20 Index experienced a 1.7% drop.

The upward movement came as trading volume on the Hyperliquid decentralized exchange experienced a notable surge throughout the weekend. Market participants flocked to establish positions in oil futures contracts as geopolitical uncertainty intensified in the Middle East following events connected to the Iran situation.

The fee structure implemented by Hyperliquid channels a percentage of trading fees directly toward HYPE token buybacks and subsequent burns. Increased platform usage translates to more tokens being permanently removed from the supply.

According to data from DeFiLlama, the protocol generated $2.8 million in fees during the last 24-hour period and exceeded $13 million across the previous seven days. This trading activity led to $9.22 million in HYPE tokens being burned over the week, representing a 20.4% increase versus the preceding period.

Token Unlock Concern Fades

A planned token unlock valued at approximately $316 million is scheduled to execute this week. The unlock represents about 9.92 million HYPE tokens, equivalent to roughly 2.7% of the currently released supply.

Despite the substantial magnitude of this unlock event, market participants appear relatively unfazed. Historical tracking data compiled by Tokenomist reveals that unlock events frequently release fewer tokens than initially projected. Many traders are wagering that the actual circulating supply will not expand significantly.

The ongoing burn mechanism has successfully reframed the discussion from supply risk concerns toward supply contraction dynamics, attracting additional buyers to the token.

A comparable pattern is emerging with Jupiter’s JUP token. JUP appreciated 13% during the past week following a late-February governance decision that approved the elimination of new token emissions through 2026. This measure ensures no additional JUP will enter circulation throughout this year.

Arthur Hayes Calls for $150

Arthur Hayes, co-founder of BitMEX, has publicly stated his belief that HYPE could achieve a $150 valuation. This target would represent roughly a 5x multiplication from current trading levels hovering around $31–$32.

Hayes characterized HYPE as existing in a “price discovery” phase, indicating the market has yet to establish a definitive long-term valuation ceiling. He highlights the protocol’s expanding perpetual trading volume as a primary catalyst.

On-chain analysts have observed that Hayes previously liquidated a portion of his HYPE holdings, which provides additional perspective on his price projection.

From a technical analysis perspective, HYPE has successfully broken above a multi-month falling wedge formation on the daily timeframe. The token is currently working to recapture its 200-day EMA positioned near $32. Critical resistance zones are located at $40–$42, followed by $50.

The long-to-short trader ratio currently registers at 1.65, with 30,369 traders holding long positions compared to 18,610 maintaining short positions.

Based on the most recent market data, HYPE is changing hands near $31–$32 with the 200-day EMA serving as the primary near-term level to monitor.

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