HYPE's futures open interest has reached $2.06 billion, surpassing DOGE.
Over 92.78% of protocol revenue is allocated to HYPE token buybacks.

Hyperliquid's native token, HYPE, is rapidly gaining prominence in the futures market. According to data from Coinglass, HYPE has become the fifth-largest digital asset based on futures open interest. Recent data indicates that HYPE futures, encompassing both perpetual and standard contracts, are valued at $2.06 billion.

This valuation places HYPE ahead of Dogecoin, which currently holds $1.83 billion. Bitcoin (BTC), Ethereum (ETH), Solana (SOL), and XRP remain the only assets with greater futures exposure. Analysts attribute this surge to Hyperliquid's decentralized infrastructure and its increasing utility within DeFi ecosystems.

Source: Coinglass

The futures chart illustrates a steady upward trend since late March, with increased activity commencing in early May. This momentum aligns with a surge in trading interest, signaling growing investor involvement.

Traders are now directing their focus towards blockchain platforms with practical applications, granting tokens like HYPE a competitive advantage over traditional meme coins.

Price Action Reflects Growing Bullish Sentiment

HYPE is currently trading at $44.52, reflecting an 11.69% increase over the past 24 hours. The token opened the day at $40.28 and reached a high of approximately $44.80. This resistance level is being closely monitored, with $40.28 serving as a robust support level.

Source: Coinmarketcap

Throughout the trading day, HYPE has established higher lows, confirming a bullish price structure. Traders are anticipating a breakout above $45, which could indicate further upward momentum.

The correlation between rising prices and open interest suggests active participation from leveraged traders. Many view the $45 level as a potential short-term breakout trigger, potentially paving the way for new highs.

Ecosystem Growth and Liquidity Back the Rally

Hyperliquid's ecosystem is experiencing rapid expansion. Data reveals that 92.78% of protocol revenue is allocated to $HYPE buybacks, contributing over $1 billion annually.

This tokenomic model is attracting institutional investment, including funds like Tony Guoga's and HYLQ Strategy. These funds, along with leading market makers, are contributing to increased liquidity through HyperCore's Central Limit Order Books (CLOBs).

On-chain developers are actively developing new products within the Hyperliquid ecosystem. Simultaneously, native stablecoin volume is increasing, further boosting protocol revenue.

These developments are establishing Hyperliquid as a highly efficient platform for on-chain derivatives trading. As adoption increases, market observers suggest that centralized exchanges may soon be compelled to list HYPE, further enhancing liquidity and exposure.

Disclaimer: This article is for informational purposes only and does not constitute financial advice. Readers should conduct their own research before making any financial decisions.