Hyperliquid (HYPL) has experienced a significant decline of 20% due to broader market volatility affecting various cryptocurrencies. This downturn is linked to recent regulatory news, which has increased uncertainty in the crypto markets and impacted investor confidence.
The impact on trading pairs was notable, with the HYPL/BTC pair dropping from 0.000025 BTC to 0.000020 BTC between 10:00 UTC and 16:00 UTC. Similarly, the HYPL/ETH pair decreased from 0.00035 ETH to 0.00028 ETH during the same period. On-chain metrics also show heightened user engagement, with the number of active addresses on the Hyperliquid network increasing by 30% to 10,000 at 13:00 UTC.
Technical indicators further illustrate the market’s reaction, including a drop in the Relative Strength Index (RSI) from 60 to 30 and a bearish crossover in the Moving Average Convergence Divergence (MACD). The trading volume surged to 150 million HYPL tokens by 14:00 UTC, indicating increased market activity.
Notably, AI-related news had no direct impact on Hyperliquid’s price drop. However, the broader AI sector’s influence on crypto market sentiment can be observed, with a recent breakthrough in natural language processing leading to a 5% increase in AI-related tokens like SingularityNET (AGIX) and Fetch.AI (FET). This highlights the potential for AI news to create trading opportunities in the crypto market.
Source: https://blockchain.news/flashnews/hyperliquid-experiences-20-decline-amidst-market-volatility