Hyperliquid [HYPE] stands out as one of the most significant token airdrops in the history of cryptocurrencies. Initially valued at $3.9, this Decentralized Finance (DeFi) protocol token distributed a whopping 310 million HYPE tokens to its community on 29 November.
This distribution equated to a staggering $1.2 billion shared among its community members. The distribution of HYPE tokens took place over a six-month program that concluded in May, during which users earned reward points to qualify for the airdrop.
The HYPE token holds a pivotal role within the Hyperliquid ecosystem. Operating on a layer-1 Proof of Stake (POS) blockchain, Hyperliquid boasts the capacity to process more than 200,000 transactions per second (TPS).
Functioning as the gas for the Hyperliquid ecosystem’s Ethereum Virtual Machine compatible layer, HyperEVM, the HYPE token plays a crucial role in facilitating decentralized perpetual exchanges on its independent L1 platform, consequently reducing settlement times and enhancing security measures.
Steadfast Support at $6.17 for HYPE Token
Recent hours have witnessed consistent growth for the Hyperliquid token, with gains reaching nearly 70% in the past 24 hours. Investors and traders are anticipating significant upward movements for the token in the foreseeable future.
An analysis of the lower timeframes indicates a gradual slowdown in bullish momentum. Despite the formation of a bearish crossover on the MACD of the 15-minute timeframe, the indicator remains above the zero mark, signaling that the market sentiment is not entirely bearish yet.
Notably, the $6.17 level has served as a robust support for the HYPE token over the past nine hours. Although there has been a slight deceleration in the On-Balance Volume (OBV) trend in the last four hours, there are no substantial indications of an imminent decline.
With its user-friendly interface, deep liquidity pool, and potential to establish new standards for decentralized exchanges, the trading platform could pave the way for broader recognition of the token’s value. If these prospects materialize as anticipated, the market could witness a surge similar to that of Uniswap for the HYPE token.
Disclaimer: The information provided in this article is solely the writer’s opinion and should not be considered as financial, investment, or trading advice.