Hyperliquid (HYPE) Tanks 25%, But the Price is Somehow Up
On paper, Hyperliquids tokenomics appear contradictory at this time. Due to dilution pressure and unlock-related worries, HYPE effectively lost about 25% of its value, but the market still drove the token to new all-time highs above $63. That seems illogical until you consider the actual pricing strategies used by traders. Hyperliquids unending revenue stream Fully diluted valuation is the main problem. The market is aware that millions more tokens are still planned to unlock over time, and HYPEs circulating supply is still far below its maximum supply. Although only a small portion of the supply is actively traded, CoinGecko data indicates that the projects FDV already exceeds $60 billion. HYPE/USDT Chart by TradingView Momentum is usually destroyed by that kind of setup. There are numerous tokens in cryptocurrency history that experienced early rallies, later supply unlocks, and subsequent months of bleeding out. The market anticipated that Hyperliquid would do the same. Bitcoin (BTC), Hyperliquid (HYPE), Zcash (ZEC), Dogecoin (DOGE) and Ethereum (ETH) Price Analysis for May 23: Fundamental Shift in Investors Sentiment Fidelity: Bitcoin in Early Bull Market Fears of aggressive sell pressure were raised by impending unlocks, including nearly 10 million HYPE linked to contributor distributions. Instead of acting like a speculative altcoin, Hyperliquid began acting