Hyperliquid price has retreated from its record high after BitMEX co-founder Arthur Hayes liquidated his entire HYPE holdings, triggering profit-taking across the market and raising questions about whether key support levels can withstand mounting selling pressure.
Summary
- Hyperliquid price fell more than 10% from its record high after BitMEX co-founder Arthur Hayes sold his entire HYPE position.
- Grayscale launched its HYPG Hyperliquid Staking ETF as institutional interest in the protocol continued to grow despite the market pullback.
- Technical indicators place key support between $64 and $60, with CoinGlass data showing large liquidation clusters concentrated around those levels.
According to data from crypto.news, Hyperliquid (HYPE) traded near $67 on June 4 after reaching an all-time high of $75.5 two days earlier. The token fell more than 10% over the past 24 hours as traders responded to the surprise exit of one of HYPE’s most prominent public supporters.
According to a June 4 X post by on-chain tracking platform Onchain Lens, Hayes sold 247,334 HYPE tokens worth approximately $18 million earlier today. The transaction arrived only days after the BitMEX co-founder publicly predicted that HYPE could reach $150 and placed a $100,000 charity wager on the token outperforming other top-10 cryptocurrencies by year-end.
Explaining the decision in X post, Hayes wrote:
“I just dumped my entire $HYPE and $NEAR position, I will explain why in my essay “Reality Test” dropping next Tuesday.”
He cited rising energy prices linked to the Iran conflict, three major artificial intelligence IPOs expected before the third quarter, and his belief that financial markets could peak before September.
The sale coincided with a sharp downturn across the crypto market. Bitcoin (BTC) plunged to an intraday low of $61,556 on June 4, triggering widespread liquidations across leveraged positions and prompting investors to reduce exposure to riskier assets. At the same time, rising oil prices and escalating tensions in the Middle East weighed on market sentiment.
Hyperliquid continues attracting institutional attention
Despite the pullback, institutional interest surrounding the Hyperliquid ecosystem remains elevated.
Grayscale launched its Hyperliquid Staking ETF, trading under the ticker HYPG, on June 3. The product joined a growing list of regulated investment vehicles tied to the protocol after earlier launches from 21Shares and Bitwise.
Meanwhile, Hyperliquid’s position within the derivatives market has continued to expand. The decentralized exchange recently captured a record share of global perpetual futures activity, while trading volume relative to Binance reached new highs during May.
Even after the latest decline, HYPE remains one of the strongest-performing large-cap cryptocurrencies of 2026. The token rallied from below $25 earlier this year to more than $75 this week before sellers stepped in near record levels.
Technical structure keeps $60 support in focus
The daily chart data shows that HYPE remains above several key Fibonacci retracement levels derived from the move between the January low near $20.6 and the recent peak around $75.9.
The first major support zone sits near the 0.786 retracement level at roughly $64.1, an area currently being tested after the latest decline. Below that, traders are watching the $55 region near the 0.618 Fibonacci level, followed by the psychologically important $50 area.
Momentum indicators have eased from overheated conditions but have not fully broken down. The Relative Strength Index fell from overbought territory above 70 to around 60, while the MACD remains above the zero line despite printing its first signs of weakening momentum since the breakout.
Derivatives positioning also highlights where volatility could intensify next. CoinGlass liquidation heatmaps show a dense cluster of leveraged positions between $64 and $66, making that range an important battleground for short-term traders. A sustained break below the zone could expose additional liquidation pools around $62 and $60.
On the upside, the largest concentration of short liquidations remains between $76 and $78.6. A recovery above the previous record high could force bearish positions to unwind and potentially reopen the path toward the $80 level.
Several risks could still challenge the bullish thesis. Continued weakness in Bitcoin, elevated oil prices, additional profit-taking from early HYPE investors, and ongoing monthly token unlocks for contributors and early backers could increase selling pressure in the weeks ahead.
For now, the technical structure remains constructive while HYPE holds above $60. Losing that level would place the next major support cluster near $55 and raise the likelihood of a deeper retracement following one of the strongest rallies in the crypto market this year.
Disclosure: This article does not represent investment advice. The content and materials featured on this page are for educational purposes only.
