According to reports from AMBCrypto, two major whales demonstrated contrasting strategies during Hyperliquid's recent market volatility. One whale sold 1,733 XAUT for $7.83 million before depositing $10.2 million into HyperLiquid and purchasing 103,636 HYPE worth $4.7 million. The whale subsequently opened a 5x leveraged long position on HYPE, signaling bullish sentiment. Another whale deposited $4.87 million into HyperLiquid to acquire 102,055 HYPE, with both whales accumulating 205,691 HYPE valued at $9.57 million total. Notably, whales accumulating amid market weakness showed confidence in the market's potential recovery.
As reported by AMBCrypto, the whale accumulation had a significant impact on HYPE price movement, with the altcoin jumping from a low of $40 to a high of $46 before retracing. At press time, HYPE traded at $45, up 7.5% on the daily charts. The Stoch RSI rose to 74, nearing the overbought zone, reflecting strong buyer pressure, while the altcoin's Bulls vs. Bears indicator flipped positive, confirming a shift in market dynamics. These indicators suggested that buyers driven by whales managed to displace sellers, with HYPE likely to flip $47 and target long-term resistance at $50 if market sentiment holds. The upside momentum strengthened significantly with the price hike, indicating growing confidence in the market recovery.
Despite the whale accumulation, AMBCrypto reports that some whales also panicked and closed positions during the market drop. A whale capitulated after two months of accumulation, taking a $2.8 million profit. While this whale rushed to cash out, the market showed relative strength on the demand side. However, profit-taking behavior has continued, with sellers significantly increasing spending according to exchange activity data. Looking at exchange activity, sellers have significantly increased spending, creating mixed signals for the market's direction.
According to AMBCrypto, the altcoin's Spot Netflow has been positive for two days in a row, indicating that exchange inflows will increase. At press time, the Netflow was $2.8 million, up from $1.4 million the previous day. Historically, increased profit-taking by whales, particularly when an asset recovers from a dip, weakens the market. As a result, bearish pressure rises and often leads to another dip if demand fails to keep pace. With whales active on both the sell and buy sides, Hyperliquid is at a crossroads, with HYPE most likely to trade within a range as bulls and bears fight for market control. The next move depends on which side shows greater determination, with the current momentum suggesting potential for further upside if market sentiment continues to improve.
