Crypto
$6.5 Million HYPE Selloff Behind the Hyperliquid Price Pullback?
Recently, Hyperliquid (HYPE) price saw a pullback as a wallet sold 105,400 HYPE worth $6.48 million.
2d ago 4,280
BLOCKINSIDERLoadingRecently, Hyperliquid (HYPE) price saw a pullback as a wallet sold 105,400 HYPE worth $6.48 million.
The recent dip in Hyperliquid (HYPE) has pushed the asset near a make-or-break level. In fact, the daily chart hints that a slight further decline could trigger more downside in the coming days. While price has gained around 2%
Looking at this notable decline, it appears that a16z-Linked wallet might be behind it. You know why? A crypto media outlet, Wublockchain, shared a post on X, revealing that a wallet potentially linked to a16z has sold a massive 105,400 HYPE worth $6.48 million. The post further revealed that the wallet sold this massive amount of HYPE at an average price of $61.49.
In addition, the post further noted, “Another 190,000 tokens linked to the same wallet were transferred through aggregation routes tied to exchanges, including Bybit, though it remains unclear whether the tokens were fully sold. The address moved a total of 315,000 HYPE during the day and now holds about 45,100 HYPE on HyperEVM.”
Following this development, the HYPE price declined by 9.25% and was trading at the $60.25 level at press time. Despite the price dip, investors and traders have shown strong interest in the asset, as evidenced by trading volume, which surged 87% to $681 million.
This rise in trading volume while the price declined suggests that market participants may be actively participating in the current trend, which is likely to strengthen the asset's bearish momentum.
Apart from whales’ selloff, another factor that appears to be the cause of this notable fall seems to be a major support breakdown.
According to the TradingView daily chart, the HYPE price appears to be at a make-or-break level, as it is approaching a key support level of $60, which it has been holding since June 15, 2026. However, during the price dip, the asset has also lost a key support of an ascending trendline, which it had been holding since June 12, 2026.
Now, the thing is, following this breakdown, $58.24 on the lower side and $61.88 on the upper side are two key levels for HYPE. With the notable price dip, HYPE's short-term bias appears bearish, but the price is still at a key level.
Based on the current price action, if the HYPE price continues to decline and falls below or closes a daily candle below the $60 level, it could open the door for another 10% dip. In that case, the asset could reach the $53.60 level near the 200-day Exponential Moving Average (EMA) in the coming days.
However, a potential price reversal could occur if the price remains above the $60 level. Otherwise, the bearish trend could continue.
At press time, the Average Directional Index (ADX) reads 13.01, below the key threshold of 25, indicating weak trend strength. This suggests HYPE lacks strong bearish momentum and is likely to witness a potential reversal.
However, HYPE's broader trend remains bullish, as the price continues to hold above the 200-day EMA, indicating that bulls remain in control.
Whereas derivative data tells a different story. As per CoinGlass, HYPE's Binance long/short ratio reads 1.377, indicating strong bullish sentiment among traders. In fact, HYPE's OI-weighted funding rate also remains positive at +0.0082%, indicating that long holders are paying shorts, as they strongly believe in a price reversal.
Now, if you look at the major liquidation levels, $58.24 on the downside and $61.88 on the upside are two key levels for HYPE, as per the exchange liquidation map. Traders at these levels have built $17.61 million worth of long positions and $15.30 million worth of short positions.
All these metrics together suggest a bullish bias in the derivatives market.
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