Hyperliquid (HYPE) News Today: Why HYPE Is Down – 01 November 2026

Hyperliquid news today centers on Intercontinental Exchange's plan to bring Hyperliquid-based perpetual futures to U.S. traders, a deal that still requires regulatory approval. HYPE traded at $88.22 at the time of writing, down 1.72% over 24 hours and 9.94% below its all-time high of $97.96.

ICE partnership and the deleted post

On 29 October, ICE said it had signed a final agreement with trade[XYZ] to develop a dedicated U.S. retail market and clearing structure built on Hyperliquid infrastructure, subject to CFTC approval. Stanley Druckenmiller's investment in trade[XYZ] was reported alongside the announcement.

On 30 October, ICE removed its X post about the partnership without giving a reason, while keeping a repost of trade[XYZ]'s promotional content. The formal press release remained on ICE's investor-relations site. On 31 October, ICE reposted its announcement, stating it "plans to" launch the markets subject to regulatory approvals. No company has announced a termination.

Regulatory path and HIP-3

Payward, the parent company of Kraken, has said it intends to be the first CFTC-regulated deployer of HIP-3 perpetual markets through Bitnomial, with NinjaTrader Clearing managing customer accounts. No launch date has been confirmed. Hyperliquid also intends to launch permissioned HIP-3 markets through an upcoming network upgrade, with the feature optional for deployers.

Whale selling and token supply

Two whale wallets sold about 1.2 million HYPE, worth roughly $108.8 million, on 31 October. Hyperliquid Labs unlocked 180,000 HYPE for the team on 28 October, with distribution scheduled for 6 November. A core-contributor unlock is also set for 6 November, but trackers disagree on its size. One report lists 9,916,667 HYPE and notes that scheduled tokens are not necessarily sold.

CoinStats tracker data show $4.87M of HYPE bought back on 29 October and a 30-day buyback total of $66.0M. Lookonchain data report 49.87M HYPE permanently burned, about 4.99% of maximum supply.

Derivatives and ecosystem activity

Open interest in HYPE futures is $3.87B, up 24.52% over the past seven days. Liquidations totaled $5.67M over the last 24 hours, with 96.0% of them on long positions. Funding rates were positive throughout the week, currently at 0.0071% per 8 hours.

Elysium, a Layer 2 built by Kinetiq on HyperEVM, launches its mainnet on 9 November, with all fees paid in HYPE. Pump.fun added Hyperliquid-powered perpetuals on 28 October. The Bitwise Hyperliquid ETF logged more than $40M in its first three hours of trading on 29 October.

Hyperliquid (HYPE) is trading at $88.22, down 1.72% over 24 hours. The main driver is a broad crypto sell-off that followed the Binance hack, with HYPE-specific profit-taking adding to the pressure. No new negative event for the token itself was reported in the window.

Why is Hyperliquid down today

Broader market sell-off

Binance suffered a suspected hack of about $6.3 billion on 29 October. On 31 October, Binance said it had covered 90% of the stolen funds. Bitcoin traded near $77,000 that day, a five-week low, and US spot Bitcoin ETFs recorded $643.2M of outflows on 30 October, the largest daily outflow since 25 June. Total crypto market capitalisation fell from $2.94T on 1 October to $2.58T on 31 October.

Giving back the ICE rally

HYPE jumped about 15% on 29 October after NYSE parent ICE said it would bring Hyperliquid-based perpetuals to US users, pending regulatory approval. ICE later deleted its original announcement and reposted a softer version saying it "plans to" do so. Traders read the edit as added deal risk. Two whale wallets sold 1.2M HYPE for about $109M after the revised post.

Leveraged long positions

HYPE liquidations totalled $5.67M over the last 24 hours, and 96% of them were long positions. The largest single event was $4.76M at 8:00 AM on 31 October. Funding stayed positive, but the current rate of 0.0071% per four hours is far below the 0.03% level that typically signals overcrowded longs. The move looks like a long-side flush rather than a cascade.

Volume and supply

The 24-hour volume of $1.90B equals 9.0% of the $21.12B market capitalisation, which is active trading without signs of capitulation. Of the 951,538,273 total HYPE, 239,406,814 are circulating, or 25.2%. CoinGecko lists 9.92M HYPE for core contributors unlocking on 6 November, but DeFiLlama showed no upcoming cliff unlock, so the schedule is unconfirmed.

Price structure

HYPE is 9.94% below its all-time high of $97.96, and it is up 15.08% over seven days. Its 30-day change is flat at 0.00%, so the recent rally has not yet produced a sustained monthly trend. Chart data shows a swing high of $95.65 on 29 October, and traders are watching support near $84.

Hyperliquid market sentiment is neutral with a cautious tilt. Discussion on X is mixed, derivatives positioning is long-biased, and the broader crypto market has moved into fear, with the Crypto Fear & Greed Index at 35.

Social and Community Sentiment

Discussion on X is modest in volume and centers on governance and news rather than price. The @HyperLiqGov account announced a "$HYPE Rewards Date Proposal" vote for 3,651 eligible participants, with active voters qualifying for a 1.12x multiplier. Replies were uniformly supportive.

Bearish commentary focused on valuation. @world_xyz shared a DCo research report projecting $128 base and $165 bull-case targets, contingent on Hyperliquid capturing 3–5% of global TradFi trading by 2029. @SageWhale called it "the most bearish $HYPE price target" seen. @CB_BeamPay turned bearish after the recent rally, citing Elon Musk-linked hype as a possible whale-distribution setup and stating an intent to short.

