Key Information
- •Hyperliquid moved $90 million worth of HYPE tokens on November 29, 2025.
- •This movement aligns with the project's vesting schedule, raising concerns about potential sell-offs and increased supply.
- •Market responses have included high volatility and price fluctuations for the HYPE token.
Token Movement and Vesting Schedule
The Hyperliquid team executed a significant transaction involving approximately $90 million worth of HYPE tokens on November 29, 2025. This action is noted to be in alignment with Hyperliquid's established vesting schedule, suggesting a planned release of tokens rather than an unannounced or unexpected event.
Wallets associated with the Hyperliquid team and early contributors are understood to have conducted these transactions. Arthur Hayes, co-founder of BitMEX, is believed to have indirect involvement in these movements.
Market Impact and Price Volatility
Following the token movement, the HYPE token experienced heightened volatility. Its price dropped from a record high of $59.29 to approximately $49.34. Analysts attribute this significant price fluctuation to market participants anticipating increased selling pressure as more tokens enter circulation.
The financial implications of this event include the potential dilution of HYPE's value, which could have ramifications across the Hyperliquid ecosystem. Arthur Hayes' partial liquidation of holdings has been highlighted as a factor underscoring the risks associated with insider activities and token unlocks.
Historical Precedents in DeFi Token Unlocks
The current situation with Hyperliquid's HYPE token mirrors historical trends observed in other decentralized finance (DeFi) projects. For instance, projects like Aptos have previously seen heightened market volatility around token unlock events, indicating a common pattern of price downswings following such occurrences.
Industry experts consistently caution about the inherent sell pressure risks associated with token unlocks. Insights from Arthur Hayes' Maelstrom and other market observers suggest that the market's ability to absorb the increased supply could either mitigate or exacerbate the situation, based on how similar events have unfolded in the past.
The unlock is a Sword of Damocles hanging over the price, suggesting significant risk as we approach the event.