Check out the latest information in Spanish.
Hyper Liquid (HYPE), a new altcoin, is rapidly making waves in the crypto market and currently ranks as the 28th largest cryptocurrency by market capitalization. This rise has seen HYPE outperform established coins such as Near Protocol (NEAR), with its value soaring 204% in just two weeks, reaching a market cap of approximately $8.93 billion.
Exploring the Hyperliquid protocol
Examining altcoin offerings is essential to better understand why altcoins are gaining traction over the past week.
HYPE is the native token of Hyperliquid, a layer 1 (L1) blockchain powered by HyperBFT technology. The tool reportedly allows Hyperliquid to facilitate “fast, secure, and transparent trading” and bridge the gap between centralized exchanges (CEXs) and decentralized exchanges (DEXs).
Specifically, Hyperliquid is commonly associated with other blockchains such as Solana (SOL) and Ethereum (ETH) due to the protocol's ability to process over 100,000 transactions per second and sub-second latency. Address any performance limitations you may have.
Related books
HYPE’s tokenomics includes a burn mechanism to control supply and support price stability. This is a common practice seen with tokens such as Shiba Inu (SHIB). A strict vesting schedule is also in place to balance liquidity and reduce selling pressure.
The token offers investors a variety of utility options, including discounted transaction fees, staking opportunities, and participation in governance. HYPE holders can earn rewards and provide liquidity to trading pools by staking their tokens, while significantly increasing profitability through reduced trading fees.
Will a new listing and HyperEVM be launched to promote HYPE?
Recent insights from crypto analyst Elikonomic also highlighted some compelling reasons to remain bullish on HYPE despite the short-term correction in layer 1 altcoins.
Analysts say HyperLiquid has hit a record high in Circle stablecoin USDC deposits, indicating strong demand, while auction prices have also reached unprecedented levels, with high-profile parties like MON Protocol It is pointed out that a large number of purchases were made.
The total amount of USDC held by Hyperliquid has rapidly increased, indicating solid liquidity. Additionally, many savvy traders have invested millions of dollars in HYPE and publicly support the token, suggesting confidence in its future potential.
HYPE is not yet available on Tier 1 centralized exchanges, so retail investors have not yet entered the market significantly, but if there is significant attention to the HYPE price by these traders, this could be a notable catalyst for the price. There is a possibility that
Related books
Eliconomic further compared HYPE to Binance Coin (BNB), pointing out that all fees generated are transferred back to the Hyperliquid protocol, allowing HYPE holders to enjoy a fairer fee distribution.
Additionally, the community is looking forward to several upcoming catalysts, including a new listing on a major cryptocurrency exchange and the introduction of HyperEVM, which could significantly enhance the platform's capabilities.
The hourly chart shows HYPE price consolidation after the drop on December 12th. Source: HYPEUSDT on TradingView.com
At the time of writing, HYPE has stabilized at the $26.91 level following a retracement from the all-time high of $42 recorded on December 12th.
Despite this correction, the token still reflects a significant gain of over 105% on a weekly basis, with a trading volume of $342 million. Looking ahead, it remains to be seen whether there will be enough catalysts to support the token after the recent correction.
Featured image from DALL-E, chart from TradingView.com