Counterpoints also circulated. @kirbyongeo emphasized holding with conviction. @mtndrew described post-ICE pricing as an equilibrium that could suit accumulation by believers, while acknowledging a historically high valuation.

Trader Positioning

Retail positioning on Binance leans long. The HYPEUSDT long/short ratio is 1.55 (60.8% long, 39.2% short), against a 30-day average of 61.6% long and a peak of 68.7%. The reading remains below the 65% level typically associated with a top, but the contrarian signal leans slightly bearish.

Funding is positive at 0.0071% per 8 hours, or 7.77% annualized. Longs paid shorts in 85 of 90 funding periods over the past 30 days, yet the 30-day average of 0.0052% sits well below the 0.03% level that typically signals overheated longs. Open interest is $3.87B, up 11.85% over 30 days. @AnalisaCrypto noted a roughly 5% drop in open interest during a flat-price session, which reads as deleveraging.

Liquidations and Flows

Liquidations over the past 24 hours totaled $4.99M, with 95.8% from longs. Over 30 days they totaled $131.46M, and the largest single event was $14.46M on 24 October 2026. Repeated long liquidations alongside rising open interest suggest new long positions are being opened and then unwound.

Cohort data from Compass on 28 October showed retail long/short at 1.56 and smart money at 0.31. Glassnode reported that Hyperliquid whales turned net short on Bitcoin for the first time since March.

Recent Sentiment Shifts

Sentiment has moved from greed toward fear over the past week. The Fear & Greed Index fell 18 points in seven days, after averaging 57 over 30 days. Early in the window, the DCo valuation report introduced skepticism. From 30 October, attention shifted to governance and to the ICE announcement on plans for U.S.-regulated Hyperliquid-based perpetuals, which remain subject to regulatory approval. @PacaltTomas cited the permissioned-markets announcement as a catalyst.

Supply pressure remains a concern. Roughly 9.92M HYPE is scheduled to unlock on 6 November, according to Binance Square, and analysts note that buybacks offset only about 6% of monthly unlocks.

Sentiment is split. Social discussion is divided on valuation but supportive of governance, while derivatives show crowded long positioning in a weakening broader market. If price fails to hold recent levels, rising open interest raises the risk of further long liquidations.

Hyperliquid support and resistance levels cluster between $83 and $88 on the downside and between $92 and $98 on the upside, with HYPE trading at $88.22 after a 7-day gain of +15.08%. The token sits 9.94% below its all-time high of $97.96.

The market capitalisation is $21.12B, ranking HYPE #11 by market value. Circulating supply is 239,406,814 tokens against a total supply of 951,538,273. The 24-hour trading volume of $1.90B equals about 9.0% of market capitalisation.

Momentum and Moving Averages

Daily RSI and MACD

Relative Strength Index (RSI) readings differ by provider. CoinCheckup shows a 14-period daily RSI of 64.34, which is neutral, while Investing.com UK shows 78.50, which is overbought. The MACD (12,26) reads 0.588 on Investing.com UK, a buy signal, and HTX reported a bullish daily MACD crossover on 28 October.

Moving Averages

CoinCheckup lists the 50-day simple moving average (SMA) at $85.08 and the 200-day SMA at $66.37, so HYPE trades above both. Investing.com's index recorded 12 buy signals and no sell signals across the MA5 to MA200 averages on 31 October.

Key Support Levels

• $88.09, $86.18 and $83.48: classical pivot supports (CoinCodex)
• $85: the 50-day SMA and the level where the descending channel broke (edgeX)
• $82 to $84: former resistance that HYPE broke above on the hourly chart (CryptoRank)
• $76 to $77: the 100-day moving average area (Cryptonomist)
• $66.37: the 200-day SMA, the primary structural floor

Key Resistance Levels

• $92.71, $95.40 and $97.32: pivot resistances (CoinCodex)
• $97.00 to $97.74: the immediate resistance zone, with $100 as a psychological barrier (SimianX)
• $97.96: the all-time high

Chart Patterns

HYPE broke above a descending parallel channel on 27 October (edgeX). Before that, it consolidated between $75 and $82 from 17 to 29 October and broke higher on 30 October (Bitunix). An earlier daily broadening wedge flagged by FXEmpire on 8 October targeted $75 to $76, but price has since moved well above that range, so the pattern is no longer active.

Volume and Positioning

Open interest in Hyperliquid perpetual futures stands at $3.87B, up 11.93% over the past 30 days and about 14% above its 30-day average. Funding has been positive in 85 of the last 90 eight-hour periods, at 0.0071% per period in the latest reading, so longs have paid shorts almost continuously. Binance data shows 60.8% of retail accounts holding long positions.

In the last 24 hours, liquidations totalled $5.67M, with $5.44M (96.0%) in long positions. This suggests the recent 24-hour dip flushed out leveraged longs during a rally that remains intact over seven days.

Short-Term and Medium-Term Outlook

In the short term, holding above $85 keeps the 50-day SMA intact. A daily close above $92.71 would open $95.40 and $97.32. A break below $83.48 would weaken the post-breakout structure and bring $76 to $77 into focus. Overbought RSI readings on some feeds raise the risk of a pullback.

In the medium term, the 200-day SMA near $66.37 defines the structural trend. A pending catalyst is a reported plan by ICE to bring Hyperliquid-based perpetual futures to U.S. markets, subject to CFTC approval (CoinMarketCap).