HYPE’s Price Is Just 8% Away From Making A New Record High – And a16z Is Doubling Down

• Hyperliquid’s native token climbed above $49 on Wednesday, short of 8.1% to reach its all time high seen in September of last year.
• On-chain analyst Ai Yi estimated that 16z-linked wallets have accumulated about 2.35 million Hyperliquid tokens, worth roughly $102 million, since last month.
• Ai Yi said that one of the largest tracked HYPE short positions was carrying an unrealized loss of nearly $2 million as the token rallied.

Hyperliquid’s native token (HYPE) climbed above $49 on Wednesday, 8.1% away from reaching its all-time high that it saw in September last year.

HYPE’s price has risen by over 93% year-to-date (YTD), and the current price is the highest it has reached in the last 3 months, as per CoinGecko data.

According to on-chain analyst Ai Yi, Andreessen Horowitz (a16z) has accumulated roughly 2.35 million HYPE tokens, worth about $102 million, since last month, including an additional 206,000 tokens added over the past 11 hours. Based on current prices, the position had an estimated unrealized gain of approximately $79.29 million, the analyst said.

The venture firm began building its position in August last year, gathering a total of 9.18 million HYPE tokens at an average entry price of $38.77, according to the analyst. Ai Yi further estimated that a16z still held an estimated 8.84 million HYPE across multiple wallets, making it the network’s sixth-largest holder and potentially the biggest external holder outside the Hyperliquid ecosystem.

HYPE Rally Speeds Up

At the same time, one of the market’s larger HYPE bears is deeply underwater. According to Ai Yi, the sixth-largest HYPE short seller built a 375,000-token short position beginning last week at an average entry price of $43.298. 

With HYPE trading above $48 on Wednesday, the position showed an unrealized loss of roughly $1.989 million on a position valued at around $18.19 million. Arkham wallet data also showed an address linked to a16z withdrew another 44,500 HYPE worth roughly $2.16 million from Gate (GT).

As of Tuesday’s data from SoSoValue, HYPE recorded the highest total daily net inflow among crypto ETFs, at $11.04 million, with only two sponsors – 21Shares (THYP) and Bitwise (BHYP). The rally came after Bitwise Research described HYPE as crypto’s "most mispriced assets in crypto today.” Matt Hougan, the Chief Investment Officer at Bitwise, argued that investors may be underestimating Hyperliquid’s trading activity, fee generation, and growing position in the perpetual futures market.

HYPE Vs. BTC

HYPE has emerged as one of the strongest-performing large-cap cryptocurrencies this year, outperforming several large-cap altcoins and even Bitcoin (BTC) during the recent market rally. 

HYPE’s price rose by over 2% over the past 24 hours. On Stocktwits, retail sentiment around HYPE remained in the ‘extremely bullish’ zone, while chatter stayed at ‘extremely high’ levels over the past day. 

In comparison, Bitcoin’s price was up by only 0.9% during the past 24 hours. On Stocktwits, the retail sentiment around BTC remained in the ‘bearish’ zone, while chatter around it stayed in the ‘normal’ levels over the past day.

Data from Deflilama cited by TheBlock showed that Hyperliquid captured roughly 43% of weekly blockchain fees, ahead of Ethereum (ETH) and Solana (SOL) as of Thursday, reflecting strong activity in perpetual futures trading on the platform.

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