Whale Deposits $20 Million USDC into Hyperliquid, Accumulates $HYPE with 162,000 Unrealized Profit

A whale recently deposited $20 million USDC into Hyperliquid and has been accumulating $HYPE using a dollar-cost averaging strategy. This move comes amidst significant market activity, with popular traders like @qwatio and James Wynn suffering hundreds of millions of dollars in liquidations. The whale's actions have sparked speculation about the potential for a short squeeze, with some analysts predicting that $HYPE could rise to anywhere between $45 and $70.

Hyperliquid, a decentralized futures trading platform, has become a hotspot for whale activity. Over the past few months, there have been whale purchases, gains, and even losses worth billions of dollars. Despite recent reports of significant losses by traders like @qwatio and James Wynn, more whales seem to be entering the market. According to new updates, another whale has deposited $20 million USDC into Hyperliquid and has since spent $5.97 million to purchase 165,366 $HYPE. This whale appears to be using a dollar-cost averaging strategy, with an $8.1 million position on $HYPE and an unrealized profit of approximately $162,000.

Only a day before this $20 million deposit into Hyperliquid, another trader identified as @qwatio reportedly suffered a massive loss. Known for making risky bets, @qwatio's actions have led to speculation that he might be an insider. For instance, he went long on BTC and ETH with 50x leverage just before President Trump announced the Crypto Strategic Reserve, gaining $6.8 million in profits in one day. However, he was liquidated six times in just three days, losing $10 million.

Recently, $HYPE experienced a wave of volatility that pushed it down towards $33. This dip served as a shakeout, triggering fear across the board. However, the token has since bounced back and is attempting to reclaim support levels around $34–$36. This rebound has flipped market sentiment, with what initially looked like a bearish pullback now appearing as a healthy retracement. One of the key factors driving interest in $HYPE is the unusual imbalance in liquidations, where short liquidations have outpaced longs.

According to a crypto analyst, $HYPE recently broke out of a long downtrend months ago and has been in a recovery phase. The analyst noted that the zone around $36–$38 is crucial. If $HYPE manages to hold onto this level, a flip to the upside towards $45+ is very much on the table. This analysis suggests that the current market conditions could be setting the stage for a significant price movement in $HYPE, potentially leading to a short squeeze towards the predicted range of $45 to $70.