HyperLiquid Hits $500 Billion in Trading Volume as Ether Outshines Bitcoin

HyperLiquid, the leading on-chain perpetuals trading protocol powered by its custom Layer 1 blockchain, is shattering records as trading activity soars past $500 billion in cumulative volume. While bitcoin (BTC) typically dominates crypto markets, it’s ether (ETH) that’s taking the lead on HyperLiquid this week.

According to DefiLlama, HyperLiquid has seen a staggering 15x year-to-date growth, with average daily volumes exceeding $5 billion over the past week. This accounts for nearly half of the total on-chain perpetuals market activity in the last 24 hours.

Ether perpetuals are driving the momentum, with a trading volume of $7 billion since Monday—18% higher than bitcoin’s $5.94 billion. The shift is also evident in open interest, with $857.5 million in ether positions active, representing nearly 25% of the platform’s total $3.49 billion in open interest.

Market analysts view this spike in ether activity as a potential catalyst for its price growth. ETH is currently trading at $3,900, marking a 70% gain since the start of the year, per CoinDesk data.

HyperLiquid’s rapid growth is attributed to its focus on delivering a high-performance, trader-first experience. The protocol’s tailored design provides institutional-grade performance with decentralized finance (DeFi) accessibility.

“HyperLiquid has revolutionized on-chain trading by addressing the specific needs of perpetual traders, offering cutting-edge infrastructure without sacrificing user-centric features like no KYC. It’s setting a benchmark for future protocols,” noted Wintermute, an algorithmic trading firm.

---

HYPE Token Climbs the Ranks of Top DeFi Projects

In addition to its trading milestones, HyperLiquid’s native token, HYPE, is making waves. Just two weeks after launch, HYPE has surged over 300%, achieving a market capitalization of $5.69 billion. This valuation surpasses established DeFi players like Aave and Solana-based Raydium, according to Coingecko.

The token’s rise was fueled by a record-breaking airdrop on Nov. 29, which distributed 31% of its nearly 1 billion supply to traders who accumulated points through activity on the platform. Valued at $1.9 billion, the airdrop eclipsed Arbitrum’s $1.5 billion distribution.

HYPE is central to HyperLiquid’s ecosystem, functioning as both a staking asset for its HyperBFT consensus mechanism and as a gas token for executing transactions.

“Despite initial fears of sell pressure following the airdrop, HYPE has proven resilient, with demand consistently outpacing supply. This reflects strong investor confidence,” Wintermute observed.

With ether leading trading activity and the HYPE token gaining momentum, HyperLiquid continues to redefine the landscape of on-chain perpetuals trading.