Hyperliquid Plunges to New Lows After Whale-Led Selloff

Hyperliquid has taken a sharp hit after a whale-led selloff sent its price plummeting to new lows since its breakout rally began. The token's value dropped by over 17% within hours of the sudden exit of several prominent market participants, including BitMEX co-founder Arthur Hayes.

Hayes, who had publicly projected a $150 price target for Hyperliquid and placed a charity wager on the token outperforming other large-cap cryptocurrencies, liquidated his entire position worth approximately $18 million. The sale was followed by another prominent trader, Andrew Kang, who also reduced their exposure to the token.

Despite Hayes' bullish long-term outlook for Hyperliquid, the recent selloff has raised concerns about potential losses towards $50. Technical indicators have turned bearish, with a breakdown below the 0.618 retracement level exposing the midpoint support near $48.1. Momentum indicators, including the daily MACD and Relative Strength Index, have also deteriorated.

However, institutional accumulation continues beneath the selloff, with wallets linked to venture capital firm Andreessen Horowitz adding an additional 224,100 Hyperliquid tokens worth over $15 million during the downturn. The buying activity contrasts sharply with profit-taking seen from traders and whales near the highs.