Hyperliquid’s native token, HYPE, has seen a sharp rise in recent days. The token is currently trading at $34.50, marking a 25% increase today and a 64% gain over the past seven days. This performance makes it the fastest-rising token among the top 100 cryptocurrencies this week.
With this surge, HYPE’s market capitalization has climbed back above $10 billion, now approaching levels held by some of the larger and more established tokens. Despite the rally, HYPE remains over 40% below its all-time high from September 2025.
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HIP-3 Markets Fuel Growth
A major factor behind HYPE’s rise is the continued growth of Hyperliquid’s HIP-3 markets. These allow users to trade perpetual futures not just on crypto assets, but also on commodities, equities, and major fiat currency pairs. Open interest in these markets has reached a record $790 million, up from $260 million just a month earlier. One standout has been the Silver-USDC market, which recorded over $1.2 billion in trading volume within 24 hours.
Fees generated from this trading activity are used to buy and burn HYPE tokens. Hyperliquid’s token model allocates up to 97% of protocol fees for buybacks, which reduces the circulating supply. This mechanism ties the token’s value directly to platform usage.
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Short Squeeze Accelerates the Move
A major short squeeze also contributed to the price surge. Over $26 million worth of HYPE futures positions were liquidated in one day, with over 93% being short positions. These forced liquidations create upward pressure as exchanges buy back the token to close out the positions. This rapid buying contributed to the strong price movement and added momentum to the ongoing rally.
